It published the report ahead of Prime Minister Shinzo Abe’s first visit to Dhaka.
Nikkei Asian Review, an English language business journal of one of the largest Japanese media corporations Nikkei Inc, said Japan would help Bangladesh build an industrial base that includes scores of infrastructure projects.
It said Prime Minister Abe would discuss those plans with his counterpart Sheikh Hasina during his Dhaka visit.
According to the report, Japan will also offer loans for building railways and expressways between cities and assist in constructing urban infrastructure in Dhaka and Chittagong.
The area around a coal-fired power plant in Matarbari will be given priority for development as well, it said.
The report gave a picture of Bangladesh’s economy and said Bangladesh had worked “to strengthen ties with its neighbours, including Myanmar, where foreign companies have grown more active, and India with its massive population of 1.2 billion."
“Japan sees it as a relatively easy location to concentrate industry with an eye toward nearby markets."
“Tokyo also aims to deepen its relationship with Bangladesh ahead of China, whose investment there has been limited,” according to the report.
“If Japan's official development assistance to Bangladesh is ramped up, it could become a major aid recipient in line with Vietnam, which has received more than 100 billion yen a year, and Myanmar, which is expected to get around 100 billion yen."
The number of Japanese companies operating in Bangladesh has doubled over the past five years to around 180 in April.
But its main industries are agriculture and textiles, and power shortages and an inadequate transportation network remain issues, the Asian Review wrote.