National Income

In the Fiscal Year (1997-98) the total Gross Domestic Product (GDP) was Taka 1,54,092 crore  (About US$ 34 Billion). The GDP Growth rate of 5.9% in FY 1996-97 and 5.6% in FY 1997-98 reflected consistent progress in our economy. 
 A buoyant 10.1% growth in large-scale industry in FY 1997-98 has contributed significantly. 

The Rate of Saving and Investment has been increased in the country. The present Rate of Internal Savings in GDP is about 8% which was 4% in 1990-91. The Rate of Investment in the GDP is 18% which was 12% in 1990-91.

Investment in the Private Sector has risen to 6% from 11% during the Fiscal Year (1997-98). Opportunities are also created for Local and Foreign Investment in the Private Sector.

In FY 1996-97 our export in terms of US$ was increased by 13.8% while the Export Growth in FY 1997-98 showed a significant growth of 16.81 Percent. The total Export Earning of FY 1997-98 was US$ 5.161 Billion higher than Export Earning of US$ 4,427 Million of 1996-97. Import Expenditure in fiscal 1996-97 was US$ 7,162 Million which was 4.1% more than Import Expenditure US$ 6,881 Million of the previous year.

FOREIGN INVESTMENTS

The Government has taken followings important steps to attract foreign investment.:

liberalizing the Industrial Policy

Positive steps toward Private sector-led free market economy

Allowing 100% Foreign Direct Investment as well as Joint Venture both with Local Private Sponsor or with Public Sector

No prior approval or No Objection Certificate is required for setting up of a Joint Venture/100% Foreign Direct Investment

No permission is required for import of Free List items

Equal treatment of Capital and Dividend with the Local Investors

Availability of adequate Protection for Intellectual property rights including Patents, Design, Trade Marks and Copyrights

INCENTIVES 

Tax Holiday for 5-7 years depending on Industry Location

Tax exemption on income of the Private Power Generation Company for 15 years from the date of commercial operation

Facilities for Repatriation of Invested Capital, Profit and Dividend 

Tax exemption on Royalties, Technical Know-how fees received by any Foreign Collaborator, Firm, Company and Expert

Six months Multiple Entry Visa for the Investors

Bangladeshi Taka made Convertible for international payments in the current account

Re-investment of Repatriable Dividend treated as New Investment

Working Capital Loan from local commercial banks will be allowed in addition to foreign capital

Citizenship by investing a minimum of US$ 500,000 or by transferring US$ 1,000,000 to any recognized Financial Institution (non repatriable) 

Permanent Resident ship by investing a minimum of US$ 75,000 (non-repatriable)

Tax exemption on capital gains from the transfer of shares of Public Limited companies listed with a Stock Exchange

Export oriented industries are exempted from paying local taxes

FACILITIES TO NON-RESIDENT BANGLADESHIES

Will enjoy facilities similar to those of  Foreign Investors.

10%  Quota in Primary Shares (IPO).

Can maintain Foreign Currency deposits in the NFCD Account.