Medical waste is infectious, hazardous and it causes deaths as well as poses serious threats to the environment. So, medical waste needs to be treated properly before its final disposal. But, due to the absence of a proper healthcare system in Bangladesh, numerous hospitals, clinics and diagnostic centers have sprung up elsewhere in from Dhaka city and produce a huge amount of waste daily. Medical waste from those hospitals, clinics and diagnostic centers is dumped elsewhere without proper treatment, thanks to mismanagement and lack of discipline, causing a serious threat to the health and environment. There is no supervision and guidance for proper treatment of the waste, there have not enough data or research work on the very critical issue in Bangladesh. The authorities concerned are yet to take any measures in this regard despite such an alarming situation. Moreover, the existing environmental laws of Bangladesh are not enough to address the issue of not having specific provisions in the laws. Besides implementation of those legal frameworks is largely absent in the country. This paper will analyze the related policies and find out the gaps and will come up with some recommendations to bring an end to the mismanagement of medical waste generation through policy and law.