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Bangladesh is poised to emerge as one of South Asia’s most attractive hospitality investment markets over the next five years, driven by improving infrastructure, stronger connectivity, rising international brand presence and growing demand for business and leisure travel, according to Karthi VK, General Manager of Crowne Plaza Dhaka Gulshan.
With nearly two decades of international hospitality experience across India, Nepal and Bangladesh, Karthi believes the country has the natural and cultural assets needed to build a globally competitive tourism industry. What Bangladesh needs now, he says, is sharper destination branding, easier visa access, better connectivity and closer cooperation between the government and private sector.
He also believes the next phase of hospitality growth will be less about simply adding hotel rooms and more about creating distinctive experiences, developing skilled professionals and expanding the country’s tourism ecosystem.
In an interview with this correspondent, Karthi VK shared his views on Bangladesh’s tourism prospects, hotel industry, investment climate, talent development, government policy, rising competition and the impact of global geopolitical uncertainty on hospitality.
Q: The present government has planned to develop the hospitality sector. Do you think Bangladesh can become a tourism hub in South Asia? What suggestions would you give to improve the tourism sector?
Karthi VK: Bangladesh has never had a tourism asset problem; it has had a tourism positioning problem. We possess one of the world’s longest natural sea beaches, the world’s largest mangrove forest, rich heritage and an incredibly warm culture. Yet globally, Bangladesh is still perceived primarily as a business destination rather than a leisure destination.
The next phase of growth should focus on destination branding, seamless connectivity, simplified visa procedures and stronger public-private collaboration.
Tourism today is an export industry without shipping products overseas. Every international visitor brings foreign exchange, creates employment and supports thousands of SMEs. If we position Bangladesh correctly, tourism can become one of the country’s strongest economic engines.
Q: How do you see the growth of the hotel business in Bangladesh over the last 30 years?
Karthi VK: Thirty years ago, Bangladesh’s hospitality industry was largely transactional. Today, it is becoming experiential.
International brands have not only raised service standards but also transformed governance, sustainability, talent development and guest expectations. The industry has evolved from simply providing accommodation to creating destinations, experiences and communities. That evolution is far more significant than simply adding more hotel rooms.
Looking ahead, I believe the industry’s next phase of growth will be driven by continued government investment in infrastructure, including the Third Terminal of Hazrat Shahjalal International Airport, improved national connectivity and increased private-sector investment in tourism.
At the same time, there is tremendous potential to expand international and domestic MICE travel. Bangladesh can develop a much stronger position as a destination for meetings, incentives, conferences and exhibitions.
Q: Bangladesh now has political stability and strong economic policies. How do you see the growth of the sector over the next five years?
Karthi VK: Over the next five years, I expect Bangladesh to become one of South Asia’s most attractive hospitality investment markets, not because of one particular project, but because multiple growth drivers are converging simultaneously.
Better infrastructure, expanding economic zones, stronger aviation connectivity and increasing international brand presence will collectively reshape demand.
The winners, however, will be hotels that differentiate themselves through experiences rather than simply adding inventory. The market will reward those that understand changing guest expectations and consistently deliver value.
Q: The situation in the Middle East has affected petroleum prices and created uncertainty. How is this having a knock-on effect on the hotel business?
Karthi VK: Hospitality is highly sensitive to global events because it is fundamentally driven by travellers’ confidence. Geopolitical uncertainty does not just influence fuel prices. It affects airline capacity, corporate travel decisions and overall business sentiment.
For a market like Dhaka, where international business travel is a key demand driver, prolonged uncertainty can lead to more cautious travel planning, shorter booking windows and softer demand from certain international markets.
This naturally makes forecasting more challenging and requires hotels to remain agile in their commercial strategies.
Higher fuel costs also put pressure on airlines, travel budgets and supply chains, increasing operating costs across the wider hospitality ecosystem.
Q: The hospitality sector needs skilled and experienced manpower. How can Bangladesh develop skilled talent?
Karthi VK: People are the greatest asset in hotels. I believe Bangladesh’s hotels do not have a talent shortage; they have an exposure shortage. Young professionals need greater access to structured internships, global standards, mentoring and international career pathways.
Hotels, educational institutions and international hotel brands must work together to build a talent pipeline where graduates are operationally ready from day one.
Investing in people delivers the highest long-term return in hospitality. The future of our industry will not be defined by the hotels we build, but by the people who bring those hotels to life.
Q: Hotel room rates are high in Bangladesh compared with cities such as Kathmandu, Bangkok, Kuala Lumpur, Kolkata, Bengaluru and Chennai. Why is that?
Karthi VK: Guests compare room rates; investors compare market fundamentals. Hotel pricing is ultimately driven by demand, operating economics and market dynamics rather than geography alone.
Cities such as Bengaluru, Chennai and Kuala Lumpur often command premium room rates because they benefit from strong domestic demand, diversified business sectors, mature MICE markets and consistent year-round travel. Their occupancy levels provide greater pricing stability.
Dhaka, on the other hand, remains predominantly an international corporate market. Pricing is influenced by business travel demand, market supply, operating costs and the investment required to maintain international brand standards.
As Bangladesh’s tourism ecosystem matures and domestic and leisure travel continue to grow, the market will become even more competitive and resilient.
The objective should never be to have the highest room rates. It should be to create sustainable value for guests while delivering healthy returns for investors. A stronger tourism ecosystem and continued investment will naturally support long-term pricing power.
Q: What policy support can the government provide to boost the hospitality sector?
Karthi VK: If I could recommend three policy priorities, they would be these.
First, make Bangladesh easier to visit through faster visa processing and stronger air connectivity.
Second, make investment easier by rationalising duties on hospitality infrastructure and providing long-term policy certainty.
Third, market Bangladesh globally with the same ambition that we invest domestically. Great destinations are not discovered; they are promoted consistently.
Q: Bangladesh has witnessed the opening of many five-star hotels over the past 20 years. Will more five-star hotels create healthy competition?
Karthi VK: I have always believed that more is merrier. The entry of more international hotels will raise service standards, attract global talent and further strengthen Bangladesh’s reputation as a credible business and hospitality destination.
The objective should never be simply to divide existing demand. It should be to expand the market, create new demand and elevate the destination.
Of course, greater competition also means greater responsibility for General Managers like me. It challenges us to think differently, innovate continuously and avoid complacency.
We have to create new experiences, unlock new revenue streams, strengthen commercial partnerships and constantly evolve our business strategies to stay ahead.
Competition does not make us weaker; it makes us better. Hotels that continue to innovate, adapt and deliver exceptional guest experiences will always find opportunities to grow.
Ultimately, healthy competition benefits guests, team members and the country’s economy.
Q: How can the public and private sectors work together to boost hospitality?
Karthi VK: Public-private partnership is one of the most powerful mechanisms for building a globally competitive tourism and hospitality industry.
The government’s role is to create an enabling environment through policy stability, infrastructure development, improved connectivity and destination planning. The private sector, in turn, brings investment, innovation, international expertise and world-class operational standards.
Together, they can accelerate the development of tourism destinations, convention centres, heritage sites, eco-tourism projects and hospitality infrastructure while strengthening destination marketing and hospitality education.
Government builds destinations; the private sector builds experiences.
Sustainable tourism and travel require both.
Q: How can Bangladesh learn from the success stories of neighbouring and regional destinations such as India, the Maldives, Nepal, Bhutan, Malaysia, Indonesia and Singapore?
Karthi VK: Bangladesh should take inspiration from successful tourism destinations without trying to imitate them.
The Maldives is known for exclusivity, Nepal sells adventure, Singapore is known for efficiency and India for its diversity. Bangladesh must define its own unique story, built around its authentic culture, majestic rivers, rich heritage, natural beauty, vibrant cuisine and genuine hospitality.
The most successful tourism destinations do not imitate others; they tell their own stories exceptionally well.
Bangladesh has an authentic story to tell, and with the right positioning, it can establish itself as a distinctive destination.
Q: How do you see the growth of the hotel business this year?
Karthi VK: 2026 is likely to be a year of disciplined growth rather than explosive growth.
Demand is recovering, but competition is intensifying as new supply enters the market. Hotels that rely solely on occupancy will struggle. Those that invest in guest experience, revenue optimisation, technology and talent will outperform.
I remain optimistic about the long-term outlook because Bangladesh’s economic fundamentals continue to support hospitality investment.
Hotels have always been a long-term business. Markets will fluctuate, but destinations that continue to invest in quality, people and guest experience will emerge stronger.
I believe Bangladesh is entering a defining chapter in its hospitality journey, and the best is yet to come.
About Karthi VK
Karthi VK is the General Manager of Crowne Plaza Dhaka Gulshan and a hospitality leader with nearly two decades of international experience across India, Nepal and Bangladesh.
He has led award-winning hotel openings, business transformations and luxury operations with IHG Hotels & Resorts, The Oberoi Group and Trident Hotels. He is recognised for building high-performing teams, driving commercial excellence and delivering guest-centric innovation.
He is also a strong advocate for sustainable tourism, talent development and positioning Bangladesh as a competitive hospitality destination in South Asia.