United News of Bangladesh

Bangladesh must urgently modernise its port infrastructure, overhaul trade facilitation systems and activate its dormant National Logistics Policy to remain competitive in global markets, a leading policy economist said on Saturday. M. Masrur Reaz, Chairman and CEO of Policy Exchange Bangladesh, made the observations while presenting a keynote paper titled ‘Integrated Port and Logistics Development for a Trade-Driven Bangladesh’ at a roundtable organised by the Dhaka Chamber of Commerce and Industry (DCCI) at its Chamber Auditorium in Motijheel. DCCI pushes for lower taxes, digitalisation in FY27 budget recommendations Drawing on comparative data, Dr. Reaz warned that Bangladesh's overdependence on the readymade garments sector, which still accounts for 81.49 percent of total exports in FY2024-25, combined with a deteriorating logistics ecosystem, poses serious risks to the country's long-term economic resilience, particularly as it approaches LDC graduation. “RMG exports have already declined 5.51 percent in July-March of FY2025-26,” he said, underscoring vulnerability in the country's narrow export base. On the logistics front, Reaz presented a stark picture. Bangladesh ranks 88th on the World Bank's Logistics Performance Index, far behind India at 38th and Vietnam at 43rd, while Chattogram Port sits at 356th on the Container Port Performance Index, compared to Haiphong at 30th. Container dwell times at Chattogram remain critically high, with vessel turnaround averaging 3.23 days against just 0.86 days at Colombo. He said Chattogram Port handles 92 percent of the country's seaborne trade and 98 percent of container trade, yet operates under an outdated “tool port” model, relies heavily on manual processes, and has a draft depth of only 9.5 metres, insufficient for large vessels and forcing costly transshipment via third countries. Port tariffs have not been revised since 2008. Citing World Bank research, Reaz said a 25 percent reduction in logistics costs could boost exports by 20 percent, while cutting container dwell time by just one day at Chattogram would increase exports by 7.4 percent. He called for a comprehensive reform agenda built around eight priorities: activating and implementing the National Logistics Policy; transitioning to a landlord port model to attract private operators; fully operationalising the National Single Window for customs; accelerating the Matarbari Deep Sea Port and Bay Container Terminal projects; integrating road-rail-waterway multimodal networks; deploying AI and digital cargo tracking systems; revising the port tariff structure on a performance-linked basis; and strengthening regulatory safeguards for foreign investment in strategic infrastructure. Reaz also referenced Bangladesh's strategic geographic potential, noting the country is positioned as a natural transit corridor for India, Bhutan, Nepal and China, with the World Bank estimating an additional $11 billion in South Asia trade potential yet to be tapped. Referring to Korea's two-decade PPP port development experience, which mobilised $6.3 billion across 17 seaport projects and Vietnam's success with the Cai Mep–Thi Vai deep-water port cluster, he said private sector participation, backed by strong legal and regulatory frameworks, was indispensable for Bangladesh's port transformation. “Successful PPPs require strong legal, institutional, and regulatory frameworks aligned with international best practices,” he said. “Without that foundation, neither the investment nor the operational excellence will follow.” The proposed reforms align with the new government's manifesto commitments under Chapter 3, which envisages an integrated logistics hub centred on Chattogram and Mongla ports, multimodal transport integration, and strengthened digital customs systems.

Industries Minister Khandakar Abdul Muktadir on Saturday said the government is firmly committed to reopening closed state-owned sugar mills while ensuring the interests of sugarcane farmers, workers and the long-term profitability of the mills. “The mills are assets of the people of Bangladesh and it is the government’s responsibility to ensure their honest and effective use. We want the closed factories to resume production, create employment opportunities and contribute to revitalising local economies,” he said. Commerce Minister stresses cut in red tape, faster business approvals to attract investment The minister came up with the remarks while addressing a views-exchange meeting with sugarcane farmers on  the premises of Panchagarh Sugar Mills Limited as the chief guest. A number of sugar mills in the country remain shut while many operational mills are functioning under various limitations, he said. Modernisation, renovation and the introduction of new technologies are essential for their effective revival as most of the mills are between 50 and 70 years old, he said. Besides, some mills would require installation of new machinery, while others would need infrastructure renovation or alternative operational plans, he said. The minister also said functioning industrial establishments generate not only direct employment but also create economic opportunities for many people through related activities.  “When employment increases, money circulation in people’s hands rises, local economies become more active and poverty declines. Keeping that goal in mind, the government is advancing efforts to revive industries,” he added. Chairman of Bangladesh Sugar and Food Industries Corporation (BSFIC) Md Jahangir Alam, Panchagarh-1 MP Barrister Nawshad Zamir, Industries Secretary Md Obaidur Rahman, BSCIC Chairman Md Saiful Islam, Panchagarh Deputy Commissioner Mosammat Shukria Parvin, District Council Administrator Md Touhidul Islam among others attended the programme. Sugarcane farmers’ representatives, labour leaders and local dignitaries were also present. Panchagarh Sugar Mills Limited was established during 1966-69 with a daily crushing capacity of 1,016 metric tonnes and began commercial production in 1969-70. The mill is currently operated under the Bangladesh Sugar and Food Industries Corporation.

bKash, the country’s leading mobile financial service provider, has recently organized ‘bKash Partner Excellence Award 2026’ to recognize the crucial contributions of its supply chain partners in ensuring seamless service to millions of customers nationwide. In the sixth edition of the award, bKash honored 17 of its top supply chain partners across eight categories, who demonstrated exceptional performance and commitment to excellence in supporting bKash's nationwide operations. FAO signs deal with bKash to enable faster cash assistance, incentive distribution At the event, supply chain partners were formally acknowledged for their excellent performance in operational excellence, compliance and integrity, pro-active support and collaboration, and partner profile management. Chief Financial Officer of bKash Moinuddin Mohammed Rahgir, EVP and Head of Supply Chain Management Mohammad Rashedul Alam and top officials of partner companies were present at the event. The ceremony featured vibrant celebrations to recognize the long-standing relationships between bKash and its supply chain partners. The winners of each category were presented with crests and certificates.

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has entered into a strategic partnership with IVY Decarb Marketplace SL to accelerate industrial decarbonization and enhance productivity within the country’s Ready-Made Garment (RMG) and textile sectors. A Memorandum of Understanding (MoU) was signed between the two organizations on May 6, 2026, aimed at facilitating the transition toward sustainable machinery and energy-efficient manufacturing processes. BGMEA launches ‘Day-Care Center’ at Uttara complex for employees' children Under the agreement, BGMEA and IVY Decarb will collaborate to introduce advanced decarbonization methodologies to member factories. The partnership seeks to support the sector in exploring high-tech, energy-efficient industrial machinery that can reduce carbon footprints while simultaneously improving factory output. A key component of the collaboration involves validating IVY Decarb’s specific methodology for measuring the impact of machinery replacement on both productivity and sustainability. Speaking at the signing ceremony, Vidiya Amrit Khan, Vice President of BGMEA, emphasized that environmental sustainability is now tied directly to market survival. "Decarbonization is no longer only an environmental priority; it is becoming a core competitiveness issue for Bangladesh’s RMG industry," she stated. "Through this collaboration, BGMEA aims to support its member factories in accessing knowledge, tools, and practical pathways for machinery modernization." José Manuel Caballero, Managing Director of IVY Decarb Marketplace SL, highlighted Bangladesh's pivotal role in the global supply chain. He noted that the partnership would help connect industry actors with the necessary technology, financing, and impact measurement solutions required to meet global sustainability standards. "BGMEA’s leadership in sustainability makes this partnership highly significant," Caballero said. "We are pleased to support factories in identifying technology-driven opportunities that reduce emissions and improve productivity." The MoU was signed by Vidiya Amrit Khan and José Manuel Caballero, in the presence of BGMEA Director Shah Rayeed Chowdhury and IVY Decarb Business Development Director Md. Masud Rana. This partnership marks another significant step in BGMEA’s broader strategy to ensure that Bangladesh's apparel industry remains resource-efficient and globally competitive in an era of tightening climate regulations. Sheikh Hossain Muhammad Mustafiz, Director, BGMEA; and Wasim Zakariah, Chairman, Standing Committee on Responsible Business Hub and Sustainability Reporting were also present.

British High Commissioner to Bangladesh, Sarah Cooke, on Thursday reaffirmed the UK government’s commitment to supporting the transformation of Bangladesh Bank into a modern, technology-driven, and robust central bank. The commitment was made during a courtesy call with the Governor of Bangladesh Bank, Md. Mostaqur Rahman, at the central bank's headquarters in the capital. The meeting covered a wide range of bilateral cooperation issues, with a particular focus on the modernization of the financial sector, capacity building for the central bank, and the enhancement of human resources. A significant portion of the discussion centered on anti-money laundering (AML) efforts and the recovery of laundered assets. Both parties expressed a firm resolve to strengthen coordination with relevant UK authorities to recover assets smuggled abroad. The talks also touched upon critical legislative reforms, including the ‘Bank Resolution Act,’ aimed at ensuring long-term stability and good governance in the banking industry. In a move toward greater digital integration, the High Commissioner and the Governor discussed: Digital Bank Statement Verification: Implementing a digital system to verify bank statements provided during visa applications to prevent fraud. Combating Illegal Migration: Joint efforts to prevent illegal migration and the use of forged documents. FATF Mutual Evaluation: Preparations for the upcoming Financial Action Task Force (FATF) assessment to ensure Bangladesh's compliance with global financial security standards. Governor Mostaqur Rahman expressed his gratitude for the UK’s consistent support in Bangladesh’s development journey. He reiterated the central bank’s firm commitment to building a cashless society and a resilient digital payment ecosystem. "We are focused on ensuring transparency and good governance within the financial sector through modern technology," the Governor noted during the exchange. The meeting was also attended by Deputy Governor of Bangladesh Bank Dr. Habibur Rahman, Stolen Asset Recovery Consultant Farhanul Ghani Chowdhury, and representatives from the British High Commission, including Emma Wind and Issam Musaddeque.

In a major move to streamline financial operations, Bangladesh Bank has issued a unified policy for managing foreign exchange transactions related to international passenger and cargo transport services. The central bank released a circular on Thursday (May 7), consolidating all previous guidelines concerning the collection of tickets and charges for foreign airlines, shipping companies, and cargo services into a single, comprehensive regulatory framework. Bangladesh Bank raises car loan ceiling to Tk 80 lakh for electric, hybrid vehicles According to the central bank, this initiative aims to create an integrated regulatory structure for the transport sector. By bringing together scattered instructions into one document, the new policy is expected to reduce procedural complexities, ensure better compliance, and eliminate ambiguities that previously existed. The circular states that all foreign exchange transactions and outward remittances will continue to be governed by the Foreign Exchange Regulation Act 1947. However, to facilitate ease of doing business, previous instructions have been harmonized, and certain provisions have been updated to reflect current market needs. The unified framework covers a broad range of sectors and entities, including: Airlines & Shipping: Issuance of international tickets and collection of freight charges for foreign airlines and shipping lines. State-Owned Enterprises: Financial transactions for Biman Bangladesh Airlines and the Bangladesh Shipping Corporation. Logistics Providers: Specific guidelines for private shipping companies, courier services, and freight forwarders. Foreign Currency Accounts: Regulations for managing and operating foreign currency accounts for both local and international transport companies operating in Bangladesh. Tour Operators: Updated instructions to ensure transparency in the rapidly expanding tourism service sector. The circular has been issued under the Foreign Exchange Regulation Act and will remain in effect for one year from the date of issuance. Any new instructions issued during this period will be considered part of this integrated framework. "The goal is to increase transparency in service sectors and ensure consistency with the overall regulatory framework," a senior official of the central bank noted. The official added that this unified structure would make the process of outward remittances for the transport and logistics sectors more efficient and transparent while ensuring strict adherence to national foreign exchange regulations.

Shops and shopping malls across the country will be allowed to remain open until 10 pm from Tuesday (May 12) to facilitate Eid-ul-Azha shopping amid the ongoing energy crisis. The decision was announced by the Bangladesh Shop Owners Association in a press release issued on Thursday evening following discussions with the Ministry of Power, Energy and Mineral Resources. Under existing government austerity measures, shops are required to close by 7pm. Govt to hold talks with opposition on energy crisis, open to pragmatic proposals: PM On May 4, the association formally requested the ministry to extend business hours until 11pm to accommodate the increased shopping rush ahead of Eid. Confirming the development, Bangladesh Shop Owners Association President Md Helal Uddin said the government approved the extension after consultations with the Prime Minister, although no formal notification would be issued. “The minister informed that shops can remain open until 10pm. However, he stressed that decorative lighting and unnecessary electricity consumption in shops and shopping malls must be avoided,” Helal Uddin said.

The Cabinet Committee on Government Purchase on Thursday approved separate proposals for importing refined soybean oil and liquefied natural gas (LNG) at a combined cost of over Tk 2,468 crore. The approval came from a meeting of the committee held at the Secretariat with Finance Minister Amir Khosru Mahmud Chowdhury in the chair. Eastern Refinery set to resume full production as crude oil shipment arrives in Chattogram As per the decisions, the committee okayed a proposal of the Ministry of Commerce to procure two crore litres of refined soybean oil through the international open tender method.The purchase will cost around Tk 282.57 crore. Indonesia-based PT Trinity Cahya Energy was selected as the recommended bidder. The company offered soybean oil sourced from Europe and the European Union. In another major approval, the committee gave nod to a proposal of the Energy and Mineral Resources Division to procure three LNG cargoes at around Tk 2,186.35 crore from the spot market under the international quotation collection process. The LNG cargoes are scheduled for delivery during June 8-9, June 9-10 and June 14-15, 2026. The recommended suppliers are Vitol Asia Pte Ltd, Singapore; BP Singapore Pte Ltd; and Gunvor Singapore Pte Ltd, Singapore.

Commerce Minister Khandakar Abdul Muktadir on Thursday stressed the need to cut bureaucratic red tape, reduce logistics costs, improve port efficiency and unlock idle state-owned assets to make Bangladesh competitive in tomorrow's global economy. “We cannot move forward by dwelling on old problems. The time has come for pragmatic reforms and swift implementation of commitments,” Muktadir said while addressing the inauguration of the ‘Dhaka Industrial Packaging Expo 2026’ at the Bangladesh-China Friendship Convention Centre in the capital. The minister said entrepreneurs currently need 25 to 26 separate approvals and licences to start a business in Bangladesh, making the investment environment unnecessarily cumbersome. “To address this, the government is working to streamline the business registration process.” He said that in future, any enterprise completing registration through BIDA or the relevant authority will receive a ‘provisional clearance’ at the outset, allowing entrepreneurs to begin operations without delay. Muktadir highlighted that Bangladesh's logistics cost stands at around 16 percent of GDP, well above the global average of approximately 10 percent. “Inefficiencies in port management are inflating cargo transportation costs and eroding the country's international competitiveness. To reverse this, internationally recognised foreign operators are being brought in to manage port operations.” He said a Danish company has already begun operating a container terminal, with more international-standard firms to be engaged in port activities going forward. The minister said Bangladesh is on its path from Least Developed Country (LDC) to developing country status, leaving no room for stop-gap measures. “Sustainable reform must be implemented consistently; there is no shortcut.” On state-owned enterprises, Muktadir said dozens of large industrial units have been lying idle or running at a loss for years, creating a massive subsidy burden on the exchequer. “Around 40 enterprises fall under the Ministry of Industries and another 50 under the textiles and jute sector. The government is gradually opening these units to private investment to bring their vast landholdings and assets into productive use.” “Our goal is to turn these dormant industrial units into hubs of investment and employment within the next one to two years: some will be modernised, some will host new industries, and others will be developed into export-oriented production centres,” he said. He noted that each sugar mill in the country sits on an average of 1,000 bighas of land or more. Developing modern industrial parks or multi-purpose industrial facilities on these sites, he said, could generate substantial investment, employment, and government revenue. Turning to the packaging sector, the minister urged entrepreneurs to think big. “You cannot reach a big destination with a small vision. The government will provide policy and institutional support, but it is the entrepreneurs who must drive industrial growth.” Muktadir reiterated the government's commitment to expanding domestic industry, creating new jobs, strengthening Bangladesh's presence in international markets, and injecting new momentum into the economy through higher export earnings. Export Promotion Bureau (EPB) Vice Chairman Mohammad Hasan Arif also addressed the event as special guest. Entrepreneurs, business leaders, institutional representatives, and domestic and foreign stakeholders attended the expo.

Japan will host the Asian Development Bank’s (ADB) 60th Annual Meeting in Aichi-Nagoya from May 2 to 5, 2027. The event will coincide with ADB’s 60th anniversary, marking six decades of partnership since the bank’s establishment. “It is fitting to mark six decades of partnership and transformation in Japan, a founding member and one of our largest shareholders,” said ADB President Masato Kanda. “The 60th Annual Meeting will be more than a celebration. It will be a moment to look to the future. I have high expectations for great success at this milestone event.” The Future Host Country Event, which showcased the tradition, culture, and high technology of Aichi-Nagoya, was held at ADB’s Annual Meeting in Samarkand. It was joined by Japan's Deputy Vice Minister of Finance for International Affairs Shuichi Hosoda, Mayor of Nagoya City Ichiro Hirosawa, and Vice Governor of Aichi Prefecture Shinichiro Furumoto. During the Samarkand meeting, Minister of Finance of Japan Satsuki Katayama assumed the role of Chair of the Board of Governors for the upcoming year. Themed Forging Partnerships, Driving Transformation, the Aichi-Nagoya meeting will provide a platform to reflect on Asia and the Pacific’s remarkable progress since ADB was established in Manila in December 1966, and to discuss the future of the region. The Annual Meeting is ADB’s premier gathering, providing an opportunity for Governors from ADB’s members to discuss the complex development challenges facing Asia and the Pacific while offering guidance on the bank’s administrative, financial, and operational directions. Thousands of participants, including finance ministers, central bank governors, private sector leaders, international organizations, civil society, and media regularly join the meeting. Japan’s longstanding commitment to ADB is reflected in its history of hosting the Annual Meeting every decade since the inaugural gathering in Tokyo in 1966, with the most recent one being in Yokohama in 2017. Beyond hosting, Japan remains a cornerstone of ADB’s operational capacity, serving as one of the bank’s largest shareholders. Furthermore, Japan has contributed and committed significant resources to ADB’s trust funds. This includes the Japan Fund for Prosperous and Resilient Asia and the Pacific, the bank’s largest single-donor trust fund, which drives critical poverty reduction and social development activities across the region. Founded in 1966, ADB is a leading multilateral development bank supporting sustainable, inclusive, and resilient growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet.