Quarterly Foreign Direct Investment Inflows Continue To Fall

Aug 18, 2016

Quarterly Foreign Direct Investment (FDI) inflows, already down by over 9% in October-December (2015), fell by another 24% in Jan-Mar (2016), according to Bangladesh Bank Data. During January and March, foreign direct investment (FDI) stood at $410.68 million compared to $606.92 million of the same period last year.

On the quarterly basis, last two-quarters saw a continuous fall in FDI inflows, after a slight pick in April-June, 2015 Quarter. During Jan-Mar, 2016, total FDI inflow was US$410.68 million, a US$ 129.77 million or 24.01% less compared to immediate past quarter October-December 2015, which was US$ 540.45 million. Similarly, October-December, 2015 quarter saw a fall of US$ 57.63 million or 9.64% from July-September period, 2015.

Quarterly FDI Inflows From Jan-Mar, 2015 to Jan-Mar, 2016 | Data: Bangladesh Bank | Future Startup
Quarterly FDI Inflows From Jan-Mar, 2015 to Jan-Mar, 2016 | Data: Bangladesh Bank | Future Startup

Uncertain business climate along with administrative bottleneck, unfavorable business environment, lack of administrative support, infrastructure problem, and low status in important ranking accounts like Ease of Doing business by International Finance Corporation contributed to this sustained decline.

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