State Institution of Bangladesh dictates the motion at which foreign investments is likely to come into Bangladesh. There are alot of institution involve in Foreign investment in Bangladesh, following are an extrinsic list of such institution.
Registrar of Joint Stock Companies and Firm (RJSC)
RJSC is the authority responsible for the registration and formation of companies, trade organisations, societies and partnership firms. It also is responsible for preserving the ownership and other necessary documents in its records. At the apex of the organogram of this organization stands the Registrar.
RJSC business is split into the following processes applicable for a business entity:
* Name Clearance;
* Returns Filing;
* Issuance of certified copies;
* Winding up; and
* Struck Off;
Board of Investment (BOI)
BOI is the principal private investment promotion and facilitation agency of Bangladesh. It was established by the Investment Board Act 1989 to encourage investment in the private sector of the economy. The current Prime Minister is the head of this organization and it is also part of the Prime Minister’s Office.
BOI, amongst others, offers the following services-
* Counseling service on investment;
* Welcome service for investors;
* Registration and approval of foreign, joint-venture and local projects;
* Registration authority for branch/liaison/representative offices;
* Approving remittances of royalty, technical know-how and technical assistance fees;
* Assistance in obtaining industrial plots;
* Providing necessary facilities and assistance in the establishment of businesses;
* Obtaining approval for work permits for foreign nationals;
* Facilitating utility connections;
* Online Registration System (ORS);
* BOI Online Service Tracking (BOST).
Bangladesh Bank (BB)
It is the central bank of Bangladesh and is the regulatory body of its monetary and financial system. It was established on 16th December 1971, through the Bangladesh Bank Order 1972- President’s Order No. 127 of 1972 (Amended in 2003). The Chief Executive Officer of this monumental institution is also as the Governor.
The main functions of BB are -
1. formulation and implementation of monetary policy of Bangladesh;
2. formulation and implementation of foreign exchange policy;
3. to hold and manage the official foreign reserves of Bangladesh;
4. authority for issuing of Taka;
5. supervising authority for banks and other financial institutions
BB is regulated by several laws, regulations and guidelines which compliment it to perform its duties in relation to the monetary and fiscal system of the economy. Some of these laws are cited below-
* Bangladesh Bank Order 1972;
* Bank Company Act 1991;
* Bank Company (Amendment) Act 2013;
* Negotiatble Instrument Act 1881;
* The Bankers’ Book Evidence Act 1891;
* Foreign Exchange Regulations Act 1947;
* Foreign Exchange Regulations (Amendment) Act 2015 ;
* Financial Institutions Act 1993;
* Financial Reporting Act 2015;
* Money Loan Court Act 2003;
* Money Laundering Prevention Act 2012 ;
* Money Laundering Prevention (Amendment) Act 2015;
* Anti-terrorism Act 2009;
* Anti-terrorism (Amendment) Act 2013.
BB regularly issues guidelines and regulations in relation to foreign exchange, governance of banks and financial institutions, money laundering etc.
Securities and Exchange Commission, Bangladesh (BSEC)
BSEC is the prime regulator of the capital market of Bangladesh. It is governed by the Securities and Exchange Commission Act 1993 and has been established on 8th June 1993. It consists of a Chairman and four Commissioners, appointed by the Government; for four years tenure, which can be renewed further for one term and not more. The Chairman of the BSEC acts as the Chief Executive Officer (CEO) of BSEC. It is a statutory body attached with the Ministry of Finance.
The functions of BSEC include:-
* regulator of security market;
* supervisory authority of all the registered entities in the stock market;
* ensure competitive business environment and fair trade practices;
* Conducting research and publishing information.
National Board of Revenue (NBR)
NBR is the central authority for administering tax in Bangladesh. It operates under the Internal Resources Division (IRD) of the Ministry of Finance, Peoples’ Republic of Bangladesh. NBR is responsible for collecting tax revenues such as Value-Added Tax (VAT), Customs Duty, Excise Duty and Income Tax. There are five wings that operate under the NBR- Customs Wing, VAT Wing, Income Tax Wing, IT Wing and lastly Research and Statistics Wing. It is the institution which formulates tax policies and tax laws; negotiates tax treaties with foreign governments and actively participates in the inter-ministerial meetings on economic issues relating to fiscal and tax management of Bangladesh.
NBR is regulated by several laws and the following comprise of the most important ones that an investor is usually faced with:
1. Income Tax Ordinance (ITO), 1984 as amended up to July 2015;
2. Income Tax Rules 1984;
3. Customs Act 1969;
4. Value Added Tax (VAT) Act 1991;
5. VAT Rules 1991;
6. Finance Act 2016.
Office of the Chief Controller of Imports & Exports (CCI&E)
The CCI&E plays a significant role in the trade policy formulation of Bangladesh. The main objectives of this organization are to promote the national trade and generate more revenue for the Government. By proper monitoring and supervising the rules and regulations of the trade policy, Government can improve imports and exports activities of the country.
The services rendered by the CCI&E are listed below:
1. Issuance of Industrial & Commercial Import Registration Certificate (IRC);
2. Issuance of Export Registration Certificate (ERC);
3. Issuance of Indenting Registration Certificate (Indenting RC);
4. Issuance of Import cum Export permit;
5. Issuance of Export cum Import permit;
6. Issuance of explanation regarding Import policy.
Bangladesh Standards and Testing Institution (BSTI)
BSTI is an institution which sets the benchmark of quality and dimensions and prepare and promote the general adoption of standards on national and international basis relating to materials, commodities, structures, practices and operations and withdraw, revise, alter and amend the same. BSTI also provides or arranges facilities for examination, testing and inspection of commodities, processes and practices for any investigation, research or promotion of export that may be necessary and to issue test reports. Further, it certifies the quality of commodities, materials, produces, products and other things including food irrespective of whether it is for local consumption, for import or export.
Department of Inspection for Factories and Establishment (DIFE)
DIFE’s primary function is to approve factory plans and provide
the associated permits, registration and licenses for factories. Chief Inspector of Factory and Establishment (CIFE) leads this institution that operates under the Ministry of Labour and Employment which is responsible for ensuring the occupational safety of the workers in factories.