Thursday, 7 July, 2022

BB issues guidelines to boost investment in hi-tech parks

BB issues guidelines to boost investment in hi-tech parks

Bangladesh Bank recently issued guidelines for enterprises operating in the country’s Hi-Tech parks to attract more foreign investment in the country’s IT sector.

The government has been working to develop 12 full-fledge hi-tech parks across the country to enable technology-driven society towards a knowledge-based economy.

The circular of central bank has cleared the way to attract more foreign direct investments in legal channels at Hi-tech parks, according to sector insider.

There are two parks in Gazipur and Jessore running operations while the authorities have declared 13 Infrastructures as hi-tech parks, according to the ministry.

“Bangladesh has proven its excellence in infrastructural development in technology sector. We have planed 12 hi-tech parks across the country. Two parks have already run operations. Such kind of guideline from central bank will helps the sector to attract more foreign investment,” Telecommunications Minister Mustafa Jabbar told the Daily Sun.

Minister Mustafa also informed that they government developed a one-stop service centre at ICT division to facilitate enterprises working with hi-tech parks.

According to BB circular, there are guidelines on forex transactions by banks for entities located in export processing zones and economic zones and the central bank felt the necessity for issuing separate guidelines for Hi-Tech park entities.

For HTPs, enterprises would be categorised in three categories based on their foreign and local share holdings.

The BB circular issued by its foreign exchange policy department said that foreign investors or joint venture companies would be allowed to invest in the HTPs upon taking registration from the Bangladesh High-Tech Park Authority.

Earlier in last year, a good number of Chinese companies expressed their willingness to invest in Bangladesh hi-tech park industry considering the country’s investment-friendly environment.

About 35 representatives from 20 companies of Dezhou City under Shandong Province in China met the officials of Bangladesh High-Tech Park Authority (BHTPA) and discussed the issues relating to foreign direct investment (FDI).

Central bank’s foreign exchange investment department must be informed within 14 days of shares issuance to non-resident investors.

The development of hi-tech parks in Sylhet and Rajshahi is going rapidly where the foreign investors will get space along with the local entrepreneurs, according to Minister.

“At now, the Bangabandhu Hi-tech Park in Gazipur and Sheikh Hasina Hi-tech Park in Jessore have no space to allocate as the local and foreign enterprises have began operations here with local subsidiaries. So that, Rajshahi and Sylhet are next destinations for investors,” Mustafa added.

Similarly, transfer of shares of the companies not listed with the stock exchange, from resident to non-resident, non-resident to resident and non-resident to non-resident must be informed to BB along with required documents.

Besides, banks have been allowed to open non-resident taka account and foreign currency account to facilitate overseas investment in the country.