Extending the UK’s full support to Bangladesh to chart a “peaceful transition” to an “inclusive, prosperous and democratic” future, its trade envoy for Bangladesh Baroness Winterton of Doncaster DBE on Wednesday said there is a fresh impetus for the two countries to refresh their bonds and work ever more closely together on economic, trade and investment fronts.
“The UK and Bangladesh economic, trade and investment relationship is stronger than ever. I can tell there is a fresh impetus for us to refresh our bonds and work ever more closely together,” she said, adding that the UK will remain a steadfast partner to Bangladesh, and their businesses and people in both countries will play an important role in that endeavour.
Speaking at the Bangladesh Investment Summit’s formal inaugural session, the British trade envoy said Wednesday’s event lays the foundation for unlocking these opportunities.
She said one of the challenges that affects everyone in Dhaka is its infamous traffic, which heavily dents productivity.
“That is why London’s transport authority, Transport for London, is working with Dhaka city authorities to test ideas that can help reduce traffic jams,” Baroness Winterton said.
Keen to expand operations
The trade envoy acknowledged that many British and international businesses recognize the growth and opportunities in this market and are eager to expand their operations here.
"However, at the same time, we also hear concerns from businesses about laws, regulations, and red tape that complicate their operations," she said, adding that they are committed to helping Bangladesh fully capitalize on global business opportunities by creating an enhanced and enabling environment.
This includes rationalizing the cost of doing business, removing regulatory bottlenecks, and ensuring the protection of intellectual property rights.
The UK welcomed Bida’s efforts to implement reforms as quickly as possible, which is boosting foreign investors' confidence that Bangladesh is open for business.
"We are providing technical expertise to Bida to develop its analytical capabilities, continuing a collaboration that has lasted more than 20 years."
Addressing the climate partnership, the envoy highlighted their work together to unlock investment in clean energy and climate adaptation solutions.
She emphasized their goal to leverage the UK’s world-leading financial sector and renewable energy expertise to support Bangladesh’s climate ambitions.
Post-LDC era
As Bangladesh prepares to enhance its trading relationships in the post-LDC era, the trade envoy shared that her government is offering technical assistance to the Ministry of Commerce to strengthen trade policy and negotiations.
Additionally, Revenue & Customs will support the National Board of Revenue’s customs wing to improve trade facilitation.
"Together, these initiatives represent significant UK contributions to Bangladesh’s LDC graduation process," she said.
Furthermore, in line with the interim government’s economic priorities, the UK is playing a proud role in supporting macro-economic stability and restoring confidence in Bangladesh’s banking sector.
This enables Bangladesh to tap into the world-leading UK expertise in financial services and build resilience against economic challenges.
The envoy also noted that British International Investment, the UK’s development financial institution, recognizes Bangladesh as a "powerhouse market" and is investing $450 million in Bangladeshi companies between 2022 and 2026.
Similarly, UK Export Finance, the UK’s export credit agency, remains committed to supporting private sector growth, offering up to £2 billion in coverage for projects across all sectors in Bangladesh.
Closer defence collaboration
On defence, Baroness Winterton emphasized their shared commitment to a free and open Indo-Pacific.
“There is significant potential for much closer defence collaboration in the coming years, building on our long-standing military-to-military partnership. I see opportunities to unlock ready-to-go projects in the maritime sector and broader defence procurement,” she said.
Baroness Winterton also underscored the UK’s support for Bangladesh’s ambition to become a knowledge-based economy.
“Transnational education (TNE) plays a crucial role by bringing world-class UK education directly to Bangladeshi students. This equips graduates with the skills needed for the global workforce and strengthens Bangladesh’s appeal as an investment destination,” she explained.
While acknowledging some successful UK TNE programmes already exist in Bangladesh, the envoy highlighted the potential to expand these partnerships.
Through initiatives led by the British High Commission and the British Council in Dhaka, the UK government is actively fostering an environment where these collaborations can thrive, she said.
By working together, they aim to further strengthen educational ties between the two nations, benefiting both economies and their people.
"So now, as Bangladesh diversifies, I call on British companies across all industries to come to Bangladesh and seize the opportunities here," she urged.
She recalled her recent participation alongside Ashik Chowdhury, executive chairman of Bida, at the UK Government’s Indo-Pacific Trade Roadshow in London, where they discussed the exciting business prospects in Bangladesh.
“As we discussed, I am particularly pleased that we are working closely with Bangladesh on our shared ambitions in aviation, defence, financial services, higher education, and the transition to cleaner economic growth,” Baroness Winterton added.
The UK and Bangladesh share a common goal of economic growth, job creation, and prosperity, as exemplified by this summit.
Sustainable future for Rohingyas
Regarding the Rohingya crisis, the envoy acknowledged the generosity of the Bangladeshi people in welcoming over a million Rohingya refugees who fled persecution and violence in Myanmar.
"As we enter the eighth year of this crisis, the situation in Myanmar remains bleak," she said, adding that the UK has unwavering support for Bangladesh and the Rohingya people.
Baroness Winterton reiterated that the UK will continue to do everything it can to support those in need, while working toward a safe, dignified, and sustainable future for the Rohingya population.
The UK extended heartfelt thanks to Bangladesh for its generosity in hosting the refugee population.
Baroness Winterton mentioned that the UK is collaborating with the interim government to address priorities related to restoring law and order, ensuring accountability, and promoting national unity.
As the UK government focuses on growth and jobs, placing them at the heart of foreign policy, she emphasized that the UK remains "laser-focused" on building an economic partnership to enhance two-way trade and investment between the two nations.
The UK is one of the largest sources of Foreign Direct Investment in Bangladesh, which is also the third-largest market for Bangladeshi ready-made garments.
Bangladesh is the biggest beneficiary of the UK’s Developing Countries Trading Scheme, which provides duty-free and quota-free access to the UK market until 2029.
After that, 92% of Bangladesh’s exports will continue to receive duty-free access to the UK.
"This scheme also encourages Bangladesh to diversify its exports to the UK beyond garments, laying the groundwork for Bangladesh’s economic security ahead of LDC graduation next year," she noted.
The envoy added that the scheme creates opportunities for UK buyers and Bangladeshi suppliers across a broader range of products.
