Investment Opportunities inStartups in Bangladesh

Keynote Presentation bySami Ahmed

Managing Director
Startup Bangladesh LimitedWe are at the dawn of a new age,where our talented young people
will build the 'Smart Bangladesh’by 2041.
H.E. Sheikh Hasina
Honourable Prime Minister of the Government of thePeople's Republic of Bangladesh

What Do You
Know About
BA NGLA D ES H

By 2041,
Bangladesh is Moving Forward to Become aSoft Power Nation“A model of frugalsocial development
and South Asia’s
standout economicperformer”“Even with thesetbacks of the COVID19 pandemic,[Bangladesh] is on
track to become a
middle-incomecountry.”“Set to emerge as atrillion-dollar
economy powered byan ambitious businesscommunity.”

2023

2021

2022

Now, Bangladesh is a Tale of Unveiling Resilience
With a Booming Middle Class and a rapidly growing GDP per Capita

Consistent Growth Amid Shifting Global Norms

Consistent GDP Per Capita to Reach
USD 3,000 by 2024

7.1% GDP Growth Rate in 2022

14%
12%
10%
8%

7.9%

68.2%

6%

6.9%

7.1%

6.0%

6.5%

7.1%

43.4%

4%

322%
0%

52018

2019

20202021

2022
Bangladesh

Source: World Bank, BCG, IMF

2023 (P)2024 (P)2025 (P)

1$1.99K$2.15K$2.27K

2018

2019

2020

$2.50K

2021$2.73K

2022

Bangladesh$2.47K

2023 (P)$2.73K

2024 (P)$3.02K

2025 (P)Now, Bangladesh is a Tale of Unveiling Resilience
With a Booming Middle Class and a rapidly growing GDP per Capita

The MAC Population Surcharge Fueling Economic Consumption
Growing MAC Population to Reach
34 Mn by 2025

56

60

64

7075

81

2686

279280

7773

79

66

62

59

55

5248

2015

2016

2017

2018

2019

2020

2021

2022

20232024

2025

Aspirant

200

Emerging Middle

Middle & Affluent

6.1%

3.4%

6.3%

9.1%

155.5%

150
100

84

Bottom of Pyramid

250

50
07.9%
2.9%

2015

2016

2017

2018

2019

2020

2021

Final Consumption Expenditure (Current BN $)Final Consumption Expenditure Growth (%)

Source: World Bank, BCG, IMF

105$311 Bn

52

25

300$273 Bn

48

24

34$257 Bn

4423

31$236 Bn

1620

19
22

28$214 Bn

151925$193 Bn

1318

2220

350

$152 Bn

12171821

Increasing Final Consumption Trend

0-5-10Drivers of Economic Growth Supported byDigitally Proficient Young Population
35th Largest Economy
amidst global unrest shows
economic resilience

A growing MAC population
and a young, inclusive
demographic driving theworkforce

Aspiring factors
futureproofing
the country prospects

Total GDP

GDP per Capita

GDP Growth Rate

Second highest inSouth Asia
2022

Surpassing the South Asia Average
2022

Higher than the South Asia
Average 2022-23

USD 460 Bn

Median Age

24 YearsWith 62% under theage of 35 (2022)

Annual MAC
population growth

10.5%

34 MN middle and affluent
population By 2025

USD 2,824

Labor Force
Participation61% ; 75 Mn

6.03%

Female Labor Force
Participation

42.7% ; 22 Mn

South Asia’s average labor force
participation(2022) is 52.5%

Ranks first in South Asia
for gender equality

Set to become

Trillion
Dollar23rd Largest Economy
By 2041

Economyby 2040

Source: World Bank, BCG, IMF, HSBC, CEBR, BBS, Bangladesh Bank, Bangladesh Planning Commission, Global Gender Gap Report 2023, World Economic Forum

Digitization and Financial
Inclusion Across the Country
Propelling Economic Growth ofBangladesh

Mobile Usage

Financial Access

185Mn

97.9%

Total Mobile Phone
Subscriptions, 2023

Access toMobile Phones, 2022

Source: BTRC

Source: BBS

127Mn

Mobile Internet
Subscribers, 2023

Mobile Accounts
Registered for MFS,
2022

75%

USD 101Bn

Source: BTRC

Source: Bangladesh BankInternet penetration,
2022

Source: World Bank, BCG, IMF, HSBC, CEBR, BBS, Bangladesh Bank

201Mn

MFS/e-Money
Payments, FY 2022

Fintech andEmbedded Finance
USD615Mn

Funding Raised by Fintech
Startups 2010-2023 (includingbKash
SoftBank deal)
Source: LightCastle Partners

USD 30Mn+
Raised in 2023 byFinTech/Embedded
Finance Startups

16Unique Startups Funded
2010-2023
Source: LightCastle Partners

ICT Industry in Bangladesh
Export Areas, Skill Profiles, Growth Matrix

Industry Highlights
Over4500+

ICT
Companies$1.4Bn+ Export
Revenue$600M

Software andservices

Exporting to54** Source: BASISCountries
Worldwide$300 MBPO

The IT-ITES Industry is
Seeing Accelerated
Growth in Last 3 Years

Domain Expertise$400M

Freelancers$100M

Hardware,
NetworkServices andOthers

2010 - 2019

SoftwareDevelopment

AR/VR

Manufacturing

Mobile Application
Development

Artificial
Intelligence

Telecom

Web
Application

Blockchain

BPO

Desktop
publishing

EduTechE-commerceGamedevelopment

HealthTech

Logistics

Graphics
designing

FintechInternet ofThings

10% Growth Rate Annually2020 – till now

40% Growth Rate AnnuallyImpact and Beyond
Bangladesh
StartupEcosystem

Bangladesh Startup Ecosystem

On Track to Hit Total USD 1 Bn in Investments by Next Year!
Track Record Since 2013
The country boasts morethan 2,500 unique startups
supporting more than
1.5 Mn people

Receiving support fromaround 300 investors
through a strong global
network and a supportive
local investment scene
Empowering thehomegrown ecosystem to makesignificant strides in growth andmaturity

2,500 +Unique Startups
With 200+ NewStartups Each Year377 +USD 909 Mn+

298

1.5 Mn+Global And Local
Investors Invested

Jobs Directly &Indirectly Created
By Startups

750 K+USD 841 Mn

212

USD 68 Mn

170

93% of Total Funds

Total Investments
RaisedInvestment Deals
MadeFunds From Global
Sources

USD 2 Mn

314

Average Deal Size
Across All Rounds

Early Stage Deals

Grants, Pre-Seed, Seed, &Pre-Series A

Deals Led By Global
Sources

Funds From Local
Sources

55% of Total Deals

7% of Total Funds

USD 523 K

61

Grants, Pre-Seed, Seed, &Pre-Series A

Series A, Pre-Series B,
Series B+, and Debt
Financing

Average Early Stage
Deal Size

Late Stage Deals

Source: CBInsights, Startup Genome, Global Entrepreneurship Network, Crunchbase, National Venture Capital Association, CNBC.com

SMEs Digitized &Supported By
Startups

Deals Led By Local
Sources
45% of Total Deals

USD 12 Mn

Average Late Stage
Deal Size
Series A, Pre-Series B,Series B+, and Debt
FinancingStartups are Shaping the Future of Bangladesh
Catalysing the Journey towards the Smart Bangladesh
ImpactNotable Startup Impacts

Job Creation

Pathao, Bangladesh's super-app, has created over 300,000 jobs in last eight years, serving 60,000 small
businesses and over 8 Mn users with services like ride-hailing, food delivery, and digital payments.

InnovationbKash, Bangladesh's leading mobile financial service with over 45 Mn registered users, has fostered financial
inclusion by providing access to financial services to unbanked population.

EconomicInclusion

iFarmer, a fintech platform of over 400,000 farmers, connects retail investors with smallholder farmers, saving
each farmer up to USD 172 annually.

Tackling Covid-19
ImpactShopUp, a USD 200Mn-backed fintech platform, connects manufacturers to neighbourhood shops, serving over 20
Mn people and accounting for 50% of all e-commerce deliveries during the pandemic.

SocialImpact

Chaldal, the largest grocery eCommerce platform, serves over 2.5 Mn users and supported over 140,000 refugees
at Cox’s Bazar in partnership with World Food Programme.

SkillsDevelopment

10 Minute School, the largest edtech platform, teaches over 30 Mn students, providing quality education to eventhe most remote locations in Bangladesh.

HealthCare

Praava Health, a healthtech startup, is transforming Bangladesh by providing quality, patient-centric healthcare
services, serving over 500,000 patients till date.

Source: LightCastle Insights

The Local Startup Ecosystem
Investors

Ecosystem Builders & Professional Services

Government
Initiatives

SocialInnovation
LabBD

STARTUPFOUNDERS

Startup Bangladesh Limited

The USD 65Mn Gov-Backed VC Company
Invested More than USD 7 Mn in 26 Bangladeshi Startups

Startup Bangladesh Limited is the only flagship venture capital company of ICT Division
sponsored by the Bangladesh Government

Startup Bangladesh Limited’s Portfolio Investments
Achieved 2.5X Valuation and Generated Significant Impact

The Vision AheadSmart Bangladesh 2041

Based on the Foundations laid by the “Digital Bangladesh” Infrastructure .
123Vision 2021
Digital Bangladesh

Vision 2031

Vision 2041
Smart Bangladesh

Digital Bangladesh

2030 SDG Goals

Developed Nation Backed by
Knowledge Economy

Middle Income Country

Upper Middle
Income Country

High Income Country

Per Capita Income(USD)

2,594

5,000

12,500

Economic Position inthe World

40th

29th

23rd

ICT Sector in GDP

0.76%

5%

20%

Advanced

Emerging

FutureImportantTechnologies

Source: Smart Bangladesh Vision 2041 Policy Document* And many more11Smart Bangladesh 2041
Stands on Four Key Pillars

SmartCitizen

SmartEconomy

SmartGovernment

SmartSociety

Innovative

Cashless

Citizen-Centric

Inclusive & Equitable

SkilledResearch &Innovation-driven

Intelligent

Culturally Enriched

Empathetic

Entrepreneurial

Data-driven

Digitally Empowered

Progressive

Diversified

Ubiquitous

Human-centric

Agile

Knowledge-based

Efficient

Non-communal

Tolerant

ResilientTransparent & Accountable

Collaborative

Source: Smart Bangladesh Vision 2041 Policy Document

12

Launch of More Government Initiatives
To Propel The Startup Bangladesh Ecosystem

Startup Sandbox

Smart Bangladesh
FundNational Startup
PolicyNationalProcurement
e-Marketplace

Fund of Funds Initiative

NBR Sandbox

Fintech Accelerator

Bangla Stack

4IR Industry Accelerators

Cloud and DataCenters…and many more

Bangladesh’s Startup Visionby 204101

50 Unicorns

02

USD 5 Billion

03

10 Million

Homegrown from Bangladesh

Annual Investments in Startups

Employment Creation through Startups

Find your Niches,
Find new Technologies,
Find your own innovations,Don't Imitate, Innovate!
Sajeeb Wazed Joy
ICT Affairs Adviser to the
Honorable Prime Minister

Notable Startups in theEcosystem

Company Overview
ShareTrip LtdCompany Intro – One Liner
ShareTrip is a travel tech platform that provides end-to-end travel solutions, including flight ticketing,hotel booking, visa assistance, and holiday services through its app and websites, along with multiple
other value-added services.

Company Product/ ServiceCompany Details
Inception Year

2019

SectorInvestment

Travel and Lifestyle

Full Stacked Tech-Enabled Travel platform for all tiers of professionals
App and website-based platform for both B2C and B2B clientele base
■ Strong flight and largest domestic hotel inventory■ Local Hotel Inventory Management Platform- ST Rooms■ Travel Advisory Options and Flight Tracker (real-time)■

Funding Raised■

Traction

Raised USD 4 Million – From Skycatcher, EverBlue Management ,Ton
Poh Fund, Shaw Spring, Greenhaven Road Capital, Twin Peaks Capital &Others■

Raised BDT 5 Crore■

Closing Round for Series A in 1 month– From Startup Bangladesh Limited

ShareTrip, is contributing to creating a more transparent & credible Travel
Market in Bangladesh with 49% Online Travel Market share.
■ 690k+ App Downloads■ 450k+ Registered users■ 75k+ Monthly Air Segments■6k+ Registered Offline Travel Agents■ 10k+ Employment opportunities via ShareTrip B2B Platform■Startup Bangladesh Limited TM | Strictly Private & Confidential■22Conversational AI from Any Phone; No INTERNET, Zero Learning
Industry Positioning

Strengths of the Service Business
App based
Services

Illiterate
Assisted Digital Literacy
Digitally Literate

Hishab enjoys MONOPOLY business inconversational AI

6%
Innovation

17%

77%
Partner
Padakhep Manabik Unnayan
KendraUDIPPANPRAN-RFL
MGI

Products
HiPay
PIA
HiRemind
HiPOS
HiProdHiAd
HiSurvey
Customer-Engagement

Hishab's technology requires

No Learning Curve

Traction$10.5 M funding

NO INTERNET: Functions fully over telenetworks,
available across all telecom-covered areas in BD
NO SMARTPHONE: Functions on feature phones
and smartphones in the same way, providing full
digital access to all of BD's population with mobilephones

Hishab's product lines are built for digitallychallenged populations, functioning over voicecommands and conversational AI.

2.2 M borrowers
4 M MSE user

The company has 18 patents on Voice Banking fromTelephony network, Automated Call-center, andVoice Commerce in 27 countries including INDIAand JAPAN.

Product-Market Fit

Hishab's products include HiPay for payments, PIA
for assistance and customer engagement, HiProd fororder management, HiPOS for POS & sales, HiLoan& HiRemind for loan provision and payment
reminder, HiSurvey for market feedback, and HiAdfor voice-ad placements.

LET’S TRANSFORM THE
FUTURE TOGETHER