Bangladesh, a nation of 170 million people, stands at a pivotal moment in its economic trajectory.
A country once synonymous with garment factories and microfinance is now betting on a new engine for growth: innovation and entrepreneurship.
This move makes sense.
With a median age of 27.6 and a rapidly digitizing economy, the country’s young population holds immense entrepreneurial potential.
But systemic challenges—lack of local support, and resources, policy and regulatory limitations, limited access to funding, a lack of global integration, and high startup failure rates—threaten to stifle this promise.
The path to building a thriving startup ecosystem is fraught with challenges. Local startups often struggle to access structured support, guidance, networks, and capital.
This is where Accelerating Bangladesh, a government-backed startup accelerator program designed to bridge these gaps and address systemic weaknesses, comes in.
Its thesis is clear: in a country where traditional industries dominate, structured support for startups is not just beneficial but critical to unlocking innovation, jobs, and global competitiveness.
The thesis holds water.
The number of active incubator and accelerator programs is an important indicator of the maturity and growth of a startup ecosystem. Countries like the US, China, or India have incubators and accelerator programs in the thousands. Programs like Y Combinator and Techstars have changed the startup landscape in many of these markets.
Building a startup is a tremendously difficult job. You can’t build a company all by yourself. You have to use every resource available to you, whether it’s emotional support, strategic or technical advice, or an introduction. This is where incubator and accelerator programs play important roles by providing initial support such as mentorship, connections, capital, space, and much more to fledgling startups and making them ready to face the world.
While startup accelerators are commonplace in Silicon Valley or Bangalore, in Bangladesh, they are few and far between.
Unlike mature markets, Bangladesh’s entrepreneurs face fragmented mentorship, scarce early-stage funding, and regulatory hurdles.
Accelerating Bangladesh, launched in 2023 as part of the World Bank-supported Digital Entrepreneurship and Innovation Ecosystem Development (DEIED) project, is designed to implement the Start-Up and Scale-Up program—one of the key packages under DEIED. The initiative aims to replicate the success of accelerator models in emerging economies such as Kenya and Indonesia, focusing on startups that demonstrate strong innovation, high-scale potential, and committed founding teams.
By providing startups with mentorship, market access, and capital, the program seeks to transform a high-risk landscape into one where ventures can scale sustainably—proving that homegrown innovation can thrive even in resource-constrained environments.
At its core, Accelerating Bangladesh is about more than just helping startups succeed—it’s about building an ecosystem where innovation can thrive. The ambition is to contribute to architect a robust startup ecosystem that empowers entrepreneurs to achieve success, drive economic growth, and contribute to national prosperity.
The program, born as part of the Digital Entrepreneurship and Innovation Ecosystem Development Project (DEIED) and powered by the Bangladesh Hi-Tech Park Authority (BHTPA) with support from the World Bank, aims to address the systemic barriers that have long stifled entrepreneurship in the country.
The idea is that: by providing startups with the right resources, mentorship, and access to capital, Bangladesh can unlock its entrepreneurial potential and create a new generation of businesses that drive job creation, innovation, and economic growth. Accelerating Bangladesh aims to address these critical gaps in the market and transform the country’s entrepreneurial potential into tangible outcomes.
This thesis is particularly relevant in a country where less than 20% of startups survive, less than 5% operate internationally, and a mere $38.2 million in funding was raised in 2022-23.
The program’s multi-faceted approach—ranging from founder development to global networking—seeks to turn these challenges into opportunities, helping create startups that can scale, attract investment, and compete on the global stage. Accelerating Bangladesh operates with a recognition of the systemic challenges facing the country's fledgling startup scene. "We see ourselves as architects of a goal-focused startup ecosystem," said a program representative, explaining the accelerator's mission to guide ventures toward "meaningful success and valuations."
Accelerating Bangladesh operates as a startup accelerator, offering tailored programs for entrepreneurs at different stages of their journey.
The program operates in three key streams:
1. Early-Stage Startups: For founders with a viable idea or a Minimum Viable Product (MVP), requiring no prior registration or revenue.
2. Women-Led Digital Enterprises: Specifically designed for female founders or co-founders with a digital business idea or MVP.
3. Growth-Stage Businesses: For registered startups with stable revenue, full-time staff, and a clear plan for scaling.
The program’s flagship initiative, the Startup and Scaleup Program (SSP), provides a structured pathway for startups to grow.
The structure follows a defined progression: induction, training sessions, one-on-one mentoring, pitch-deck development, bootcamp participation, and ultimately, selection of scalable startups.
Those selected undergo a rigorous curriculum and receive continued support that includes market validation, business model development, pitch-deck creation, and access to a local and global network of mentors and investors.
The program culminates in a bootcamp, where startups pitch their ideas to a panel of experts, with the most promising ventures receiving ongoing support. Additionally, selected startups also receive a compliance grant to maintain compliance for three years.
What sets Accelerating Bangladesh apart is its comprehensive support system, which goes beyond traditional mentorship, providing the tools, connections, and resources entrepreneurs need to build sustainable businesses. Participants get access to:
Most significantly, all services are provided free of charge. This holistic approach ensures that startups not only survive but thrive in a competitive global landscape.
Since its inception, Accelerating Bangladesh has made significant strides. As of 2024, its flagship Startup and Scaleup Program has engaged 677 startups across 28 cohorts nationwide, with a target of reaching 1,050 startups through 35 cohorts.
The program's reach extends beyond Dhaka (61.45% of participants) to other divisions including Chattogram (16.10%) and Khulna, though regional imbalances persist. Of the participating startups, 271 have been identified as scalable after completing the accelerator curriculum — an overall success rate of 40.02%.
The program has also made strides in addressing gender disparities, with 31.76% (215) of enrolled startups being female-led, significantly higher than the national average of 19%.
Success rates vary significantly by sector. Healthcare and Healthtech ventures show the highest success rate at 66.67%, followed by Software & Applications at 56.74%.
In contrast, Food, Agriculture, and Agritech startups struggle with a success rate of just 26.15%.
All selected startups were evaluated for innovation, scalability, and founder commitment. The assessment process gave weight to the founders' vision, efforts to build a sustainable business, and relevant past experiences that contributed to the business model's strength.
The results are promising:
However, challenges remain. Male-led startups have a slightly higher success rate (42.71%) compared to female-led ones (36.97%), and regional disparities persist, with Khulna showing the highest success rate (46.42%) and Mymensingh the lowest (26.22%).
The journey has revealed important lessons about entrepreneurship in Bangladesh.
Startups with existing revenue show higher success rates (52%) compared to pre-revenue ventures (32%).
Similarly, registered businesses outperform unregistered ones (47% versus 34%). Surprisingly, a large portion of early-stage startups, even those with revenue and potential, are non-compliant. This stems not just from lack of knowledge, but from reluctance or inability to invest in formalizing the business. The compliance grant was designed specifically to bridge this gap, enabling these startups to raise early capital and grow sustainably.
Regional differences are evident as well. Khulna division shows the highest acceleration success rate at 46.42%, while Mymensingh lags at 26.22%.
These disparities reflect broader economic patterns and access to resources across Bangladesh.
The program has had to navigate significant obstacles, including founders' limited industry-specific skills, insufficient market validation (60% of failures are attributed to poor research), and a general lack of specialized support (only 8% of startups receive industry-specific mentorship).
These challenges have shaped the program’s evolution, reinforcing the importance of tailored support, networking, access to capital, mentorship, compliance, and market validation.
Accelerating Bangladesh has set ambitious targets for the future. Beyond engaging 1,050 startups, the program aims to graduate over 320 early-stage and 120 growth-stage ventures.
These graduates are projected to generate significant economic impact: incremental revenue of 120+ crore taka (approximately $11 million), create 600+ jobs, grow valuation by 1,200+ crore taka ($110 million), and raise 60+ crore taka ($5.5 million) in investment.
As the program looks to the future, a renewed emphasis is being placed on building compliance readiness early in a startup's lifecycle with goals to create 250+ registered startup companies and certify 400+ founders and co-founders. This is expected to significantly improve fundraising outcomes and investor confidence.
This focus aligns with Bangladesh's broader ambitions to strengthen its digital economy. The program also plans to expand its geographic reach, diversify sectoral support, and expand gender inclusivity.
As Bangladesh continues its journey toward middle-income status, initiatives like Accelerating Bangladesh will be critical in unlocking the nation’s potential and ensuring that its large young population can thrive in the digital age.
Critics might question whether an accelerator program can overcome deep structural challenges in Bangladesh's business environment, including bureaucratic hurdles, infrastructure limitations, and access to early-stage capital. Others are critical of the quality and approach of the program, questioning the effectiveness of an events-based and scale-focused approach to entrepreneurship development.
Yet supporters see hope in the program's data-driven approach and commitment to inclusivity.
In a country where traditional paths to employment cannot absorb the 2 million young people entering the workforce each year, Accelerating Bangladesh represents a bet that entrepreneurship can create opportunities at scale.
Today, Bangladesh’s startup ecosystem is a paradox of promise and growing pains. As data from Accelerating Bangladesh suggests, Dhaka dominates with over 70% of startups, sectors like healthtech and fintech are rising, and young founders are increasingly tech-savvy.
Yet, glaring gaps persist. Most lack access to resources, networks, and mentorships. Venture capital remains nascent, with investors often hesitant to back untested ideas.
This is where active accelerator programs like Accelerating Bangladesh could be transformative. By offering localized support—tailored mentorship, compliance guidance, and connections to regional and global markets—accelerators can mitigate risks that deter investors and founders alike.
For instance, Accelerating Bangladesh’s focus on helping startups achieve revenue (52% of graduates are revenue-generating) and registration (47% become compliant businesses) directly addresses two key investor concerns.
Moreover, its emphasis on sectors like agritech and healthcare aligns with Bangladesh’s developmental needs, ensuring startups solve local problems while scaling globally.
The road ahead for Accelerating Bangladesh is challenging, but the program’s early successes offer a glimpse of what is possible. The inclusion of compliance readiness via both capacity building and financial support can be a new benchmark for accelerators in emerging markets. It ensures that even resource-constrained startups can become legally ready, attract capital, and scale with confidence. Alongside this, strong founder commitment remains a key predictor of long-term impact.
