Bangladesh’s transition toward electric mobility is taking shape as more than an environmental initiative, with the government positioning the electric vehicle (EV) sector at the center of a broader strategy to strengthen energy security, reduce dependence on imported petroleum and promote sustainable industrialization.
The National Budget for Fiscal Year 2026-27 (FY27) and the Bangladesh Climate Budget Report 2026-27 outline a series of tax reductions and incentives designed to accelerate the adoption of environmentally friendly transportation while supporting the growth of a domestic EV ecosystem.
The move comes against the backdrop of Bangladesh’s heavy reliance on imported energy.
According to the budget documents, the country currently imports approximately 95 percent of its petroleum requirements, making fuel dependency a signifi cant national concern.