Cabinet approves draft Invest Bangladesh Act to unify investment agencies
The proposed law will merge Bida, Beza and PPPA under a single investment promotion authority, while the cabinet also approved a renewable energy strategy and a new import policy.
Highlights:
- Cabinet approves draft Invest Bangladesh Act
- Bida, Beza, PPPA to be unified
- 20% renewable power target by 2030
- New import policy eases investment, trade
The cabinet has given in-principle and final approval to the draft Invest Bangladesh Act, 2026, aimed at attracting domestic and foreign investment by integrating the functions of the Bangladesh Investment Development Authority (Bida), Bangladesh Economic Zones Authority (Beza) and the Public-Private Partnership Authority (PPPA).
The approvals were granted at the cabinet's 12th meeting on Thursday (9 July), according to a press release.
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Under the proposed law, Invest Bangladesh will become the country's apex investment promotion and coordinating agency. The new body will streamline investment approvals, business registration, import and export services, incentives, industrial zone development and government services for investors.
The law also aims to create a more business-friendly environment through a single-window clearance system, expanded one-stop services and the digitalisation of licensing procedures.
According to the release, economic zones, free trade zones and other industrial areas will be brought under an integrated framework. The initiative also seeks to facilitate productive use of idle government land and assets while bringing all investment- and business-related services onto a single digital platform.
The cabinet also approved the National Renewable Energy Development Strategy (2026-2030), which sets a target of generating 20% of Bangladesh's electricity from renewable sources by 2030.
The strategy also aims to reduce electricity consumption by at least 15% through effective demand-side management and promote investment in rooftop solar, smart grids, battery energy storage systems, waste-to-energy projects and electric vehicle charging infrastructure.
To monitor implementation, the government plans to launch a real-time online dashboard and establish a National Policy Council, led by the prime minister, to oversee progress.
The cabinet also approved the draft Import Policy Order (2026-2029), introducing provisions allowing imports through sales contracts alongside letters of credit (LCs), facilitating the establishment of free trade zones and central bonded warehouses, expanding raw material import facilities for export-oriented industries and incorporating international food safety standards.
For the first time, the policy defines "non-resident Bangladeshis" to facilitate their industrial investment. It also includes measures to implement the WTO Trade Facilitation Agreement, introduce electronic licensing and payment systems, and restrict or ban imports of several high-risk pesticides.
