JAGARAN CHAKMA

The government has announced a wide-ranging deregulation programme aimed at cutting red tape, lowering compliance costs and improving Bangladesh’s business climate as the country prepares for graduation from least-developed country (LDC) status.

The reform package, unveiled in the budget speech of Finance Minister Amir Khosru Mahmud Chowdhury on Thursday, covers investment approvals, company registration, taxation, customs, banking, capital markets and construction permits.

Businesses have long complained about lengthy approval processes, overlapping regulations and cumbersome compliance requirements that delay investment decisions and raise operating costs.

SEVEN-DAY DEADLINE FOR APPROVALS

A key feature of the reform package is the introduction of strict timelines for government approvals and licences.

The government plans to make the online Single Window platform mandatory for business approvals and licensing. From application submission to licence issuance, all procedures will have to be completed within seven days.

If a government agency fails to provide a required opinion, clearance or no-objection certificate within the stipulated period, the application may be processed on the assumption that consent has been granted, where applicable.

Authorities also plan to introduce “plug-and-play” facilities in selected industrial and economic zones, allowing investors to set up factories and begin production more quickly.

FASTER BUSINESS START-UP SERVICES

The government intends to simplify company registration by moving name clearance, application submission, fee payments and certificate issuance online. Company registration is expected to be completed within 48 hours.

Small and new businesses may be allowed to start operations with provisional approvals and complete remaining compliance requirements within six to 12 months.

Work permits for foreign experts and skilled professionals are set to be issued within seven days, while investor visas will be processed within 10 days. The government is also considering five-year multiple-entry visas for eligible investors and project personnel.

To facilitate large investments, agencies such as Bida, Beza, Bepza and BSCIC will assign dedicated support teams and case managers. A grievance redress mechanism and a 24-hour investor help desk are also planned.

TAX ADMINISTRATION GOES DIGITAL

The deregulation drive includes measures to simplify tax and VAT compliance. From the next fiscal year, corporate taxpayers will be able to file returns online, while excess tax deducted at source will be refunded directly to bank accounts through an automated system.

Tax and VAT audit selection will be automated using risk-based software, while tax residency certificates for foreign investors will be issued online through the National Single Window.

For VAT, online filing will become mandatory, simplified returns will be introduced for small businesses, and the government is considering quarterly instead of monthly VAT submissions.