Bangladesh’s Startup revolution: creating jobs, driving innovation, and securing the future
Bangladesh's startup ecosystem has become a driving force for economic growth, job creation, and innovation over the past decade. Startups are solving local challenges, building infrastructure, and generating employment opportunities. These ventures significantly contribute to reducing youth unemployment, a key target of the Sustainable Development Goals (SDGs), while also connecting Bangladesh to global investment opportunities and fostering international partnerships.
Sectors such as e-commerce, fintech, logistics, travel tech, edtech, and many more have emerged as essential components of the economy, providing homegrown solutions for both local and global audiences. With a young, tech-savvy population and increasing digital connectivity, Bangladesh is now firmly positioned as an emerging hub for startups and entrepreneurship.
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However, for this ecosystem to continue flourishing and advancing, it requires a balanced combination of investment, policy support, and collaboration among founders, investors, and accelerators. The journey for the startup ecosystem has been challenging, but visionary leaders and investors have laid the foundation for sustainable growth.
How a nascent community caught global attention
The evolution of Bangladesh's startup ecosystem demonstrates how a local movement can have a profound impact and attract global recognition by addressing everyday challenges through innovative solutions. Even as the ecosystem developed, there was a lack of access to venture capital; early-stage startups had to demonstrate resilience, agility, and drive. Their ability to scale effectively while solving real problems sparked international interest, drawing investment from renowned global investors.
Ridmik, launched in 2012 by Shamim Hasnath, introduced a Bangla-language keyboard that significantly enhanced digital communication in the native language. Now downloaded over 100 million times, with 40 million monthly active users, Ridmik promotes digital inclusion through simplified language accessibility, enhanced English literacy, and cultural relevance for millions of Bangladeshis daily.
In 2013, Chaldal revolutionised grocery shopping in Bangladesh. Founded by Waseem Alim and Zia Ashraf, Chaldal streamlined logistics, created jobs, and integrated small businesses into its supply chain. With $35 million in global investments from backers like IFC and Y Combinator, Chaldal has become the largest online grocery platform in the country.
Pathao, launched in 2015 by Hussain Elius, the late Fahim Saleh, and Shifat Adnan, began as a logistics company and quickly expanded into ride-sharing and food delivery. Pathao's regional expansion into Nepal in 2018 demonstrated that Bangladeshi startups can succeed internationally. The company's growth has created hundreds of thousands of jobs, raising over $50 million and serving millions of users through its super-app.
In 2017, ShopUp was founded by Afeef Zaman, Ataur Rahim Chowdhury, and Siffat Sarwar to empower micro-enterprises with digital tools and financing. With close to $200 million in investments from Valar Ventures, Prosus, and Tiger Global, ShopUp has created thousands of jobs in the informal sector and advanced financial inclusion for small businesses.
Founded in 2018 by Fahad Ifaz and Jamil Akbar, iFarmer is an agri-fintech startup focused on transforming Bangladesh's agricultural landscape by addressing the challenges of smallholder farmers, providing access to financing, agricultural inputs, market opportunities, and advisory services.
The startup connects investors to over 10,000 farmers, allowing these investors to fund farms while tracking progress through mobile technology.
These companies demonstrate how startups are not only solving local challenges but also building essential infrastructure, generating employment, and attracting investment. Their success strengthens Bangladesh's economy today while positioning the nation for sustainable growth and global competitiveness in the future.
Founders and investors shaping the ecosystem
Alongside the founders, angel investors, venture capitalists, and startup advocates have played a crucial role by providing early-stage capital, strategic mentorship, and international introductions and connections. These supporters are essential not only for helping startups navigate challenges but also for building trust among global investors.
Tanveer Ali is one such early champion. As an early investor in Pathao, Chaldal, ShopUp, Ridmik, ShareTrip, Barikoi, and many more, he is a serial investor who has helped these companies attract foreign investment and scale sustainably. As early as 2016, Tanveer guided foreign institutional investor Skycatcher Fund LP to invest in key Bangladeshi startups such as Pathao and Deligram, helping these startups scale operations and attract global attention for future financing needs.
He also co-founded Data Bird, an internet ecosystem builder in Bangladesh. Data Bird has raised close to $10 million in foreign capital, with investments from prominent individuals at Singapore's GIC, Asian venture capital funds, and US family offices.
Through Data Bird, Tanveer has also raised awareness of the opportunities within Bangladesh's startup ecosystem, bringing in investors who would not have otherwise considered investing in the country. Tanveer's efforts reflect a patriotic vision: using foreign partnerships to empower local entrepreneurs, create sustainable jobs, and expand infrastructure to benefit Bangladesh's long-term growth.
Rahat Ahmed, founding partner of Anchorless Bangladesh, has also focused on bridging local startups with global investors, helping businesses grow sustainably. His investments in companies like Shikho, Agroshift, and Loop have ensured that startups scale efficiently, create jobs, and build strong global networks. Rahat's work exemplifies how collaborative investments can address key challenges like unemployment and financial inclusion, reinforcing Bangladesh's economic resilience.
Nazim Farhan Choudhury is a prominent serial entrepreneur and investor in Bangladesh's startup ecosystem. In addition to launching multiple businesses, he has been actively involved in the ecosystem with investments across fintech, home services, and children's entertainment, highlighting his diverse interests and contributions to growing new businesses.
Through his various roles, he has become an influential voice in the development of the ecosystem, particularly in fostering innovation and supporting new entrepreneurs with financial backing and strategic advice.
Together, these founders, investors, and advocates are driving forces behind the vision of making Bangladesh a regional startup hub, while countless others also play vital roles in inspiring future innovators and fostering sustainable partnerships with global stakeholders.
Protecting startups to secure Bangladesh's future
To sustain the growth of Bangladesh's startup ecosystem, policy reforms and public-private collaboration are essential. Regulatory clarity is critical for early-stage funding, ensuring that investors feel confident about long-term commitments. Programmes like the GP Accelerator and YY Ventures have already demonstrated the value of public-private initiatives by providing startups with the resources and mentorship needed to scale.
Embassy-backed funding programmes have further strengthened international confidence in Bangladesh as a destination for venture capital.
However, sustained progress will require proactive policy support, including simplified regulations for startups and streamlined processes for securing investment. Collaboration between the government and private sector is essential to create an innovation-friendly environment where startups can thrive and enhance Bangladesh's economy.
By promoting startups, Bangladesh can achieve economic resilience, reduce unemployment, and unlock new opportunities for all its citizens. Through strategic reforms and collective efforts, the country can position itself as a regional leader in innovation, where entrepreneurs drive growth, create jobs, and improve millions of lives.
As Bangladesh evolves into a hub for venture capital and innovation, supporting entrepreneurship and fostering partnerships between the private sector, public institutions, and international investors will be key to solving local challenges and securing the nation's global relevance.
The future of Bangladesh's startup ecosystem depends on collaboration between founders, investors, and policymakers.
Founders like Waseem Alim, Hussain Elius, Afeef Zaman, and Fahad Ifaz, alongside mentors like Tanveer Ali, Rahat Ahmed, and Nazim Farhan Choudhury, have laid the foundation for a thriving entrepreneurial ecosystem. Their efforts must be recognised and protected to inspire future generations, mentor new entrepreneurs, attract international partnerships, and sustain investor confidence.
With their expertise, the next generation of startups can build scalable solutions that address both local and global challenges.
Safeguarding the integrity, dedication, and contributions of these ecosystem champions is paramount for building a culture of trust that inspires future leaders. We must actively support, uplift, and commend their efforts to ensure their continued impact.
By championing, supporting, and empowering the people behind the growth of its startup ecosystem, Bangladesh can build a future where startups drive prosperity, create opportunities, and secure the nation's place on the global stage.
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