FICCI Calls for Energy Reforms, Greater Domestic Exploration and Renewables to Boost Investment in Bangladesh

The Foreign Investors’ Chamber of Commerce and Industry (FICCI) has called for urgent reforms, increased domestic gas exploration, and accelerated investment in renewable energy to strengthen Bangladesh’s energy security, improve industrial competitiveness, and attract long-term investment. The call came at a high-level luncheon meeting titled “Sustainable Power and Energy: Driving Investment in Bangladesh,” held today in Dhaka to discuss the country’s energy challenges and identify practical solutions for a reliable, affordable, and sustainable energy future.

The meeting was graced by Amir Khosru Mahmud Chowdhury, MP, Honourable Minister for Finance and Planning, as the Chief Guest.

Shafiqul Alam, Lead Analyst, Bangladesh Energy, South Asia, Institute for Energy Economics and Financial Analysis (IEEFA), delivered the keynote address. The panel discussion was moderated by Mahbub ur Rahman, CEO, HSBC Bangladesh and former Director of the FICCI Board, and featured Shu Xiong, President and Managing Director, Chevron Bangladesh; Professor Dr. Mohammad Tamim, Vice Chancellor, Independent University, Bangladesh; Dr. Nazneen Ahmed, Executive Director, Centre for Policy Dialogue (CPD); and Fazlul Hoque, Administrator, FBCCI.

Finance and Planning Minister Amir Khosru Mahmud Chowdhury, MP acknowledged the significant energy and economic challenges facing Bangladesh, noting that the government had been addressing an energy crisis alongside inherited financial liabilities and structural weaknesses. He expressed confidence that the economy, including the energy sector, would begin to stabilise by the second year of the government’s tenure, with stronger growth expected in the following years. He emphasised the need to reduce the cost of doing business, improve the investment climate and strengthen the competitiveness of domestic industries through reforms and deregulation.

Highlighting the government’s plans to strengthen energy security, the Minister outlined initiatives to accelerate domestic gas exploration, expand renewable energy and develop LNG infrastructure. He said the government aimed to add around 10 GW of solar power capacity over the next two to three years, while expanding onshore and offshore gas exploration and exploring floating and shore-based LNG terminals and oil storage facilities. He also noted that the government was working to mobilise investment through international development partners, foreign investors and public-private partnerships to support the development of a more reliable, affordable and sustainable energy sector.

The Minister further underscored the importance of comprehensive reforms in taxation, banking and capital markets to restore confidence and facilitate investment. Referring to plans to separate the National Board of Revenue’s policy-making and enforcement functions, he said the government was pursuing measures to improve efficiency, transparency and accountability. He called on the private sector to work collaboratively with the government through this transition, expressing optimism that ongoing reforms and investment initiatives would strengthen macroeconomic stability, improve the business environment and support Bangladesh’s long-term economic growth.

In her remarks, FICCI President Rupali Haque Chowdhury highlighted how global energy disruptions have exposed Bangladesh’s vulnerability to imported fuels, raising industrial costs, disrupting production, and creating uncertainty for businesses. She stressed that energy security must go beyond ensuring supply to making energy reliable, affordable, and sustainable. She called for stronger domestic gas exploration, diversified LNG sourcing, modernised infrastructure, improved energy efficiency, and faster renewable energy investment. She also underscored the importance of regional cooperation and greater private-sector participation in building a resilient energy system to support industrial growth, export diversification, and job creation.

Delivering the keynote, Shafiqul Alam highlighted Bangladesh’s growing energy challenges, driven by declining domestic gas reserves, rising LNG imports, and volatile global fuel prices. He noted that domestic gas reserves could be depleted by 2036 without new discoveries, increasing pressure on power generation costs, industrial competitiveness, and household affordability.

He stressed that expanding domestic gas exploration, reducing gas losses, and accelerating renewable energy adoption are key to reducing import dependence. Rooftop solar, solar irrigation, industrial energy efficiency, and regional hydropower cooperation offer practical opportunities to strengthen energy security. He also underscored the need for stable policies, green financing, and stronger public-private partnerships to attract investment and support a more reliable, affordable, and sustainable energy sector.

During the panel discussion, the speakers highlighted the need for stronger domestic gas exploration, investment-friendly policies, and a diversified energy mix to ensure energy security and affordability. Shu Xiong stressed the importance of a stable regulatory environment to attract long-term foreign investment, while Prof. Dr. Mohammad Tamim emphasised balancing domestic gas production with renewable energy.

Fazlul Hoque highlighted the impact of energy shortages and rising costs on industrial productivity and investment, calling for greater support for rooftop solar and green financing. Dr. Nazneen Ahmed underscored the importance of attracting foreign investment while maintaining fiscal sustainability and affordable energy. The panelists collectively called for policy reforms and stronger public-private collaboration to ensure reliable energy supply, enhance industrial competitiveness, and support sustainable economic growth.

FICCI Board Director Shadab Ahmed Khan delivered the vote of thanks. The meeting brought together FICCI Board Directors, CEOs and senior representatives of member companies, diplomats, and other key stakeholders. The discussions underscored the importance of strong government-private sector collaboration in addressing immediate energy challenges and building a more secure, reliable, competitive, and sustainable energy future for Bangladesh.