The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) has once again urged the government to allow the country’s entrepreneurs to invest abroad.
“As we had a meeting with the Prime Minister four years back, we were informed that once the country’s reserve was enough, we would be allowed to do so,’’ said FBCCI President Matlub Ahmad at a programme in the city yesterday.
According to Bangladesh Bank Statics, the country’s foreign exchange reserves now stands US$28 billion.
The FBCCI boss raised the demand as the country’s investors cannot tap the global market because the capital account is needed to be converting one for allowing local businesses and individuals to make overseas investment under a liberalised foreign exchange regime.
In response, State Minister for Finance MA Mannan said: “If investments can be made possible here from outside the country, why our people won’t be allowed to invest in other countries? I do not see any problem here.”
He, however, could not come up with any specific suggestion on this issue during the programme.
Both FBCCI chief and the junior minister made the remarks at a seminar titled ‘Role of Private Organisations in Promoting Integrity’ held at Bijoy Hall of Bidyut Bhaban in the capital.
National Board of Revenue (NBR) organised the programme in association with Cabinet Division and Japan International Cooperation Agency (JICA) to share contents of National Integrity Strategy (NIS) with private sector stakeholders for promoting good governance through promotion of integrity and prevention of corruption in every sectors.
NIS is a collective of institutions and practices that are crucial to maintaining integrity and accountability in government, non-government and private sector.
Cabinet Division Deputy Secretary Abu Saleh Mohammed Ferdous Khan in his key-note paper pointed out that the loan default problems, promotion of corporate governance, proper enforcement of laws and consumer rights and bankruptcy, and promotion of a culture of self control by chambers and associations as challenge of NIS implementation in private sector.
“Once the NIS comes into effect, it will reduce corrupt practices, reduce intensity of tax avoidance, improve voluntary tax compliance, develop fair market competitions, prevent money laundering and improve compliance of corporate laws,” said NBR member barrister Jahangir Hossain in his presentation.
Identifying unholy alliance between unscrupulous taxmen and taxpayers, and money laundering as the key challenges, Hossain urged country’s businesses to come forward to implement NIS properly in the country.
FBCCI chief Abdul Matlub Ahmad urged the businesses to look out on how to solve different problems including money laundering.
Business people are willing to pay tax and VAT but the authorities concerned have made it difficult just because of the complex law, he said.
He also asked the authorities concern to use the 64 district chamber premises for disseminating the advantage of transparency through NIS.
“We will give you corrupt people to your side, you give me the corrupt people from business side. We must remove them for NIS implementation,” he said.
Chief Representative of JICA Bangladesh Office Mikio Hataeda said: “Establishment of integrity in a society as a whole cannot be possible without the help of the private sector.”
Bangladesh Auto Re-Rolling and Steel Mills Association President Sheikh Masudul Alam Masud observed that the government had to make the laws transparent and easy if it wanted to thwart hundi, under-invoicing and over-invoicing and other irregularities.
Chartered accountant Humayun Kabir demanded for an easy to implement legal framework to implement NIS in the country.
Cabinet Secretary Mohammad Shafiul Alam said: “The country has good acts and laws but there is no enforcement.”
The government needs to simplify the acts and rules in addition to the changes of mindset and partnership with district chambers to make NIS a success, he said.
Among others, Cabinet Secretary (Coordination and Reform) NM Ziaul Alam, NBR Chairman Nojibur Rahman, Bangladesh Garment Accessories and Packaging Manufacturers and Exporters Association (BGAPMEA) President Rafez Alam Chowdhury, Bangladesh Chamber of Industries Director Mohabbat Ullah and Chittagong Chamber of Commerce and Industry Director M A Motaleb addressed the seminar.