The Bangladesh Investment Development Authority, the country’s apex investment promotion agency, is leading the development of a Foreign Direct Investment (FDI) Heatmap in collaboration with global and local stakeholders to strategically position Bangladesh as a premier FDI destination.

This initiative will focus on mapping competitive sectors, identifying priority countries and investors, and transitioning to a proactive, data-driven investment promotion strategy, according to a press release issued by BIDA on Monday.

By fostering public-private collaboration and regularly updating insights, BIDA aims to create a robust framework for targeted investment attraction, it said.

The project, under the leadership of the incoming head of BIDA’s Business Development team Nahian Rahman Rochi is set to provide actionable insights by the end of November.

BIDA has recently engaged key stakeholders to provide insights and analysis for identifying critical sectors and sub-segments where Bangladesh possesses a competitive advantage and strong growth potential.

‘Investment promotion in Bangladesh has historically been reactive. The FDI Heatmap signals a shift toward data-driven, strategic engagement and exemplifies public-private collaboration, said BIDA executive chairman Ashik Chowdhury.

BIDA would also regularly update the FDI Heatmap through consultations with key experts and stakeholders, especially from existing and potential FDI source countries,’ he added.

BIDA’s partners for the FDI Heatmap initiative include organisations such as the Foreign Investors’ Chamber of Commerce and Industry, Dhaka Chamber of Commerce and Industry, HSBC, Standard Chartered Bank, IDLC, International Finance Corporation, PricewaterhouseCoopers, Boston Consulting Group, Ernst & Young, LightCastle Partners, Inspira Advisory and Consulting, Japan External Trade Organization, Japan International Cooperation Agency and Korea Trade-Investment Promotion Agency, among other entities.

At an event hosted by the Centre for Policy Dialogue on Sunday, the BIDA chairman stated that the current operations of the BIDA office resemble a postal service, acting more as a checkpoint that hinders processes rather than facilitating investors.

In contrast, the envisioned transformation of BIDA involves adopting a model similar to an Apple store—a streamlined, customer-centric hub where services are easily accessible and efficiency is prioritised, ensuring a seamless experience for investors, Ashik said.

He highlighted the need to address the confusion around the roles of BEPZA, BEZA and Hi-Tech Parks saying that the suggestion has been made to merge these entities into a single organization to simplify the process for investors.

The BIDA chairman also said that there was a significant gap in industry consultation that need to be addressed.

Whether through a National Economic Forum or a private sector advisory board for BIDA, it was essential to establish a structure for continuous and genuine dialogue between the government and the private sector, he mentioned.

Ashik also said that BIDA has begun bringing in private sector professionals, with him being one of the first, and more professionals were expected to join in the near future.

Similar to models in the US and UK, where private sector experts enter government for a couple of years, this initiative aims to bring valuable experience and contribute to national service, he explained.

Ashik said that the amounce4ment for establishing 100 economic zones no longer made sense and BIDA would cut it down to a smaller, more focused group.

Although the exact number will be officially announced, it was expected to be fewer than 10, and the selected zones will be the government’s primary focus, ensuring the necessary infrastructure, including electricity, water, and residency, is delivered as promised, BIDA executive chairman added.