Trade

Net FDI jumps in Q3 on renewed confidence

Reinvested earnings drive sharp rise despite global uncertainty

Written by The Banking Post


Bangladesh saw a strong surge in net foreign direct investment (FDI) during July–September 2025, signalling renewed investor confidence despite a challenging global environment.

According to Bangladesh Bank data, net FDI inflows in the third quarter rose to $315.09 million, more than triple the $104.33 million recorded in the same period of 2024—a year-on-year increase of about 202 per cent.

For the first nine months of 2025, cumulative net FDI stood at $1.41 billion, up 80 per cent from $780 million in the corresponding period last year.

All major components of FDI posted solid gains in the third quarter. Equity investment rose 31.7 per cent year-on-year to $101.12 million. Reinvested earnings jumped sharply to $211.47 million from $72.90 million, while intra-company loans turned positive at $2.49 million after remaining negative a year earlier.

The strong third-quarter performance followed steady gains earlier in the year. Net FDI in April–June 2025 reached $303.27 million, up 11.4 per cent from the same quarter of 2024. Overall, net inflows in the first half of 2025 were more than 61 per cent higher than a year earlier.

The executive chairman of the Bangladesh Investment Development Authority said the figures reflect progress in improving the business environment and converting planned investments into actual inflows. “The benchmark remains low, but back-to-back quarterly gains show that investors are placing their trust in Bangladesh,” he said.

He noted that inflows may moderate in the final quarter of the year due to the upcoming elections but expects a rebound afterward, supported by a strong investment pipeline.

Beyond realised investments, the authority’s dedicated pipeline for 2025 has already crossed $1.5 billion, in addition to traditionally registered investment proposals.


About the author