Bangladesh and Hong Kong have signed an “Investment Promotion and Protection Agreement (IPPA)” to enhance and safeguard bilateral investment.
The deal was signed on Wednesday during the opening session of the 11th “Belt and Road Summit 2026” held in Hong Kong.
Commerce Minister Khandakar Abdul Muktadir signed the accord on behalf of Bangladesh, while Algernon Yau, secretary for Commerce and Economic Development, signed on behalf of the Hong Kong government.
The agreement will significantly reinforce mutual investment and capital protection for investors from both sides. Alongside establishing an institutional investment environment, it is expected to generate new avenues for economic cooperation between the two jurisdictions.
Hong Kong is currently the seventh-largest source of investment for Bangladesh.
Following the execution of this new agreement, Hong Kong’s investment is expected to increase further, with strong potential for expanded capital inflow into promising sectors, particularly ready-made garments and textiles.
Over the past five years, Bangladesh has attracted about $750 million in foreign direct investment (FDI) from Hong Kong, with $122 million received in 2025 alone.
According to relevant stakeholders, the signing of the IPPA gives institutional shape to bilateral investment relations. Beyond driving investment, the accord is anticipated to exert a positive impact on strengthening overall economic ties and narrowing the trade deficit.
