Tax Incentives and Investment Conditions
1.9 Bangladesh amidst Covid-19
KPMG
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Growth of export during the pandemic
The country's export earnings from sale of goods in the financial year 2021-2022
grew by 34.38% from USD 38.75 billion to USD 52.08 billion This is due to the
increase in earnings of RMG, jute and agricultural industries and a rebound from
COVID19 downturn. In 2021-22, total export earnings grew by 34.40% to USD
60.97 billion.
Growth of Investment despite economic slowdown
Bangladesh received remarkable investment from both local and foreign
investors during the pandemic. According to BEPZA data, Bangladesh received
over USD 81 million from 8 companies in different export processing zones.
Registration of new firms also increased by 24.32% which highlights the
expansion of business.
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High provision of Incentives for Imports and local production of
Medical Supplies
The Government of Bangladesh took various effective steps to combat the
pandemic. The incentives include reduced import duties, selective exemption of
VAT, relaxation of certain restrictions and subsidies for the healthcare sector as
well as for the affected people.
Sources: The Bangladesh Rating Agency Limited
The National Board of Revenue
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