Prime Minister Tarique Rahman on Tuesday announced that young entrepreneurs with promising business ideas will be able to access government-backed startup financing without collateral, saying the initiative is aimed at removing one of the biggest barriers facing first-time innovators.
He also assured entrepreneurs that viable startups which fail initially will be given another opportunity to secure funding, stressing that failure is a natural part of business and innovation.
The Prime Minister made the announcement while responding to questions from young entrepreneurs during a programme titled "Youth, Startups and the Bangladesh of Possibilities" at the Nabab Nawab Ali Chowdhury Senate Bhaban of Dhaka University.
He also said the government has already decided in principle to remove traditional banking barriers that often prevent young innovators from accessing finance.
The event, organised by the Information and Communication Technology (ICT) Division in collaboration with Dhaka University, featured an open discussion where students directly questioned the Prime Minister about entrepreneurship, innovation, technology, education and employment.
A total of 230 students from eight universities participated in the interactive session moderated by University Grants Commission Member Prof Abdullah Al Mamun.
Among those who posed questions were students from Dhaka University (DU), Bangladesh University of Engineering and Technology (BUET), Jahangirnagar University (JU), Jagannath University (JnU), Bangladesh University of Professionals (BUP), Military Institute of Science and Technology (MIST), North South University and BRAC University.
Responding to a question from Nusrat Jahan, a DU Statistics student, who asked how young people without land or property could obtain loans, Tarique Rahman said the problem was well understood. "If I have to answer in one sentence, this is a problem we all know about," he said.
He said the ICT Division has allocated around Tk 500 crore to support startups. "From this fund, we will try to provide support ranging from Tk 5 lakh to Tk 5 crore for entrepreneurs," he said.
The Prime Minister said the government has also decided that first-time startup founders will not have to go through the usual banking procedures requiring land, assets or other collateral.
"A completely independent committee has been formed. There are no ministers or advisers on it. They will assess your project and, if they approve it, you will receive funding without any collateral," he said.
Asked whether entrepreneurs whose first startups fail will get another opportunity to secure financing, Tarique Rahman said the government will remain open to supporting promising projects.
"The money we provide is public money, not private money. But if your project still has potential, it will certainly be reconsidered," he said. "It happens in business. Sometimes ideas do not work on the first attempt. If there is still potential, it will be financed again, InshaAllah."
Responding to another question from JnU student Syeda Ananya Faria about supporting entrepreneurs outside Dhaka, the Prime Minister said the government wants to expand the startup ecosystem across the country instead of keeping it centred in the capital.
"We want young entrepreneurs like you to come forward from across Bangladesh. We want to reach you," he said.
Tarique Rahman acknowledged that building such an ecosystem will take time but expressed confidence that the goal could be achieved through sincere efforts. "It will take us some time. But if we all work sincerely together, I believe we will achieve our goal."
During the session, DU Genetic Engineering and Biotechnology student Nazmul Islam asked whether the government planned to establish a national genetic data bank.
The Prime Minister asked his Adviser on Information Technology Rehan Asif Asad to respond to the query.
Rehan said Bangladesh currently does not have a Digital Public Infrastructure (DPI) or an integrated national data platform.
He said the government has already announced the launch of a "One Citizen, One Digital Identity and One Digital Wallet" initiative, describing it as the country's first population database and population registry.
"This will be the first step. Once the population registry is in place, we can gradually move to healthcare, education and other public services," the adviser said.
He said a government delegation recently visited Estonia to study its internationally recognised digital governance system. "We will begin work on our Digital Public Infrastructure from the first week of August. Initially, we will integrate population data and later expand it to healthcare, education and other ministries," he said.
Rehan said the full system will take around 12-18 months to develop. "In about two years, you will be able to access these services and data from your room.”
Responding to a question from BRAC University student Samia Tahsin on challenges faced by Bangladeshi startups seeking to enter international markets, the Prime Minister said the government is working on policies and institutional support mechanisms to help local companies expand globally.
"We are working on policy reforms and our foreign missions will also have a role in supporting entrepreneurs abroad," he said.
Referring to ride-sharing platform ShareTrip, Tarique Rahman said the government wants to help build globally competitive Bangladeshi companies.
"If we can successfully take companies like ShareTrip to the global stage, we will be able to help many other smaller companies follow the same path," he said.
BUP student Sadman Shabab Azad asked whether the government will provide special support for startups working in agriculture technology, climate technology and health technology.
The Prime Minister replied in the affirmative. "Of course. Agriculture is one of the sectors where innovation is most needed. We will work with entrepreneurs and initiatives like iFarmer. We are ready to support new ideas that can bring real benefits," he said.
He said startup founders with innovative solutions in agriculture, climate adaptation, forestry and other priority sectors will receive government support if their ideas demonstrate practical value.
Replying to a question from BUET student Asif Azad on brain drain, Tarique Rahman said the government is pursuing a two-pronged strategy.
He said one objective is to create an environment where entrepreneurial talent can flourish inside the country.
The second is to attract major international investors to Bangladesh so that highly skilled graduates, including semiconductor engineers and technology specialists, can find world-class opportunities at home, the Prime Minister said.
"Many talented people leave because the required institutions, and opportunities do not exist here. We are trying to bring major investors to Bangladesh so our young people can build their careers without leaving the country," he said.
Tarique Rahman also said the government is expanding funding opportunities for research and innovation.
During the discussion, Nafis Azad invited the Prime Minister to visit the BUET campus and engage directly with students there.
Tarique Rahman welcomed the invitation and revealed that he had originally wanted the event to be held in a larger open space so that thousands of young people could participate.
"I wanted this programme to take place where students and young entrepreneurs gather. Unfortunately, technical reasons prevented that. But I share the same wish and hope to arrange such events in the future," he said.
Responding to a proposal from MIST student Nafisa Tasnim Zahara regarding the formation of a National Design Innovation Commission, the Prime Minister said the government had not previously considered the idea in that form but acknowledged the need for greater standardisation and coordination in public project design.
He said the government is also considering ways to create opportunities for young architects, engineers and designers through open competitions and innovation-focused initiatives.
DU Robotics and Mechatronics student Khondaker Mehrab Anwar suggested better Wi-Fi facilities and support for startup founders in IT parks.
The Prime Minister said the government wants IT parks to provide workspace, connectivity and other facilities for entrepreneurs.
"If you are a robotics entrepreneur, we can allocate space in an IT park so that you can work comfortably without worrying about land, office space or uninterrupted internet access," he said.
Tarique Rahman added that such support could help innovators develop technologies for farming, traffic management and other practical applications.
DU Vice Chancellor Prof ABM Obaidul Islam and Prof Morshed Hasan Khan of the university's Management Department also spoke.
At the end of the programme, the Prime Minister inaugurated the National Startup and Entrepreneur Platform and later visited exhibition stalls set up by young entrepreneurs, where he exchanged views with innovators and startup founders.