During a recent trip to the Kingdom of Saudi Arabia (KSA), Salman Fazlur Rahman, Prime Minister’s Advisor on Private Industry and Investment, sought extended credit terms to alleviate Bangladesh's pressing dollar crisis. This request was made to facilitate longer payment periods for fuel imports from Saudi Arabia, a critical concern given the current financial constraints. In a press briefing held on Tuesday (February 06, 2024) at the Bangladesh Investment Development Authority (BIDA) building upon his return, Rahman shared insights from his three-day visit. “Currently, we have a 45-day window to settle payments for fuel imports from Saudi Arabia. Given the dollar scarcity, extending this to a year would greatly benefit us. The Saudi officials have agreed to consider this proposal,” Rahman disclosed. Rahman represented Bangladesh at the Islamic Military Counter Terrorism Coalition (IMCTC) meeting, emphasizing Bangladesh’s firm stance against terrorism and the misuse of Islam to justify such acts. “Terror has no religion, and by fostering cooperation among Islamic nations through the IMCTC, we aim to combat the defamation of Islam by terrorism,” he stated. Read: President urges KSA to invest more in Bangladesh The advisor highlighted the unanimous condemnation of the ongoing crises in Gaza by meeting participants, alongside a collective call for resolution. The plight of the Rohingya refugees in Bangladesh was also addressed, with a commitment to seek solutions. On the economic front, Rahman revealed Saudi investors’ interest in establishing a special economic zone in Bangladesh. “We are keen to allocate an economic zone to Saudi Arabia within Bangladesh. Their investment minister has shown enthusiasm for this project,” Rahman noted. Additionally, plans are underway to bolster Bangladesh’s agricultural sector through the joint establishment of a urea fertilizer plant in Saudi Arabia. “This collaboration aims to ensure a steady supply of fertilizers, enhancing our agricultural output. The proposal has been warmly received, with a feasibility study due to conclude by March,” he explained, highlighting the opportunity for private sector involvement alongside government-to-government initiatives. Read more: KSA's Majlish E Shura Council President Abdullah arrives in Dhaka

The investment proposals registered by Bangladesh Investment Development Authority (BIDA) grew by 46.33 per cent in July-September 2021. This has been a marked improvement from July- September period of 2020 when the investment inflow fell due to worsening Covid-19 pandemic situation. BIDA, an entity attached with the Prime Minister Office, provided registration to 189 companies with investment proposals of Tk20463 crore in the three months (July-September) this year. A total 177 domestic companies have taken registration in July-September 2021 period with investment proposals of Tk18586 crore. Read: 184 industrial establishments get BIDA registration in 3 months In the similar period 7 foreign nationals-owned companies and 5-joint venture companies have taken registration with investment proposals of Tk 1877crore. The investors have preferred the agriculture based industries to textile, services and engineering sector to invest money. If the proposed investment is executed, the jobs opportunity of 28850 would be created. Bangladesh, growing rapidly over a decade, is on its way to becoming the next Asian Tiger. Economic and political stability are driving its journey towards the future. Currently the world’s 41st largest economy, Bangladesh will be the 25th largest economy by 2035, according to BIDA. Read: BIDA, BBF join hands to boost FDI BIDA is working to accelerate industrialization and employment. The entity has been providing transparent investor services of different organizations all in one place.  

A total of 184 industrial establishments got registered with the Bangladesh Investment Development Authority (BIDA) in three months, from April to June this year. The total amount of the proposed investments of the establishments is some Tk14,128 crore, which is much higher than the investment proposal of Tk5,684 crore in the same period of 2020. Also read: BIDA, DCCI sign MoU for integrating services with OSS Only 46 industrial establishments got registered with the BIDA during April-June 2020 due to the fallout from the Covid-19 pandemic, according to the Press Information Department. The BIDA, the principal private investment promotion agency, provides diversified promotional and facilitating services to accelerate the country's industrial development. Also read: Bangladesh to continue to grow over next 30 yrs: BIDA

The World Bank has acknowledged Bangladesh’s remarkable economic development and growth, and reassured the global lender's continued support for this country's prosperity. Private Industry and Investment Adviser to the Prime Minister, Salman Fazlur Rahman, met with World Bank’s Managing Director (Operations) Axel van Trotsenburg and other high-ranking officials at its global headquarters in Washington DC recently.  Salman led the Bangladeshi delegation, which included Abdur Rouf Talukder, Senior Secretary, Finance Division, Ministry of Finance, Executive Chairman of Bangladesh Investment Development Authority (BIDA), Secretary, Ministry of Commerce, Secretary, Economic Relations Division, Ministry of Finance, and Chairman of the Securities and Exchange Commission.  Also read: WB to provide USD 300 mn for livelihood improvement in Bangladesh In addition to Trotsenburg, the World Bank Group was also represented by John F. Gandolfo, IFC’s Vice President, Economics and Private Sector Development (acting) and Treasurer, and Mohammad Shafiul Alam, Bangladesh’s Alternate Executive Director to the global financial institution. In the meeting with the World Bank’s MD, Adviser Salman highlighted Bangladesh’s unprecedented economic development under the leadership of Prime Minister Sheikh Hasina reiterating that the country's economy was on a solid footing.  In particular, he underscored Bangladesh’s economic performance and the GDP growth of 5.24% despite the pandemic-induced economic downturn. Salman recalled the continued financial assistance provided by the World Bank to Bangladesh and thanked the global lending body for its contribution.  He also highlighted the need to reduce procedural delay -- through bilateral discussions and close engagement -- in the disbursement of the loans sanctioned by the World Bank for Bangladesh to purchase Covid-19 vaccines on an emergency basis.  Also read: Manufacturing sector’s productivity crucial for Bangladesh to offset Covid impacts: WB At a separate meeting, the Bangladesh delegation led by Adviser Rahman met with IFC’s South Asia Vice President and the World Bank’s acting South Asia Vice President.  Both sides agreed to accelerate cooperation in crucial areas, including Bangladesh’s reform efforts regarding ease of doing business, BIDA’s institutional capacity enhancement, and skills and human resources development.   

Planning Minister MA Mannan has stressed the importance of making government rules investment friendly by removing the unnecessary and complicated ones to turn Bangladesh into an attractive place for doing business. He, however, said the foreign investors should come to Bangladesh to do business based on equity and transparency instead of thinking of “exploiting” cheap labour in the country.     Mannan made the remarks while speaking as the chief guest at a webinar titled “Attracting Foreign Investment in Bangladesh and Branding Bangladesh" jointly organised by Bangladesh Investment Development Authority (BIDA) and Better Bangladesh Foundation (BBF) on Saturday night. "There’re various rules in government books which are not friendly towards investment. You know (BIDA), I know (about the rules). Since we know, let's push it out. Let’s clean it. Let's keep fewer and smaller but better rules so that work can be done in a speedier way," he said pointing out at the BIDA authorities. Mannan said the government is sincere about liberalizing the rules for creating a smooth ground and level-playing field for everyone to do business. Also read: Bangladesh, Kosovo explore investment, trade opportunities The minister said it is necessary to work on the issue of ease of doing business. “Our FBCCI, BGMEA, BIDA and BBF can work together to remove the bottlenecks which stand between us and the investors.” Mannan said Bangladeshi is giving the investors the guarantee for the safety of their investment and giving various concessions, tax holidays, tax concessions and also giving new economic areas where they can set up their business and enjoy the various infrastructural facilities. He said Bangladesh is now at a point of takeoff amid many difficulties. The minister said huge investment is surely needed to support the country’s drive towards industrialisation and higher-level of economic growth and economic activities. “Investment can come both from inside or outside. The minister, however, said every country should think about humanity and human welfare instead of thinking only of economic development. “We should all make the effort so that people can live peacefully in this world and enjoy a better life.” Manna thinks local investment is a better investment. “We’ll welcome investment from outside if it comes in a friendly and transparent and open way, and if it ensures justice for our labourers. It won’t be sustainable if they come with investment here because of cheap labour which is an inhuman idea.” Also read: Big-B Initiative to bring more investment to Bangladesh: Shahriar Japanese Ambassador in Dhaka Naoki Ito said their companies are ready to expand their business operation in Bangladesh and some have already expanded their business despite the difficult situation caused by Covid-19. He said Japan and Bangladesh are building bridges of bonding. “Our country is trying to build longer and wider bridges of bonding here. We’re going to celebrate the 50th years of diplomatic relations next year. If you look at the bilateral partnership on business, the number of Japanese companies has gradually been increasing…there’re now more than 300 companies operating here.” The ambassador said Japan is the largest export market for Bangladesh in Asia as around 1.3 billion export is going to Japan from Bangladesh and the market size is larger than that of India or China, and the investment is coming from Japan. He said three factors -- further development of infrastructure, better investment climate, workforce development, and capacity building – are very important in expanding its business relations and facilitating the flow of trade and investment.  Naoki Ito also hoped that Japanese companies can be better partners in expanding backward-linkage industries of the RMG sector in Bangladesh. BGMEA president Faruque Hassan, FBCCI director Ghulam M Alomgir, BIDA director Ariful Haque, BBF consultant GM Nizam Uddin. CEO of BBF Global USA Rafiq Khan, among others, spoke at the programme chaired by BIDA Executive Chairman Sirazul Islam. Prof Masud A Khan, chairman and founder of BBF, moderated the virtual programme.

Bangladesh’s liquefied petroleum gas (LPG) operators are likely to get one-stop service (OSS) in receiving different licenses from various agencies which will ultimately play a vital role in reducing their operational costs. According to official sources, the Energy and Mineral Resources Division will initiate a move for introducing such OSS as part of ease of doing business ethics to promote and smoothen the growing business in the LPG sector. "We will introduce the OSS like the one in the Bangladesh Investment Development Authority (BIDA) system to bring all the services under one umbrella,” said Anisur Rahman, senior secretary of the Energy and Mineral Resources Division. Also read: Introduce tracking system for LPG, CNG cylinders: Nasrul Hamid He said this OSS will be introduced within six months. “If necessary, we’ll place the issue at the top level of the government.” At present, the LPG operators have to take permission from various administrative and licensing bodies, including Bangladesh Energy Regulatory Commission (BERC). In some cases, the operators have to move up to 21 offices from a district-level administration to ministry-level office, said Jakaria Jalal, head of marketing of Bashundhara LPG, a leading operator. Read Private companies’ 12kg LPG price re-fixed at Tk 906 Industry insiders and consumers right groups said multiple regulators in the energy sector have made the services costlier for both the operators and the consumers, casting a big impact on the tariff, especially in the LPG and CNG businesses. “Consumers have to bear the brunt of huge amounts paid in fees annually by the business operators,” said an energy expert. President of LPG Operators of Bangladesh (LOAB) Azam J Chowdhury at a recent seminar said any bulk liquefied petroleum gas (LPG) business operator has to pay annually about Tk 13.5 million (1.35 crore) in total to 13 regulatory bodies to obtain licenses or to renew them for business. Also read: LPG distribution launched by UN partners in Cox’s Bazar The licensing bodies and the amount of their fees are Bangladesh Energy Regulatory Commission (BERC) Tk 35,65,000, Bangladesh Petroleum Corporation (BPC) (proposed) Tk 25,00,000, Bangladesh Investment Development Authority (BIDA) Tk 40,000, Department of Environment (DoE) Tk 205,000, Bangladesh Standards and Testing Institution (BSTI) Tk 12,04,158, Department of Explosives Tk 116,000, Bangladesh Fire Service and Civil Defense (BFSCD) Tk 120,000, Bangladesh Inland Water Transport Authority (BIWTA) Tk 25,00,000, and city corporation/local government body Tk 93,760. The other bodies and their fees include Department of Inspection of Factories and Establishment (DIFE) Tk 320,000, Office of the Chief Controller of Imports and Exports (CCI and E) Tk 61,000, Dhaka Chamber of Commerce and Industry (DCCI) Tk 10,350 and Registrar of Joint Stock Companies and Firms (RJSC and F) Tk 27,60,000 (assuming an authorised capital Tk 3 billion or 300 crore). During a public hearing recently held by the BERC, officials of large six private LPG companies also raised the issues and demanded a single regulatory authority to monitor their business and introduction of a one-stop service at the prime regulator's office. Read LPG operators to get services under one roof soon Hasin Pervez, a leader of the Bangladesh CNG Filling Stations and Conversion Workshop Owners Association, brought a similar allegation saying that they have to pay fees to 22 bodies to take licenses for LPG and CNG business. "The most bothersome part, in this case, is that there’s no serial to maintain in seeking licenses or permission from among the bodies like deputy commissioner (DC) office, BPC, or any other authority," he said. Once anybody applies to the DC office, its officials ask the applicant to take licenses from other agencies first and then apply, he added. Read Omera LPG introduces home delivery services in lockdown Hasin Pervez noted that when applications are filed to other authorities, they direct to bring the DC Office's permission first and then apply to them. Echoing the allegation, Prof Shamsul Alam, an adviser to the Consumers Association of Bangladesh (CAB), said the consumer rights body will also prefer a single regulator in the energy sector. "We're of the same opinion that multiple regulatory bodies only create complications in business and enhance costs which cast an impact on the energy tariff, and finally consumers have to pay the price," he said. Read LPG terminal project at Matarbari to get consultant Backing their views, former member of the BERC Mizanur Rahman said there should be a single and prime regulatory authority with one stop service facilities that will coordinate with other government agencies. He said the BERC has already simplified some of the processes in applying for a license for energy business by reducing the number of required obligatory documents. "But still there’s a scope for doing much more to further ease doing business in the energy sector," he told UNB. Read BPC’s ballooning operations call for augmented manpower  He also suggested fixing the fees rationally so that it does not affect the consumers. BERC Member (Gas) Maqbul-E-Elahi Chowdhury said they have already prepared a draft to reduce the annual license fees for different businesses in the energy sector.

Bangladesh Investment Development Authority (BIDA) has joined hands with Better Bangladesh Foundation (BBF) , a non-profit organization, in a bid to attract more foreign direct investment (FDI) into the country.

 

Various Bangladeshi sectors like agro-processing, readymade garments, textile, health, ICT, construction and infrastructure offer great investment opportunities for Turkish businesses.

Dhaka Chamber of Commerce & Industry (DCCI) has created a separate online portal “Membership Online Service” (MOS) to issue one of its two major services- Certificate of Origin (CO) and Membership Certificate completely through online.