Foreign Investment in EPZs Drops by 22.33% in Five Months

Staff Reporter

Foreign investment in the country’s Export Processing Zones (EPZs) has fallen sharply, declining by 22.33% in the past five months following political changes in August. The Bangladesh Export Processing Zone Authority (BEPZA) disclosed the figures during a press conference at its Green Road headquarters in Dhaka.

BEPZA Executive Chairman Major General Abul Kalam Mohammad Ziaur Rahman attributed the decline to political instability, gas and power shortages, and the global economic downturn.

Investment in EPZs stood at $162.6 billion during July-December of the 2023-24 fiscal year but dropped to $126.3 billion in the same period of the 2024-25 fiscal year. Despite the decline, exports from EPZs rose by 22.4% during the same timeframe.

BEPZA Member (Finance) Ashraful Kabir noted that the global economic slowdown caused by the Russia-Ukraine war and the COVID-19 pandemic has reduced investment demand worldwide, impacting Bangladesh as well.

Currently, Bangladesh has eight EPZs located in Chattogram, Dhaka, Mongla, Cumilla, Uttara, Ishwardi, Karnaphuli, and Adamjee, along with the BEPZA Economic Zone in Mirsarai. Plans are underway to establish three more EPZs.

Officials expressed optimism that investment would improve with political stability and solutions to the ongoing energy crisis.