Bangladesh will need Chinese economic cooperation and investment to address post-LDC challenges after graduating from the least developed country (LDC) status in 2026, experts said at a discussion on Saturday.
They also said that after graduating, Bangladesh will face a number of new challenges including economy, technology and other sectors.
In this regard, they urged Chinese investors to invest in Bangladesh on 100% ownership, joint venture, or financial assistance basis.
They were speaking at a seminar titled “Stakeholders Consultation with Chinese Investors: Challenges, Expectations, and Prospects” at the ongoing 3-day Belt and Road Initiative in Bangladesh Exhibition 2023 in the capital.
Avijit Chowdhury, executive member (additional secretary of Bangladesh Investment Development Authority (Bida), during his speech as chief guest said that Bangladesh was marching forward and expected to graduate from the LDC status in 2026 and will be a developed country by 2041.
Bangladesh is focused and supportive to the investors. As a stable country, it is high time to invest in Bangladesh, he added.
Bida is working to resolve all sorts of challenges. The agency now has one-stop service (OSS) to provide support to the investors with efficiency and quality, Chowdhury also said.
He also said that there are potential sectors like agro, technology, skill development and others where China can invest and cooperate with Bangladesh for its smooth transition from the LDC.
Song Yang, commercial counselor of the Chinese Embassy in Dhaka, said that the business environment in Bangladesh is developing and more Chinese enterprises will invest, they are working on it.
“There are some issues like visa, LC, infrastructure which can be resolved to attract more investment. By doing this, all expectations will eventually be a reality,” he added.
In his welcome remarks, Al Mamun Mridha, general secretary of the Bangladesh China Chamber of Commerce and Industry (BCCCI), said that in 2003 when bilateral trade between Bangladesh and China was worth $1.4, now it is worth almost $25 billion.
“Investments have also increased significantly over the past 10 years from $26 million in 2013, to over $465.2 million in 2022 in the private sector. In 2016, over $40 billion was promised to Bangladesh as part of the BRI initiative and already almost $5 billion has been disbursed and many projects have already been implemented,” he added.
BCCCI has acted as the strongest catalyst for this huge growth of these trade and investments, he added.
Ke Changliang, president of Chinese Enterprises Association in Bangladesh (CEAB), said that there are approximately 1,000 Chinese enterprises engaged in investment, trade or engineering and construction services in Bangladesh.
He also said that Chinese enterprises in Bangladesh should solidify their confidence in the local market, further expand, and extend investment activities in Bangladesh.
Most of them have decided to set up their South Asia regional headquarters in Bangladesh, he also said.
“I trust it is our shared wish for all Bangladeshi governmental agencies and international or local investors to improve the business environment by addressing the newly-emerging issues and challenges,” he added.
In the panel discussion, representatives from Bida, Bepza, Bangladesh Bank, and Titas Gas discussed various business-friendly developments of their respective organizations.
In the open questions session, Chinese enterprises raised questions on complications and time consumption of e-Visa issues, tax issues, complication of project registration, custom issues, foreign exchange and LC issues.
The government officials said though there were some complications, which they are working on to resolve it.
Moreover, they also suggested that they apply for the above services by following the right methods.
They also said that Bida, Bepza, utility providers, banks and other organizations are integrated to provide services to the investors.
Gazi Golam Murtoza, president of the BCCCI made the closing remarks urging to resolve the visa issues, import of smart LED TV, gas connection, and LC openings.
Businesses from both Bangladesh and China, officials from various government agencies, and entrepreneurs also spoke at the event.
