FDI remains an extremely important instrument for development in Bangladesh as it can help build up significant physical capital
BIGSTOCK
Tribune editorial
Publish : 27 Dec 2021, 12:59 AMUpdate : 27 Dec 2021, 12:59 AM
As an emerging economy, Bangladesh has all the raw ingredients to attract foreign direct investment (FDI). With the right mix, the country can achieve significant FDI, providing the economy with a boost and accelerating the journey towards becoming a developed country.
It is encouraging and certainly intriguing to see that data support our goal; recent statistics showed that Bangladesh has attracted more than $21.17 billion worth of investment proposals in the last two years since the beginning of the Covid-19 pandemic.
While this is exciting, the relevant authorities and bodies should only see developments like these as initial steps towards building something bigger. FDI inflow in Bangladesh is one of the lowest in Asia, amounting to approximately one percent of the GDP only.
FDI remains an extremely important instrument for development in Bangladesh as it can help build up significant physical capital. Bangladesh government’s success with the Special Economic Zones plays a big part in paving the way for higher FDI inflow. But to expedite and retain FDI inflow, Bangladesh must improve its ease of business, as it is currently among the worst in the world. Most countries below Bangladesh are war-torn nations, with Sudan and Iraq being just two steps below in ranking from Bangladesh.
The government must turn its full focus on radically improving ease of business in the country by first removing all the significant bottlenecks, including expediting title transfer, improving court response time, among a myriad of other things. Otherwise, the dream of development through FDI will never come to fruition.
Bangladesh needs higher inflow of FDI
As an emerging economy, Bangladesh has all the raw ingredients to attract foreign direct investment (FDI). With the right mix, the country can achieve significant FDI, providing the economy with a boost and accelerating the journey towards becoming a developed country.
It is encouraging and certainly intriguing to see that data support our goal; recent statistics showed that Bangladesh has attracted more than $21.17 billion worth of investment proposals in the last two years since the beginning of the Covid-19 pandemic.
While this is exciting, the relevant authorities and bodies should only see developments like these as initial steps towards building something bigger. FDI inflow in Bangladesh is one of the lowest in Asia, amounting to approximately one percent of the GDP only.
FDI remains an extremely important instrument for development in Bangladesh as it can help build up significant physical capital. Bangladesh government’s success with the Special Economic Zones plays a big part in paving the way for higher FDI inflow. But to expedite and retain FDI inflow, Bangladesh must improve its ease of business, as it is currently among the worst in the world. Most countries below Bangladesh are war-torn nations, with Sudan and Iraq being just two steps below in ranking from Bangladesh.
The government must turn its full focus on radically improving ease of business in the country by first removing all the significant bottlenecks, including expediting title transfer, improving court response time, among a myriad of other things. Otherwise, the dream of development through FDI will never come to fruition.