Prime Minister Tarique Rahman left Dhaka for Tokyo on Sunday on a four-day official visit aimed at expanding trade and investment, creating employment opportunities and increasing exports of skilled workers to Japan.
During the visit, he is scheduled to hold a bilateral summit with Japanese Prime Minister Sanae Takaichi, meet leading business executives and investors, and visit automobile and energy facilities.
Ahead of the visit, Bangladesh has prepared a proposed investment and cooperation package worth $13.8 billion across 12 priority sectors for 2026-2031. Meanwhile, Japan's private sector plans to invest approximately 1 trillion yen, or $6.35 billion, in Bangladesh over the next five years, according to Reuters, citing Japanese media outlet Nikkei Asia.
The proposed investments cover transport, industrialisation, manufacturing, energy, technology, agriculture, pharmaceuticals, information technology, tourism, and small and medium-sized enterprises.
Foreign Secretary Asad Alam Siam said discussions would cover cooperation in agriculture, fisheries, human resource development, skills enhancement, civil aviation, marine environmental protection and local government modernisation.
Around eight memorandums of understanding (MoUs) are under discussion, three to four of which could be signed during the visit, according to the Ministry of Foreign Affairs.
Investment in Toyota's factory and energy infrastructure
Automobile manufacturing and energy infrastructure are among the major areas of potential Japanese investment.
According to diplomatic sources, Japanese automaker Toyota is planning to invest around $500 million in a vehicle assembly plant in Bangladesh. The project could create opportunities for local companies involved in manufacturing automobile components and cables, while generating employment for engineers and technically skilled workers.
On Thursday, the final day of the visit, Tarique Rahman is scheduled to visit Toyota Motor Corporation's Motomachi Plant in Nagoya. He is also expected to attend a luncheon hosted by Toshimitsu Imai, president and chief executive officer of Toyota Tsusho Corporation, and visit the Toyota Commemorative Museum of Industry and Technology.
Meanwhile, Japanese energy company JERA has proposed developing an LNG terminal and related infrastructure in the Maheshkhali-Matarbari area to help address Bangladesh's industrial gas shortage, diplomatic sources said.
On Tuesday, the prime minister is scheduled to visit JERA's onshore LNG terminal and power plant in Futtsu, Chiba Prefecture. He will also visit the Nittsu Logistics Hub in Ichikawa.
$13.8 billion investment proposal
Bangladesh's proposed package includes $3.45 billion for transport and urban connectivity, $3.14 billion for integrated industrial, port and commercial hubs, including Matarbari, and $1.57 billion for manufacturing and electronics.
Another $1.26 billion is proposed for energy and green transition initiatives, while $940 million would go towards climate-resilient infrastructure. The remaining $3.45 billion would cover agriculture, pharmaceuticals, information technology, the blue economy, tourism and small and medium-sized enterprises.
Japan has long supported Bangladesh's infrastructure development, including Dhaka's metro rail, the third terminal of Hazrat Shahjalal International Airport and the Matarbari deep-sea port.
The two countries are expected to discuss the costs and loan terms of ongoing projects, including reducing metro rail construction costs, lowering interest rates on Japanese loans and accelerating project implementation.
Matarbari at the centre of the BIG-B initiative
The visit is also expected to focus on Japan's Bay of Bengal Industrial Growth Belt (BIG-B) initiative, launched in 2014 under then Japanese Prime Minister Shinzo Abe to support Bangladesh's industrialisation, infrastructure development and regional connectivity.
Diplomatic sources said the initiative was being updated around four pillars, reflecting the Bay of Bengal's growing economic and strategic importance.
The first focuses on regional connectivity and integrated logistics, including developing Matarbari's deep-sea port and energy infrastructure as an international trade hub. The plan also aims to improve goods transportation links with India's northeastern states, Nepal and Bhutan.
The second pillar focuses on alternative maritime routes to address natural disasters, international conflicts and global supply chain disruptions. The third emphasises public-private partnerships, business modernisation and reducing administrative barriers to investment. The fourth focuses on regional peace and maritime security.
Japan has already handed over five patrol vessels to the Bangladesh Navy. Discussions may also advance the supply of a modern 35-metre patrol vessel to the Bangladesh Coast Guard, a diplomatic source in Tokyo said.
EPA to boost trade
Bangladesh and Japan signed an Economic Partnership Agreement (EPA) in February, creating opportunities to expand trade and investment.
According to the Export Promotion Bureau and Bangladesh Bank, Bangladesh's annual exports to Japan crossed $1 billion for the first time in the 2015-16 fiscal year, rising to $2.8 billion in 2021-22.
Japan is currently Bangladesh's ninth-largest export destination and its second-largest market in Asia.
Although readymade garments dominate exports, Bangladesh has opportunities to increase pharmaceutical and information technology exports. Greater Japanese investment could also help expand exports of products manufactured in Bangladesh.
In a survey by the Japan External Trade Organization (JETRO), 73.2% of 57 Japanese companies identified Bangladesh as a priority destination for business expansion, while 61% cited its strong growth potential.
The Bangladesh Special Economic Zone in Araihazar, Narayanganj, developed with Japanese cooperation and involving Sumitomo Corporation and other partners, could also attract further investment.
Expanding employment opportunities in Japan
Sending skilled and semi-skilled workers to Japan is another key priority.
In August 2019, Bangladesh and Japan signed a memorandum of cooperation to recruit Bangladeshi workers in 14 sectors under Japan's Specified Skilled Worker (SSW) programme. In May 2025, the two countries agreed to recruit at least 100,000 Bangladeshi workers over the following five years.
On October 17, the countries signed another five-year memorandum of cooperation on employment and skills development, which is automatically renewable for a further five years. The initiative aims to expand recruitment opportunities from April 1, 2027.
Technical training, Japanese-language education and professional qualifications will be important in preparing workers for Japan's labour market.
Foreign Secretary Asad Alam Siam said human resource development and skills enhancement would feature in discussions during the visit. Separate MoUs on education and human resource development are also scheduled.
Meetings with Japanese business leaders
On Monday, Tarique Rahman is scheduled to meet Taro Aso, president of the Japan-Bangladesh Parliamentary Friendship League, Masumi Kakinoki, chairman of the Japan-Bangladesh Committee for Commercial and Economic Cooperation, and Dr Akihiko Tanaka, president of the Japan International Cooperation Agency.
On Tuesday, he will hold a summit with Japanese Prime Minister Sanae Takaichi, followed by a joint press conference. Discussions are expected to cover bilateral relations, trade, investment, infrastructure and regional and international issues.
On Wednesday, the prime minister is scheduled to meet Kazuhiko Amakawa, governor of the Japan Bank for International Cooperation, and visit Uniqlo's headquarters to meet its president and board members.
He will also meet JETRO President Susumu Kataoka and representatives of Mitsui & Co, Sumitomo Corporation and JERA. Two group meetings are planned with representatives of 14 additional Japanese companies.
The prime minister will deliver the keynote address at the Bangladesh-Japan Economic Forum in Tokyo, where business leaders and investors from both countries are expected to discuss trade expansion and new investment opportunities.
On Thursday, he will visit Toyota's facilities before returning to Dhaka via Tokyo. He is scheduled to arrive at 10:35pm on Thursday.
His delegation includes his wife, Dr Zubaida Rahman; Finance Minister Amir Khasru Mahmud Chowdhury; Finance and Planning Adviser Rashed Al Mahmud Titumir; State Minister for Foreign Affairs Humaiun Kobir; State Minister for Power, Energy and Mineral Resources Anindya Islam Amit; Adviser to the Posts, Telecommunications and Information Technology Division Rehan Asif Asad; BIDA Chairman Ashik Chowdhury; and the prime minister's Special Assistant Md Shakirul Islam Khan, along with government officials and media representatives.