Business Report :
Marking a significant development in Bangladesh’s industrial and financial sectors, Deshbandhu Group is set to bring in foreign direct investment (FDI) worth approximately USD 370 million. The group also plans to reconstructing its bank loans through this funding, which amounts to over BDT 4,500 crore in Bangladeshi currency. This direct investment is expected to play an important role in boosting the national economy.
The initial phase of this investment is being made by American investors, under the management of the globally renowned investment management firm Baker Tilly JFC Group. The firm has already pledged more than one billion euros in long-term financing under aninvestment agreement with Deshbandhu Group.
In the first phase, Deshbandhu Group’s outstanding loans will be restructured under Bangladesh Bank’s One-Time Exit Policy (BRPD Circular No. 13, dated July 8, 2024). As per the agreement, Baker Tilly JFC Group will manage repayment of the existing loans-excluding interest and penalties-thereby easing the high interest burden on Deshbandhu Group, says a press release.
A senior official from Baker Tilly JFC Group commented, “Deshbandhu Group is one of Bangladesh’s leading industrial conglomerate with a strong foundation. This investment, managed by Baker Tilly JFC Group, will further strengthen Deshbandhu’s capabilities and significantly enhance international confidence in Bangladesh.”
Based on Bangladesh Bank’s support, the outstanding loan amounts (principal and interest separately) will be verified as of June 30, 2025, after which further steps will be taken.
On Monday, June 16, Baker Tilly JFC Group sent an official letter to the Governor of Bangladesh Bank. In the letter, the firm requested coordination with the relevant banks to confirm Deshbandhu Group’s principal and interest liabilities by June 30, 2025, in order to begin loan acquisition by bringing investment. Deshbandhu Group’s Additional Managing Director and CFO, M.A. Bashir Ahmed, will oversee the overall process of this investment. If successful, this initiative will be a milestone in attracting FDI and loan restructuring in Bangladesh’s industrial sector.
This major FDI by Deshbandhu Group comes at a crucial time, especially as the United Nations Conference on Trade and Development (UNCTAD) recently reported a decline in FDI inflows to Bangladesh. According to its World Investment Report 2025, FDI inflows to Bangladesh dropped by about 13% in 2024, which is a concerning trend for economic growth. The report, published on June 19, stated that actual FDI inflows in 2024 amounted to only USD 1.27 billion (approximately BDT 15,500 crore).
Analysts view this decline in FDI as a worrisome sign. Contributing factors include political instability, economic crises, inadequate investment environment, and foreign exchange uncertainties. Global factors such as economic volatility and trade wars have also negatively impacted FDI flows. Amidst this scenario, Deshbandhu Group’s BDT 4,500 crore FDI initiative is seen as a major positive development for the country.
Experts believe that this foreign investment by Deshbandhu Group will significantly support the national economy and industrial sector. They are calling on other large industrial groups in the country to take similar initiatives to bring in foreign investment. Top business leaders emphasize that to restore steady FDI inflows, Bangladesh must ensure policy consistency, political stability, and improvements in the business environment. Furthermore, they stress the need for favorable tax policies, investor incentives, and legal protection for investors.
According to data from Bangladesh Bank, FDI inflows in the first 10 months (July-April) of FY 2024-25 dropped by nearly 29%. Economists and business leaders argue that tax breaks or organizing conferences alone are not enough to attract investment-political stability and credible policy frameworks are essential.
Javed Akhtar, President of the Foreign Investors’ Chamber of Commerce and Industry (FICCI) and Chairman of Unilever Bangladesh, stated that the investment environment in Bangladesh has never been very favorable. He added that economic instability and political uncertainty have further complicated the situation. Although some recent government reforms are positive, it will take time to bring about visible change. He believes that restoring political stability and the rule of law is crucial to create a healthy business environment. “Deshbandhu Group has taken the first step. If they succeed, many others will follow,” he said.
