The government has decided to waive the 7.5% VAT on imports of ocean-going vessels over 5,000 deadweight tonnage (DWT) in a bid to boost foreign exchange earnings and create more job opportunities.
The Council of Advisers took the decision at its weekly meeting held at the Chief Adviser's Office (CAO) with Chief Adviser Prof Muhammad Yunus in the chair.
The Council of Advisers believes that exemption will encourage vessel procurement in both the public and private sectors, expand opportunities for foreign exchange earnings and generate new jobs, said Chief Adviser's Press Secretary Shafiqul Alam while briefing reporters at the Foreign Service Academy.
Chief Adviser’s Deputy Press Secretary Abul Kalam Azad Majumder was also present.
“This is not just a measure for business convenience, but also a significant step toward strengthening Bangladesh’s capacity in international trade,” Alam said.
The meeting also discussed Bangladesh’s firm stance on the Palestine issue.
“We have always maintained a clear position on the Palestinian cause,” Alam said, adding that Foreign Affairs Adviser Md Touhid Hossain will present Bangladesh’s position at the upcoming UN High-Level International Conference on the Peaceful Settlement of the Question of Palestine in New York, and will also attend the OIC Emergency Meeting in Doha on September 15.
Progress made by the Reform Commissions was one of the issues that came up for discussion.
Alam said 51 recommendations have already been implemented, while 37 are partially implemented and the remaining ones are under progress.
Some recommendations, however, are political in nature and will require steps by an elected government, as they involve MPs' role.
Addressing misconceptions, Alam said, reforms are indeed taking place in each Ministry.
Every ministry is steadily implementing significant changes, he said, noting that efforts have been made in the banking, energy, revenue, labor sectors. "Almost every sector has undergone reforms, and the process continues.”
On labor sector reforms, Alam said many of the 82 recommendations of the Labor Commission have already been implemented
“Once the labor law is amended, most of the remaining recommendations will also be carried out. Our Ministry of Labor is working closely with the ILO,” he said.
He mentioned that last year’s 18-point tripartite agreement marked a major achievement, with worker wage increases already implemented under that framework.