Abstract

FDI is considered as an important tool for economic development of developing country. The term foreign direct investment is considered as one of the important contributors for the economic development of a country in particular and the world in general with the concept of globalization. Foreign direct investment has great impact on the development of developing country like Bangladesh. Foreign Direct Investment increases trade and investment, labor mobility, capital inflow, technology and know-how to the recipient country. The secondary data has been analyzed using tabular and graphical tools. Governments have now changed their policies from restricting towards promoting foreign investment. Though the government of Bangladesh provides fiscal, financial and other incentives, the actual flow of FDI is below the desired level.