Business startup process to be cut to 14 days, govt plans major reforms

The government is working to simplify the business startup process and reduce bureaucratic hurdles, with a target of enabling businesses to be launched within 14 days.

Commerce Minister Khandaker Abdul Muktadir made the remarks on Monday while speaking as chief guest at a briefing session titled “Aligning Investment, Trade and Decent Work Agenda for Resilient and Inclusive Supply Chains” at Hotel InterContinental in Dhaka.

He said that while it previously took nearly a year to launch a business startup, the government now aims to reduce the process to just two weeks. Under the ideal scenario, a company would be able to open a letter of credit (LC) for importing machinery by the 15th day.

The event was jointly organised by the International Labour Organization (ILO) and the Bangladesh Investment Development Authority (BIDA).

The minister said that the United Nations Committee for Development Policy (CDP) recommendation on Bangladesh’s LDC graduation timeline should not be viewed merely as an extension, but as a structured opportunity for preparation. He stressed that the transition period must be used to strengthen institutional capacity, enhance economic competitiveness, diversify production bases and prepare the country for post-LDC realities.

He added that the recently proposed budget emphasises a “democratic, humane and inclusive” economy, which is not rhetorical but reflects the government’s core policy direction. He said the budget prioritises simplification of business procedures, reduction of licensing complexities and diversification of markets.

Khandaker Abdul Muktadir further said that international buyers, investors and consumers are increasingly prioritising stability, sustainable development, transparency, regulatory compliance and responsible business conduct. Global supply chains, he noted, are being reshaped in line with environmental protection, labour rights, human rights due diligence, climate resilience and geopolitical realities.

He said countries that can align economic growth with social responsibility and sustainability will thrive in this evolving global landscape, adding that the government is firmly committed to supporting this transformation.

The minister also said the Ministry of Commerce has recently established a Responsible Business Conduct (RBC) Cell to ensure ethical business practices. The cell will function as a coordination platform among government agencies, regulators, business associations, worker representatives and development partners.

He said the government’s objective is to place Bangladesh’s future growth on a sustainable, inclusive, accountable and globally competitive foundation.

Responding to forum recommendations, he said the government fully agrees with proposals to expand Bangladesh’s participation in global trade, attract investment and simplify business processes to position the country as a credible sourcing and manufacturing hub. He added that a committee has already been formed to identify areas where processing times can be reduced and procedural overlaps removed.

He further said a public announcement will be made in July outlining how these reforms will be implemented to ease business startup process.

Speakers at the event included European Union Ambassador Michael Miller, BIDA Executive Member Md Humayun Kabir, UN Resident Coordinator Gwyn Lewis, and Foreign Ministry Secretary (Bilateral – East and West) Dr Md Nazrul Islam.