Since 1975, Bangladesh has sought close relations with other Islamic states and a role among moderate members of the Organization of the Islamic Conference (OIC). In 1983, Bangladesh hosted the foreign ministers meeting of the OIC. The government also has pursued the expansion of cooperation among the nations of South Asia, bringing the process--an initiative of former President Ziaur Rahman--through its earliest, most tentative stages to the formal inauguration of the South Asian Association for Regional Cooperation (SAARC) at a summit gathering of South Asian leaders in Dhaka in December 1985. Bangladesh has served in the chairmanship of SAARC and has participated in a wide range of ongoing SAARC regional activities.

In recent years, Bangladesh has played a significant role in international peacekeeping activities. Several thousand Bangladeshi military personnel are deployed overseas on peacekeeping operations. Under UN auspices, Bangladeshi troops have served or are serving in Sierra Leone, Somalia, Rwanda, Mozambique, Kuwait, Ethiopia-Eritrea, Kosovo, East Timor, Georgia, Congo, Cote díIvoire and Western Sahara, Bosnia, and Haiti. Bangladesh responded quickly to President Clintonís 1994 request for troops and police for the multinational force for Haiti and provided the largest non-U.S. contingent.

Indo-Bangladesh relations are often strained, and many Bangladeshis feel India likes to play "big brother" to smaller neighbors, including Bangladesh. Bilateral relations warmed in 1996, due to a softer Indian foreign policy and the new Awami League government. A 30-year water-sharing agreement for the Ganges River was signed in December 1996, after an earlier bilateral water-sharing agreement for the Ganges River lapsed in 1988. The Bangladesh Government and tribal insurgents signed a peace accord in December 1997, which allowed for the return of tribal refugees who had fled into India, beginning in 1986, to escape violence caused by an insurgency in their homeland in the Chittagong Hill Tracts. The implementation of most parts of this agreement have stalled, and the army maintains a strong presence in the Hill Tracts. Arms smuggling and reported opium poppy cultivation are concerns in this area. Occasional skirmishes between Bangladeshi and Indian border forces sometimes escalate and seriously disrupt bilateral relations. Bangladesh remains extremely concerned about a proposed Indian river linking project, which the government says could turn large parts of Bangladesh into a desert. The ruling party views the Indian Government as a major benefactor of the opposition Awami League, and blames negative international media coverage of Bangladesh on alleged Indian manipulation.

An August 1973 agreement between Bangladesh and Pakistan on the repatriation of numerous individuals, including 90,000 Pakistani prisoners of war stranded in Bangladesh as a result of the 1971 conflict;
A February 1974 accord by Bangladesh and Pakistan on mutual recognition followed more than 2 years later by establishment of formal diplomatic relations;
The organization by the UN High Commissioner for Refugees (UNHCR) of an airlift that moved almost 250,000 Bengalis from Pakistan to Bangladesh, and non-Bengalis from Bangladesh to Pakistan; and
Exchanges of high-level visits, including a visit by Prime Minister Benazir Bhutto to Bangladesh in 1989 and visits by Prime Minister Zia to Pakistan in 1992 and in 1995.
President Pervez Musharraf visited Bangladesh in 2002.
Prime Minister Shaukat Aziz visited Bangladesh in 2004.

Still to be resolved are the division of assets from the pre-1971 period and the status of more than 250,000 non-Bengali Muslims (known as "Biharis") remaining in Bangladesh but seeking resettlement in Pakistan.

In 1989, the U.S.S.R. ranked 14th among aid donors to Bangladesh. The Soviets focused on the development of electrical power, natural gas and oil, and maintained active cultural relations with Bangladesh. They financed the Ghorasal thermal power station--the largest in Bangladesh. Recently, Russia has conducted an aggressive military sales effort in Dhaka and has succeeded with a $124-million deal for eight MIG-29 fighters. Bangladesh began to open diplomatic relations with the newly independent Central Asian states in 1992.

Since that time, relations have grown stronger, centering on trade, cultural activities, military and civilian aid, and exchanges of high-level visits, beginning in January 1977 with President Zia's trip to Beijing. The largest and most visible symbol of bilateral amity is the Bangladesh-China "Friendship Bridge," completed in 1989 near Dhaka, as well as the extensive military hardware in the Bangladesh inventory and warm military relations between the two countries. In the 1990s, the Chinese also built two 210-megawatt power plants outside of Chittagong; mechanical faults in the plants cause them to frequently shut down for days at a time, heightening the country's power shortage. In April 2005, Bangladesh and China signed nine memoranda of understanding on trade and other issues during the visit to Dhaka of Prime Minister Wen.