Bangladesh Market Research Summary

Economic Landscape

• Bangladesh is one of the fastest-growing economies in the region
• GDP growth projected to slow to around 4-5% in FY25, down from previous years
• Expected to bounce back in subsequent years
• Currently the 41st largest economy, projected to be the 25th largest by 2035
• Per capita GNI of approximately $2,227

Digital Adoption & Tech Trends

• Internet penetration projected to reach 59.56% in 2025
• Mobile internet users are growing significantly
• 50.4% of households are now connected to the internet (up from 43.6%)
• Approximately 77.36 million internet users in the country
• Mobile payments showing strong growth
• Smartphone adoption increasing, especially among middle-class consumers
• Projected 34 million Middle Affluent Consumers by 2025

Startup Ecosystem

• Over 1,200 new ventures established annually
• Bangladesh ranks 4th in South Asia and 83rd globally in startup ecosystem
• Average startup funding of approximately $2.6 million
• Dhaka dominates the startup landscape
• Upcoming Bangladesh Startup Connect 2025 event (April 7-9, 2025)
• Slow recovery in startup funding expected in 2025
• 4-5 Merger & Acquisition deals expected among startups founded in 2017-2018

Growing Sectors

• Fintech: Approximately 198 officially tracked fintech startups (likely over 500 in total)
• Healthtech: Highest success rate among startups at 66.67%
• Agritech: Significant potential for innovation and growth
• E-commerce: Continuing to expand with digital adoption
• AI applications: Opportunities in agriculture, healthcare, manufacturing, and finance
• Edtech: Growing sector with increasing digital adoption
• Cleantech: Potential for significant growth

Challenges & Opportunities

• Political turmoil in mid-2024 affected economic growth
• Need for economic diversification and job creation
• Supplementary duty on mobile data increased from 3% to 23%, affecting affordability
• Regulatory sandbox being considered to transform startup scene
• International investments playing a significant role in ecosystem growth