How do I legally register a charity in Bangladesh and open a bank account for donations?

Thank you for reaching out with your question about starting an education charity in Bangladesh. The legal path depends on your funding sources. For an organization that plans to collect foreign donations , you must register with the NGO Affairs Bureau (NGOAB) under the Foreign Donations (Voluntary Activities) Regulation Act, 2016 . This requires first registering your base entity (as a society, trust, or non-profit company), then submitting Form FD-1 to NGOAB along with your constitution, executive committee details, and activity plans . The registration fee is currently BDT 50,000 for local NGOs . For compliance and to open a bank account that can receive foreign funds, you will need your NGOAB registration certificate and project approval (FD-6) before funds can be released by the bank . The timeline for NGOAB registration can typically take around 90 days or more due to security clearances and inter-ministerial verification, though official targets are 21 working days . The overall process timeline and fees are estimates and can vary based on the completeness of your documents and current regulatory workflows. If you decide to proceed, we can manage this process for you. Please feel free to share any evidence of your preliminary planning or draft documents you may have, and let us know if you would like to engage our services for a smooth registration.

Starting an education charity is a wonderful initiative, but the regulatory landscape in Bangladesh—especially regarding foreign donations—is notoriously strict. It is completely normal to feel confused, as you actually have to navigate a two-tier system: one for your basic legal existence and another specifically for receiving foreign funds.

Here is how to register your charity, set up your bank accounts, and the timelines you should expect.

Step 1: Establish Your "Base" Legal Entity

Before you can apply for foreign funding, your charity must exist legally in Bangladesh. You have a few options, but the most common and widely accepted structure for NGOs is a society. Authority: Registrar of Joint Stock Companies and Firms (RJSC). Act: Societies Registration Act, 1860. Process: You need at least 7 founding members. You will apply for a "name clearance" online, draft a constitution (memorandum and articles of association detailing your educational goals, executive committee, and rules), and submit it to RJSC.

Note: You can also register as a trust with the sub-registrar's office, but RJSC is generally preferred by foreign donors for its structured governance.

Step 2: Register with the NGO Affairs Bureau (NGOAB)

If you collect only local donations, Step 1 is enough. However, to legally receive a single taka from abroad, you must register with the NGOAB under the Prime Minister's Office. This act is governed by the Foreign Donations (Voluntary Activities) Regulation Act, 2016.
Process: Once your RJSC Society is formed, you will submit an application (Form FD-1) to the NGOAB.
Security Clearance: The NGOAB will forward your application to the Ministry of Home Affairs and intelligence agencies (NSI/SB) to conduct background checks on your executive committee members. This is the most significant hurdle and takes the most time.

Step 3: Opening Compliant Bank Accounts

You will essentially be dealing with two types of accounts:
1. General Operating Account (For Local Donations)

When to open: Immediately after getting your RJSC certificate.
Documents needed: RJSC Registration Certificate, approved Constitution, Charity’s TIN (Tax Identification Number), Board Resolution authorizing the account opening and KYC documents (NIDs or photos) of the signatories.

2. The "Mother Account" (For Foreign Donations)

The Rule: By law, all foreign donations must enter Bangladesh through a single, designated bank account known as the "Mother Account" at a scheduled bank.
How it works: You will open this account, but the bank will not allow you to withdraw or spend the foreign funds just because they arrived.
The FD-6 Requirement: To actually use the foreign money, you must submit a specific project proposal (Form FD-6) to the NGOAB detailing exactly how the money will be spent. Once NGOAB approves the project, they issue a fund release letter to your bank, unlocking the funds.

Summary Checklist of Key Documents

To successfully navigate the full RJSC and NGOAB process, please prepare this master dossier:
- Approved Constitution / Memorandum of Association.
- NID copies, TINs, and passport-sized photos of all Executive Committee members.
- A physical office address in Bangladesh (rental agreement/deed and recent utility bills).
- A concrete activity plan and budget for your educational initiatives.
- A donor commitment letter or letter of intent is often required by NGOAB to prove that a foreign donor is actually waiting to fund you.
- Treasury Challan (proof of paying government registration fees).

Typical Timeline & Costs

Phase - Authority - Typical Timeline - Government Fees (Approximate)
Name Clearance - RJSC - 1–3 days - BDt 600
Base Registration - RJSC - 3–6 weeks - BDt 10,000 – BDt 15,000
Foreign Donation Reg. - NGOAB - 3–6 months (due to background checks) - BDt 50,000 (+ 15% VAT)
Project Approval - NGOAB - 30–45 days per project - Nominal/None