Chairman of China's Export-Import Bank Chen Huaiyu said on Thursday that his bank will support the relocation of Chinese manufacturing plants to Bangladesh to use the country as a platform for export to other nations.
The Chinese Exim Bank is a key financier of Beijing-funded infrastructure and energy projects in Bangladesh, but this is the first time it has shown interest in supporting investment from Chinese private manufacturers in the South Asian country, according to the Chief Adviser's Press Wing.
Chen's comments came when he called on Bangladesh Chief Adviser Dr Muhammad Yunus on the sidelines of the Boao Forum for Asia Annual Conference 2025 in the Chinese coastal town of Boao.
Yunus said Bangladesh's strategic location and its human resources can transform the country into manufacturing hubs for top global companies both from China and elsewhere in the world.
He said he has invited top Chinese private manufacturers to relocate their factories to Bangladesh, saying his government will offer attractive benefits for the manufacturers and provide a trade corridor.
"Bangladesh can be complementary to China as far as manufacturing is concerned," Professor Yunus said, adding that the interim government is fast-tracking the construction of a Chinese special economic zone in the Chittagong region.
Yunus said Bangladesh is also building large new ports to serve not only its economy but also the landlocked countries of Nepal and Bhutan and India's seven northeastern states.
Chen said Bangladesh is perfectly located to serve both southeastern and far eastern Asia and also the Middle East and Western Asia.
He said more and more Chinese companies are going global, and his bank will support their investment in Bangladesh and "develop manufacturing" in the country.
He said the bank will also support building infrastructures in Bangladesh to support the country's socio-economic and sustainable growth.
Citing how Vietnam has transformed its economy by attracting Chinese and Western manufacturers, Chen said Bangladesh needs to improve its business environment in an effort to woo investors from China.
"We will learn from Vietnam," Yunus said.
During the meeting, Bangladeshi officials also sought quick disbursement of Exim's funding and support in new infrastructure projects such as the Dasherkandi Sewage plant. Dhaka also urged the bank to reduce the bank's commitment fees, which raise project costs.
Chen said his bank will look into these proposals. He also urged Bangladesh to switch to take more concessionary loans in RMB, the Chinese currency.
Senior officials from both countries are likely to reconvene soon to firm up and take decisive actions enabling key decisions, which were made in the meeting on Thursday.
