Bangladesh and Estonia agreed on 10 August 2026 to pursue a double taxation avoidance agreement and a promotion and protection of investments accord—the first tax treaty of its kind between the two countries—as part of efforts to attract private investment and trade.
Bangladesh and Estonia agreed to strengthen bilateral relations during the 2nd Foreign Office Consultations held in Tallinn on 10 August 2026, according to a post by Bangladesh’s Ministry of Foreign Affairs.
Both sides also discussed concluding a double taxation avoidance agreement as part of broader bilateral cooperation. The DTAA, which will prevent companies from facing taxes on the same income in both jurisdictions, emerged alongside commitments to encourage private sector investment and trade.
Bangladesh invited Estonian investors to its Special Economic Zones, while both countries committed to forming a Joint Working Group on Trade and Economic Cooperation—moves that would benefit from tax certainty once the agreement is finalised.
The delegations also agreed to pursue a promotion and protection of investments agreement, further signalling intent to create a hospitable climate for cross-border business activity. No timelines or specific tax rates were disclosed in the consultation readout.
Any resulting treaty would be the first of its kind between the two countries and would need to be finalised, signed, and ratified before taking effect.
