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International Arbitration in Bangladesh

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International Arbitration in Bangladesh.Disputes are an inescapable component of the complicated web that is global business; nonetheless, the method in which they are settled has enormous consequences for the path that international trade will take in the future.

International arbitration has emerged as Bangladesh’s top choice for resolving cross-border legal disputes because to the country’s acute awareness of the key position it plays in the world of global commerce.

This essay digs into the landscape of international arbitration in Bangladesh, examining its evolutionary path, core principles, legal frameworks, and the inherent benefits that promote fair and efficient conflict resolution. Ultimately, the goal of this research is to shed light on how international arbitration might be used in Bangladesh.

Evolution of International Arbitration in Bangladesh:

1. The Arbitration Act of 2001:

The bedrock of international arbitration in Bangladesh is laid by the Arbitration Act of 2001. This legislative cornerstone reflects Bangladesh’s commitment to harmonizing its arbitration practices with global standards, providing an encompassing legal framework for both domestic and international arbitration.

2. International Recognition:

Bangladesh’s commitment to a seamless international arbitration regime is underscored by its status as a signatory to the United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards, commonly known as the New York Convention. This commitment amplifies the enforceability of arbitral awards within Bangladesh and facilitates the recognition of foreign awards, fortifying a globally integrated arbitration system.

Key Principles of International Arbitration in Bangladesh:

1. Autonomy and Neutrality:

The bedrock principles of party autonomy and neutrality underpin international arbitration in Bangladesh. Parties revel in the freedom to select their arbitrators and set procedural rules, ensuring a customized and impartial resolution process.

2. Enforceability of Awards:

In alignment with international best practices, the Arbitration Act of 2001 places significant emphasis on the enforceability of arbitral awards. This commitment streamlines cross-border enforcement, assuring parties that their awards will garner global recognition and adherence.

3. Confidentiality:

Confidentiality stands as a fundamental tenet of international arbitration in Bangladesh. Conducted behind closed doors, these proceedings afford parties a discretion seldom found in traditional litigation, fostering a collaborative environment for dispute resolution.

Legal Frameworks Supporting International Arbitration:

1. The Arbitration Act of 2001:

At the heart of international arbitration in Bangladesh lies the Arbitration Act of 2001. This legal cornerstone delineates the procedures governing arbitrations, the enforcement of awards, and the intricate relationship between domestic and international arbitration regimes.

2. Bangladesh International Arbitration Centre (BIAC):

The Bangladesh International Arbitration Centre, inaugurated in 2011, assumes a pivotal role in championing and facilitating international arbitration. Functioning as an independent and neutral institution, BIAC provides indispensable administrative support for arbitrations, bolstering the efficiency and credibility of the arbitration process.

Advantages of International Arbitration in Bangladesh:

1. Flexibility and Efficiency:

International arbitration, celebrated for its flexibility in procedural matters, empowers parties to tailor the process to their unique needs. This adaptability catalyzes efficiency, often resulting in swifter dispute resolution compared to the conventional labyrinth of litigation.

2. Global Enforcement:

Bangladesh’s adherence to the New York Convention ensures that arbitral awards crafted within its borders enjoy broad enforceability on the international stage. This global recognition elevates Bangladesh as an attractive seat for international arbitration.

3. Expertise and Neutrality:

The unwavering commitment to party autonomy in Bangladesh enables parties to select arbitrators with domain-specific expertise. This dedication to neutrality further cements the arbitration process, ensuring a fair and impartial resolution of disputes.

Challenges and Considerations:

1. Awareness and Education:

A pressing challenge in the realm of international arbitration in Bangladesh lies in the imperative need for heightened awareness and education. Stakeholders, including businesses and legal professionals, stand to gain from a more comprehensive understanding of the advantages and procedural nuances inherent in international arbitration.

2. Capacity Building:

While Bangladesh has achieved significant milestones, ongoing efforts in capacity building remain pivotal. This involves the continuous training of arbitrators, legal practitioners, and professionals intricately involved in the arbitration process, fostering a reservoir of skilled individuals adept at navigating complex international disputes.

Case Studies:

1. Landmark International Arbitration Cases:

A meticulous examination of landmark international arbitration cases involving Bangladeshi parties provides invaluable insights into the efficacy of the country’s arbitration framework. These cases serve as beacons, illuminating the successful resolution of disputes and the enforceability of awards across diverse industries.

The Future of International Arbitration in Bangladesh:

1. Enhancements to Legal Frameworks:

The future trajectory of international arbitration in Bangladesh necessitates a commitment to ongoing enhancements in legal frameworks. Periodic revisions to the Arbitration Act, coupled with a steadfast alignment with international best practices, will undoubtedly contribute to the burgeoning growth and allure of Bangladesh as a burgeoning arbitration hub.

2. Promotion and Marketing:

Strategic promotion and marketing endeavors are poised to elevate Bangladesh’s profile as an arbitration-friendly destination. The spotlight on success stories, coupled with the promotion of arbitration advantages and active participation in international forums, collectively contributes to Bangladesh’s heightened visibility in the global arbitration panorama.


The tapestry of international arbitration in Bangladesh stands as a testament to the nation’s unwavering commitment to furnishing a fair, efficient, and globally acknowledged mechanism for dispute resolution. Through robust legislative frameworks, unwavering institutional support, and a steadfast adherence to international conventions, Bangladesh has solidified its standing as an emerging hub for international arbitration. As the country navigates the intricate waters of global business, international arbitration emerges as a guiding light, offering parties a dependable and effective avenue for resolving disputes in the ever-expansive realm of international commerce.


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