Japan plans $6.35 billion investment in Bangladesh over 5 years

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Japan is considering mobilising 1 trillion yen, or about $6.35 billion, in private investment in Bangladesh over the next five years, Nikkei Asia reported on October 22.

The proposed investment could target automobile and other manufacturing industries, as well as energy infrastructure, according to the report.

The plan may also involve Japanese companies investing in special economic zones developed in Bangladesh with Japanese participation.

Japanese trading company Sumitomo Corporation is among the parties involved in developing a special economic zone in Bangladesh. Increased investment could support industrial growth, create jobs and improve technology and skills, the report said.

The investment initiative is expected to feature prominently during Prime Minister Tarique Rahman's four-day visit to Japan from October 26 to 29, at the invitation of Japanese Prime Minister Sanae Takaichi.

The two leaders are scheduled to hold talks at the Japanese prime minister's office on October 27, followed by a joint statement and a luncheon hosted by Takaichi.

Their discussions are expected to cover strategic ties, trade, investment, infrastructure, development cooperation and regional and international issues.

During the visit, Rahman is scheduled to meet representatives of the Japan International Cooperation Agency (JICA), the Japan Bank for International Cooperation (JBIC) and the Japan External Trade Organization (JETRO).

He is also expected to meet representatives of major Japanese companies, including Mitsui & Co., Sumitomo Corporation and JERA.

Rahman will deliver the keynote address at the Bangladesh-Japan Economic Forum in Tokyo, attended by business leaders and investors from both countries.

On Wednesday, he is scheduled to visit UNIQLO's headquarters and meet its senior officials. On Thursday, the final day of his visit, he is due to visit Toyota Motor Corporation's Motomachi plant in Nagoya.

The visit comes after Bangladesh and Japan signed an Economic Partnership Agreement (EPA) in February 2026. Both sides are seeking to implement the agreement, expand access for Bangladeshi products to the Japanese market and strengthen business ties.

If implemented, the proposed investment plan could boost Bangladesh's manufacturing and energy sectors, create employment, diversify exports and strengthen industrial partnerships with Japanese companies.

Source: BSS