Japan is looking for businesses opportunities in Bangladesh in the fields of infrastructure development and energy – an interest that the visiting delegation made here yesterday.
During a meeting with between the businessmen of the two countries, local business leaders have urged the government to do what is necessary to attract Japanese investment.
They stressed the need for developing infrastructure as well as removing regulatory bottlenecks to facilitate the investment from Japan.
It would encourage them to come here while promoting local investment, viewed the local businessmen who attended the Bangladesh-Japan Economic Forum at a city hotel.
They welcomed the Japanese investment proposals, but put importance on ensuring fast-track service by the government agencies to tap the foreign investment.
They said land crisis and other infrastructure constraints faced by the local business people should also be removed by setting up planned economic zones as early as possible.
The forum was arranged jointly by the Board of Investment, the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) and Japan External Trade Organisation (JETRO).
Japanese Prime Minister Shinzo Abe, who arrived in Dhaka yesterday for a two-day visit to Bangladesh, delivered his speech at the meeting, which was also attended by a number of ministers and high officials from the two countries.
The Dhaka Tribune talked to some businessmen, who were present at the meeting, over phone.
Mir Nasir Hossain said Japan is keen to invest here, which was a positive sign.
To retain their investment, the government needed to step up efforts to remove some hurdles, including land problem and infrastructure bottlenecks, he said.
He said Japan was looking for businesses opportunities in Bangladesh, mainly in the fields of infrastructure development and power generation. “I think they also want to relocate some industries here in the economic zones.”
Another ex-FBCCI president Annisul Huq said the Japanese prime minister, accompanied by a big business team, had come in Bangladesh, which was a big boost.
The Japanese premier clearly said they wanted to invest in transport, infrastructure, power and energy and garment sectors, mainly to increase bilateral trade with Bangladesh, he said.
In accordance with a joint statement signed by Abe and his Bangladesh counterpart Sheikh Hasina, he stressed the need for improving services rendered by Bangladesh’s foreign investment regulatory authorities and making serious effort to ensure stable supply of primary energy and power to the industries.
In an instant response, Prime Minister Sheikh Hasina directed relevant authorities to address these issues as soon as possible.
“This is positive deliberation, but we have to set the smooth and hassle-free business environment first for wooing investment,” said Annisul Huq. “The Japanese are mostly interested to invest in infrastructure which is a crying need for Bangladesh right at this moment.”
He said apart from infrastructure, the Japanese mission cited various concerns related to banking and customs.
Dhaka Chambers of Commerce and Industry President Mohammad Shahjahan Khan said the Japanese were here to explore business opportunities and to see the business environment.
The delegation has put importance on power generation and infrastructure development, he said. “Geographically, Bangladesh is an important business spot to the businesses of Japan as they can grab the South Asian market by setting up industries here availing low cost labour,” he said.
He said in the meeting, there were no specific topic in the discussion but they had talked overall business and its prospects in Bangladesh.
Speaking at the Forum, Bangladesh Bank Governor Atiur Rahman assured the Japanese investors to provide all-out support to facilitate their business activities in Bangladesh, the central bank said in a statement.
“From the central bank, I promise wholehearted proactive collaboration with the BoI, the Prime Minister’s Office and other government authorities towards further facilitation and support for Japanese investments in Bangladesh, addressing and resolving issues promptly as they arise,” he said.
Earlier, the Japanese investment promotion body had asked Bangladesh to bring all the agencies, which deal with foreign investors, under the umbrella of the Board of Investment (BoI) so that they could start business quickly without facing any hassle.
Bangladesh also plans to allocate 500 acres of land for a special economic zone for Japanese investors. Moreover, 40 plots and two factory buildings have already been designated for them in the five existing Export Processing Zones.
To facilitate the investment, Japan government has earlier indicated that it would provide loan facilities to local entrepreneurs entering into joint ventures with Japanese investors, and for the infrastructure development of the special economic zone to be designated for Japan.