Employing a foreign national in Bangladesh requires two things that are frequently confused: a work permit from the relevant investment authority, and a visa in the matching category. Holding one without the other is not lawful employment.
Which Authority Issues the Permit
- BIDA - for private sector industrial and commercial organisations outside special zones
- BEPZA - for enterprises inside export processing zones
- BEZA - for enterprises inside economic zones
- NGO Affairs Bureau - for foreign nationals working with registered NGOs
Apply to the authority that matches where the enterprise is registered; a misdirected application simply restarts the clock.
Core Eligibility Conditions
- The employer must be registered with the relevant authority
- The role should be one for which qualified local candidates are not readily available
- The expatriate-to-local employment ratio prescribed for the sector must be respected - commonly a small number of expatriates per local employees, with industrial and commercial sectors treated differently
- Employment is generally subject to a minimum age requirement
- The appointment must be supported by a board resolution
Typical Document Set
- Application in the prescribed form with the employer's covering letter
- Passport copy with the current visa page
- Academic certificates and professional experience documents
- Appointment letter or employment contract stating position, salary and duration
- Board resolution approving the appointment
- Company incorporation documents, trade licence, TIN and BIN
- BIDA, BEPZA or BEZA registration certificate
- Statement of the current local and expatriate employee count
- Audited financial statements and income tax clearance of the employer
Visa Categories
The E visa covers employment with a local entity. The PI visa covers foreign investors and directors. Short-term technical and business visits use business visa categories, which do not permit employment. Nationals of some countries may obtain a visa on arrival for business purposes, but that route is not a substitute for a work permit.
The usual sequence is: work permit recommendation, then visa issuance or conversion, then residence formalities and registration with the immigration authority as required.
Security Clearance
Expatriate employment is subject to security clearance from the Ministry of Home Affairs. This is the stage that most often extends the timeline unpredictably. Submit complete, consistent documentation at the outset - discrepancies between the passport, contract and application are the usual cause of re-verification.
Tax and Payroll Obligations
Expatriates are taxed in Bangladesh on income earned here, at the rates applicable to their residency status - and non-residents are taxed at a flat rate that is materially higher than the resident slab rates until residency conditions are met. The employer must deduct salary tax at source monthly and report it. The expatriate files an annual return, and an income tax clearance certificate is required on final departure.
Salary paid partly offshore does not remove the Bangladesh tax obligation on services rendered in Bangladesh. This is a recurring assessment issue.
Renewal and Ongoing Compliance
Work permits are issued for a defined period and renewed on application, usually with updated tax clearance and employment ratio evidence. Overstaying a permit or visa triggers penalties on both the employee and the employer. Track expiry dates centrally rather than relying on the individual.
How AeroNext Helps
AeroNext handles foreign entity and BIDA services - work permit applications and renewals, visa recommendations, security clearance follow-up, employment ratio planning and expatriate payroll and tax compliance - so foreign staff can start on schedule and stay compliant.
