Consistent with the emerging trends of market economy, Bangladesh has been pursuing a liberal trade policy since early 1990’s. Massive trade liberalisation and reform programmes have been implemented in trade areas during this period. Reforms have been initiated to dismantle both tariff and non-tariff barriers and to create an affable atmosphere for investment. With regard to step towards trade linearization, Government has taken a moderate protective policy only in consideration of certain sensitive areas like public health, security and religious bindings. And more liberal import and export policies and programmes have been adopted including reduction in tariff slabs. The Government has announced three-year Export Import Policies (2003-2006), which are consistent with the agreement under Uruguay Round Accord, WTO and the principles of market economy on one hand and maintaining favourable balance between exports and imports of the country on the other hand.

These policies have created a more widened opportunity for the investors both local and foreign. Bangladesh is maintaining a consistent GDP growth rate for the last decade. It has economical but quality human resources and skilled labor forces. Additional facilities have been offered for the declared thrust sectors. All sort of investment including foreign investment in Bangladesh is well protected by law. The Government has signed several Bilateral Investment Agreements and Bilateral Investment Treaties with a number of developed countries, which guarantees fair and equitable treatment to foreign investment as well as avoids double taxation. In case of infrastructure, special zones are created to facilitate investment. These special zones are well connected with the sea-ports, airports and land ports. Transportation and other utility facilities are readily available.

The government's role is that of a facilitator which helps create an enabling environment for expanding private investment, both domestic and foreign. The Board of Investment (BOI), established by the government for accelerating private investment, provides institutional support services to intending investors. Other organizations like Bangladesh Small & cottage Industries Corporations (BSCIC), Bangladesh Export Processing Zones Authority (BEPZA), Privatization Commission, Bangladesh Bank, National Board of Revenue, Securities & Exchange Commission are working to foster the investment.