Liaison Office Setup in Bangladesh


Foreign Companies can open Liaison Office in Bangladesh to facilitate the activities of the Parent Company in Bangladesh. Generally Liaison Offices are used as communication channel between the Foreign Company and the Bangladeshi Customers. Foreign Companies established Liaison offices to promote their business through advertising, spreading awareness of their products and/or services and exploring their opportunities for setting up a permanent office. Liaison Office also requires Registrar of Joint Stock Companies and Firms (RJSC). 

In Bangladesh Liaison Offices are not allowed to run any kinds of business activities and cannot generate any revenue as per the terms of approval granted by the Bangladesh Investment Development Authority (BIDA). All kind of expenses of the Liaison Office shall have to be paid by the mother company through inward remittance of foreign exchange. 

Liaison Office is Permitted Activities in Bangladesh:

In Bangladesh A Liaison Office is permitted to run the following activities; 

  • Maintain liaison between Mother Company and the Local Agents, Distributors and Customers. 
  • Collect, Compile, Analyze business information related to its filed. 

Liaison Office Compliance in Bangladesh:

In Bangladesh the following activates need to do the following activates in compliance as per laws and regulations: 

  • The activities of a Liaison Office shall remain confined to the specific area and time mentioned and approved by BIDA and for extension have to apply at least 2 months before the expiry of the term. 
  • If the company intends to appoint any foreign nationals in they should obtained work Permit from BIDA. 
  • An amount of foreign exchange equivalent to the sum of not less than US$ 50,000 or equivalent as estimated initial establishment cost and 6(six) months operational expenses of the Office must be brought in as inward remittance in Bangladesh within 02(two) months from the date of issuance of the BIDA permission letter.
  • Quarterly return of incomes and expenditures out of remittances received from abroad shall have to be submitted.
  • Any change(s) of present address shall be intimated to the BIDA for necessary action and approval before the proposed change is carried out.
  • The permitted Office shall have to obtain clearances/ licenses from the concerned government agencies, as and where required, under the existing rules of the country.
  • The permitted Office shall have to pay duty/income tax/VAT/revenues and other taxes payable to the government under the existing laws of Bangladesh.
  • For establishing more than one Office of the permitted Branch or Liaison Offices in Bangladesh, the foreign company shall have to take separate prior permission from the Bangladesh Investment Development Authority.
Book a Quick Consultation Roy & Associates