Startup Ecosystem in Dhaka: Where Are We Now?

Startup Culture in Bangladesh: Prospects & Challenges

Introduction: The Rise of Startups in Bangladesh’s Capital

Dhaka, the bustling capital of Bangladesh, is no longer just the political and cultural heart of the nation—it’s also becoming a burgeoning hub for tech-driven entrepreneurship. Over the past decade, Dhaka’s startup ecosystem has gained serious momentum, fueled by an expanding digital infrastructure, increasing foreign interest, and a tech-savvy youth population.

From fintech and e-commerce to health tech and logistics, Dhaka-based startups are solving real-world problems for local and regional markets. This blog explores the current landscape, highlights key players, and outlines the opportunities and challenges that define Dhaka’s startup story in 2025.

🡪 Related reading: Budgeting for Digital Campaigns in Growing Businesses

Snapshot: Dhaka’s Startup Scene at a Glance

300+ registered startups (2025)
$700+ million in foreign investment since 2018
Over 50 incubators and accelerators
Key sectors: Fintech, Healthtech, Agri-tech, EdTech, and Logistics

Bangladesh’s Vision 2041 supports a knowledge-based economy. This aligns with the government’s Digital Bangladesh campaign and startup funding initiatives like the Bangladesh Startup Summit and the Startup Bangladesh Limited (iDEA project), a government-backed VC fund with a $65 million allocation.

🡪 Explore: Why Global Investors Are Looking Toward Bangladesh

Key Enablers of Startup Growth in Dhaka

1. Access to Talent

Dhaka is home to over 100 universities, producing thousands of engineering, business, and IT graduates each year. Universities like BUET, North South University, and Dhaka University are nurturing a new generation of entrepreneurs.

2. Affordable Infrastructure

Lower labor and office space costs compared to other South Asian hubs give Dhaka startups a cost advantage.

3. Supportive Ecosystem Players

Startup Bangladesh Limited – A government-led VC arm
Grameenphone Accelerator – Startup mentorship and funding
BD Ventures, SBK Tech Ventures, and Anchorless Bangladesh – Key VC firms supporting early-stage startups Bangladesh-Agent.com

Emerging Startup Sectors in 2025

🔷 Fintech

Fintech is booming, with platforms like bKash, Nagad, and Upay revolutionizing how people access financial services. New entrants are focusing on micro-loans, B2B payment solutions, and insurance tech.

🔷 E-Commerce and Retail Tech

Even post-COVID, e-commerce continues to thrive. Startups like Chaldal (grocery delivery), AjkerDeal, and ShopUp are reshaping retail logistics and digital payments for rural sellers.

🔷 Health Tech

Platforms like Praava Health and CMED Health are bringing diagnostic services and digital consultations to the masses.

🔷 Agri-Tech

Startups such as iFarmer and Krishok Bondhu connect farmers with financing, buyers, and advisory services, solving supply chain inefficiencies in agriculture.

🔷 Logistics and Last-Mile Delivery

Logistics players like Pathao, Paperfly, and Truck Lagbe are transforming delivery services in the densely populated urban areas of Dhaka.

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Challenges That Remain

Despite the momentum, the Dhaka startup ecosystem faces several hurdles:

🔸 Access to Global Capital

While some startups have attracted foreign investors, most struggle to connect with global VCs due to limited visibility and lack of robust financial reporting.

🔸 Regulatory Ambiguity

Startups in fintech, ride-sharing, and cross-border e-commerce often face unclear or outdated laws.

🔸 Digital Payment Adoption

Despite mobile money growth, only 30% of the population has access to formal banking, limiting widespread adoption of SaaS and subscription-based models.

🔸 Infrastructure Bottlenecks

Issues like traffic congestion, internet reliability, and electricity shortages affect both operational efficiency and investor confidence.

Role of Agents in Supporting Startup Growth

As foreign companies and investors show interest in Bangladesh’s startups, local agents play a critical role by:

Connecting startups with overseas buyers, partners, and platforms
Assisting in legal documentation, especially for foreign funding and export
Facilitating B2B matchmaking and trade fair participation
Guiding startups through import regulations, customs procedures, and logistics

🡪 Learn more: Top Services Every Global Brand Needs When Entering the Bangladeshi Market

Government and Institutional Support

✅ ICT Division

Offers grants, mentorship, and policy support to digital startups.

✅ iDEA Project (Innovation Design and Entrepreneurship Academy)

Provides seed funds of up to BDT 10 million (~$90,000) to promising startups.

✅ Bangladesh Startup Summit

Held annually to showcase Bangladeshi startups to international VCs and angel investors.

🡪 Also check: Role of Public-Private Partnerships in Growth

Success Stories from Dhaka

Pathao – Expanded from ride-sharing to logistics, food delivery, and payments.
bKash – One of the most successful mobile money platforms in South Asia.
ShopUp – Raised over $100 million and is solving B2B commerce for small businesses.

These success stories have not only inspired more startups in Dhaka but also brought global visibility to the city’s innovation potential.

What’s Next? Outlook for 2025–2030

As Bangladesh moves toward becoming a middle-income country, Dhaka’s startup ecosystem is likely to:

See more cross-border collaborations
Build regional unicorns (companies valued over $1B)
Develop stronger ties with startup hubs like Singapore, Dubai, and Bengaluru

With the right policy frameworks, access to capital, and local agent partnerships, Dhaka could become South Asia’s next big startup destination.

Final Thoughts

The startup ecosystem in Dhaka is alive, ambitious, and accelerating. While challenges remain, the talent pool, low costs, and growing investor interest make it a prime location for both local and foreign entrepreneurs. With support from agent networks, incubators, and government programs, the stage is set for Dhaka to shine as a regional innovation powerhouse.

🡪 Looking to enter Dhaka’s startup scene or partner with Bangladeshi startups?
Contact Bangladesh-Agent.com to connect with local agents, sourcing experts, and startup consultants who know the ecosystem inside and out.