Bangladesh:

An Emerging Country for

Pharmaceuticals

Export between FY 2009 10: US$ 14 billion

Bangladesh Overview
Health Sector
No. of registered doctors

48,000

Rural doctors (estimated)

> 100,000

Persons per reg. physician (2006)

3,353

No. of hospitals (govt.)

645

No. of hospitals (private)

>5,000

No. of medical institutes (govt.) 16

No. of medical institutes (private)

20

Source : 1. Bangladesh Medical Council 2. Bangladesh Economic Review 2007

Macroeconomics:
Health
GDP per Capita

445 US$
Total health exp per
capita

12.16 US$

Total Expenditure as
% of GDP

3.2%
Public health exp per
capita

4 US$

0
80

(IMS 09-10)
US$ 800 million

10

11

12

13

14

15

16

place (US 300 million dollar in last 3 years) for

17

18

19

20

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(US $300 m in last 3 years)

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Investment Climate in Bangladesh

Location
Ideal for global trades with access to intl. sea & air route
Natural Resources
Abundant supply of natural gas, water and fertile land
Human Resources
Abundant supply of easily trainable and low-cost workforce
Social Stability
A one race and one religion country. Social stability much
higher
Language
English is generally understood and used as second language

Comparative Costs in Competing Cities (in

US$)
Cost Heads

Unit

Dhaka

Bangkok

Kuala Lampur

1. Worker Wage

person/month

50-100

141

250

2. Managerial Staf

person/month

331

622

1510

1989

per sq. m

7-15

45

49-99

4. Office Rent

sq.m/month

3-4.5

9.9

13.33-14.16

5. Electricity

per kWh

.06-.10

.037-.039

0.05

6. Water for Business use

per cu.m

.25-.33

2.02+.0.33

0.47-0.51

0.62-0.98

7. Gas for Business use

per cu.m

0.085

4.18/BTU

0.11-0.17

0.29

8. Gasoline

per liter

0.44

0.30

0.34

0.96

9. Corporate Tax

basic rate

30%

30%

28%

28%

10. Personal Income Tax

basic rate

25%

37%

28%

3. Industrial Land Price

Seoul
890-1275

34.50
0.04

40%

Source : Bangladesh Board of Investment ( BOI )

Incentives for Foreign Investors

Tax Exemption
Generally 5 to 7 years. The period of tax holiday will be calculated from
the month of commencement of commercial production

Duty
No import duty for export-oriented industry

Tax Law
a) Double taxation can be avoided in case of foreign investors on the
basis of bilateral agreements
b) Exemption of income tax up to 3 years for the expatriate employees
in industries specified in the relevant schedule of Income Tax ordinance

Remittance
Facilities for full repatriation of invested capital, profit and dividend

Incentives for Foreign Investors

Exit
An investor can wind up on investment either through a decision of
the AGM or EGM. Once a foreign investor completes the formalities to
exit the country, they can repatriate the sales proceeds

Ownership
Foreign investor can set up ventures either wholly owned or in joint
collaboration with local partner

thank you

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