UK Corporation to invest $2 billion in Bangladesh AI data center

03/08/2026
10:42 am
03/08/2026
10:42 am
UK Corporation to invest $2 billion in Bangladesh AI data center

Significant advancements in the development of artificial intelligence (AI) infrastructure in Bangladesh are feasible. The UK technology firm EDIC has suggested the establishment of Bangladesh’s inaugural Frontier AI data center and Quantum-ready Sovereign AI computing complex, with an investment of approximately USD 2 billion.

In the context of the swift proliferation of AI technology globally, Bangladesh is simultaneously enhancing its initiatives to bolster its AI competencies. With the growing use of AI throughout education, healthcare, software development, media, governmental services, and numerous sectors, the demand for sophisticated computer infrastructure is escalating daily. In this context, the Bangladeshi government is persistently engaging in discussions on potential investments in AI infrastructure with various entities in the UK, Japan, and South Korea.

The plan indicates that this advanced AI data center might be established at Kaliakair Hi-Tech Park in Gazipur, Sirajganj Economic Zone, or any other appropriate site chosen by the government.

Should this initiative be executed, it will enable the retention of critical national data domestically, thereby enhancing Bangladesh’s digital sovereignty. Furthermore, prospects will be established to facilitate the advancement of AI services for the development of a Bengali language-based large language model (Bangla Large Language Model-LLM), AI research, high-performance computing, as well as for public and private entities, startups, researchers, and international clientele.

Authorities have indicated that the nation must substantially augment its data center capacity within the next four to five years. Bangladesh aims to establish an AI-driven digital environment that enables innovators, freelancers, technology firms, and startups to develop sophisticated AI apps and services domestically.

The head of the Information and Communication Technology Division is currently overseeing these developments. Mamunur Rashid Bhuiyan stated that negotiations are underway with organizations from several nations over the establishment of an AI data center. Nonetheless, no governmental endorsement of the finished proposal has been granted to date.

The proposition was presented by SM Anisur Rahman, EDIC’s Chief Executive Officer (CEO) and an AI infrastructure specialist. The proposition was presented by SM Anisur Rahman, who is the Chief Executive Officer (CEO) of EDIC and a specialist in AI infrastructure. Currently, he is working on developing AI infrastructure worldwide. He asserts that the objective of this initiative is not merely to attract foreign capital but to establish Bangladesh as an “AI factory,” which might significantly contribute to the nation’s economy in the future, akin to the garment sector.

The suggested scheme entails executing the project in three distinct phases.

In the initial stage, a Frontier AI data center boasting a capacity of 30 to 50 MW will be established within the forthcoming 24 months, featuring a robust AI computing framework.

In the subsequent phase, the capacity will be augmented from 100 to 200 MW, with the objective of establishing Bangladesh as a prominent AI computing center in South Asia.

The ultimate phase will involve constructing a quantum-capable computer framework and a national environment for AI research and innovation.

Should the project be executed, Bangladesh’s reliance on international cloud services will diminish. Simultaneously, sophisticated AI computing resources will be accessible domestically, and the development of powerful AI models for the Bengali language will also be expedited.

EDIC’s estimations indicate that this initiative will facilitate the direct recruitment of over 10,000 highly skilled professionals. Additionally, over 50,000 ancillary positions could be generated. Additionally, related sectors and services could generate over 50,000 ancillary positions. in related sectors and services. Consequently, over 60,000 households stand to gain financially.

Plans are underway to construct a 100 MW dedicated power facility to guarantee a continuous power supply for the data center. In the future, its capability will be enhanced, and efforts will be made to harness renewable energy sources, such as solar energy. Supplementary produced electricity may likewise be provided to the national grid.

The group has additionally sought policy assistance from the government for the project’s execution. These include designating projects as national priority investments, speeding up the process for getting regulatory approvals, making sure that power and water are easily accessible, building international submarine cable infrastructure, and making sure that there is enough land in economic zones.

Authorities in the technology domain regard the global investment interest in AI infrastructure in Bangladesh as favorable. Nevertheless, they are prioritizing the assessment of the efficacy and utilization of current government-financed data centers prior to implementing the strategy.

Fahim Mashroor, the ex-president of BASIS, argued that international investment should be promoted. Nonetheless, prior to making substantial investments in new initiatives, it is imperative to evaluate the efficacy of current government data centers.

Environmental experts, on the other hand, have suggested building sustainable infrastructure due to the significant demand for electricity and water in large AI data centers. They highlighted sustainable energy, contemporary liquid cooling systems, and prudent water stewardship.

EDIC announced that their planned data center will implement contemporary liquid cooling and closed-loop cooling mechanisms, thereby diminishing water usage and enhancing fuel economy. Furthermore, there are initiatives to guarantee the utilization of renewable energy in compliance with ecological regulations.

As global competition in AI infrastructure intensifies, substantial investments in Bangladesh might markedly enhance the nation’s digital economy, technological innovation, and research capabilities. Simultaneously, Bangladesh stands poised to develop into a prospective regional AI center in South Asia.

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