Summit Group to Launch First Data Centre in Bangladesh

Summit Group plans to enter Bangladesh’s growing data centre market and aims to start development with an external partner within the next year, Chairman Muhammed Aziz Khan has said.

The group’s first facility is expected to leverage the gas-based generation capacity of Summit Power International, the energy arm of Summit Group and the country’s largest private power producer. Aziz acknowledged that the plan raises questions amid Bangladesh’s push to reduce greenhouse gas emissions and transition away from fossil fuels.

“Summit Group’s next growth phase focuses on integrating energy and data, using our LNG and fibre-optic expertise,” Aziz said.

Summit Power currently provides around 7% of Bangladesh’s installed electricity through 10 gas-fired and five oil-based plants. Another subsidiary, Summit Communications, operates a nationwide fibre-optic network serving nearly half of the country’s internet demand—a key advantage as data consumption rises.

Demand for data centres in Bangladesh is increasing due to growing internet and smartphone use, cloud services, mobile applications, and artificial intelligence. Government investments in broadband and digital infrastructure are also fueling this growth.

The 2025 Personal Data Protection Ordinance is expected to further boost demand for local data centres by limiting overseas transfer and processing of personal data, according to Japan International Cooperation Agency (Jica) expert Akihiro Shoji.

Summit is seeking partners experienced in building and marketing data centres to ensure the planned facility meets evolving technological standards. “Some of the ‘Magnificent 7’—Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla—have shown interest,” Aziz said. Summit hopes to secure a client this year.

The data centre will likely be located near Dhaka, close to Summit Power’s gas plants. Aziz said the group’s competitive edge lies in controlling three key inputs: electricity, fibre, and land, allowing them to deliver services within a year and a half.

However, the energy-intensive nature of data centres presents challenges for Bangladesh’s climate goals. Only 2% of electricity came from renewable sources in 2024, though the government aims for 25% by 2035. Summit is exploring cross-border solar and hydropower projects with India, Nepal, and Bhutan, but progress has been slowed by political tensions.

Despite these hurdles, Aziz expressed optimism, citing Bangladesh’s large middle class, strong export base, and upcoming elections and referendum as opportunities to attract investment.

“For investment, the essential foundations are rule of law, democracy, and policy predictability,” he said. “A prime minister elected by the people would hopefully provide at least five years of certainty in policymaking.”