Bangladesh Per Capita Income has Surpassed India in 2021

In the fiscal year 2020-21, Bangladesh has surpassed the neighboring country India in terms of per capita income. According to the recent report of Bangladesh Bureau of Statistics (BBS), Bangladesh's per capita income has risen to US$ 2,227. In Bangladeshi currency it is 1 lac 88 thousand 873 taka per year.

 

The Planning Minister of Bangladesh Mr. MA Mannan placed the statistics at a virtual cabinet meeting held with Prime Minister Sheikh Hasina in the chair on 17 May 2021, “Our per capita income stands at $2,227 in the fiscal year 2020-21, but the previous fiscal year’s per capita income was $2,064. So, the growth rate is 9 per cent.

 

On the other hand, a report in the Indian media ‘Indian Express’ states that India's per capita income is US$ 1,947. In Bangladeshi currency the amount is 1 lac 65 thousand 170 Taka, which is 280 dollars less than Bangladesh per capita income. In other words, a citizen of Bangladesh earns 23 thousand 753 Takas more than a citizen of India. The Covid-19 epidemic and the lockdown it dealt with is one of the reasons for the India's economic contraction.

 

In the last financial year (2019-20), the per capita income of Bangladesh was 2 thousand 64 US Dollars. In its previous fiscal year (2018-19), the average per capita income was US$ 1,909. In 2007, Bangladesh's per capita income was half of India's per capita income.

 

The World Economic Outlook released by the International Monetary Fund (IMF) in October last year predicted that Bangladesh would surpass India in terms of per capita gross domestic product (GDP) by the year 2020. It is said that the per capita GDP of Bangladesh will be US$ 1,888. At the same time, India's per capita GDP will be US$ 1,877.

On the virtual meeting the minister also said that the country's GDP has also increased to BDT 30,87,300 Crore from BDT 27,96,358 crore, according to the primary data. "It's a good achievement," said the bureaucrat.

 

The report further said that India's economy will shrink due to the corona. Compared to that, there will be positive growth in Bangladesh. That is why the opportunity to move forward will come in front of Bangladesh.

 

Thanks,

 

 

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Made in Bangladesh Cars | Introducing BANGLA CAR

The first Made in Bangladesh Car of the domestic brand is coming to the market soon after EID-ul-Fitr with some modern features and facilities. The seven-seater Made In Bangladesh car price will be only around 30 lacs BDT. The Bangladeshi Car is being marketed by Bangla Cars Limited, a concern of Hossain Group of Industries. For the first time ‘Made in Bangladesh’ will be appeared on the car body.

Ref: Daily Jugantor

 

Mr. Zakir Hossain, managing director of the Hossain Group said that if all goes well with the reduction in the incidence of COVID-19, the company will start exporting the local brand 'Bangla Car' within the next year. Initially 30 cars are running on trial basis, 10 cars have already been sold. He also said that the benefits that a customer gets in a Mercedes Benz / BMW brands at a cost of crores of Taka, same will be available in Made in Bangladesh Car for only BDT 3 million.

As per the information provided on the official website of Hossain Group the Glory i-Auto is an intelligent SUV designed with some special features.

• i-Talk, Drive Smarter: The Glory i-Auto is the first smart SUV from DFSK with virtual assistant able to understand the context of your voice commands. A new driving comfort is created from the convenience that comes from the smart features of the brand.
• Phone Connection: Easy access to mobile device features like make a telephone call and access history of telephone
• Voice Navigation: Support activation of navigation system by voice command
• Media Command: Activate and control the media like pictures, music, radio and video
• Car Control: Facilities deep access of your vehicles like open the window, turn on the A/C, close sunroof and others
• Connectivity: Supports the system connectivity with Bluetooth and WiFi

 

The special feature is that the car will carry the motto Made in Bangladesh. Japan, China and India will lead the country in car production. In the first phase, there will be showrooms of Bangla Cars in 8 divisions of the country. Besides, the manufacturer is going to open 30 more showrooms across the country.

In the meantime, a showroom has been opened at Tejgaon industrial area in the capital. Where some cars of different colors of the native own brand Glory i-Auto has been displayed. The new model car of 2021 is also being decorated in the showroom. As per the information, the factory of Bangla Cars is located in Panchabati of Fatullah, Narayanganj. 12 types of vehicles will be produced and marketed from there including Cars, Trucks, Buses, Lorries and Pickups etc.

However, although the car sales activities have started, but the official journey has not started yet. Though it was supposed to be inaugurated on March 26 of 2021, the inauguration ceremony has been postponed due to the COVID-19 situation. If all goes well, the official inauguration will take place soon.

The Hossain Group is working jointly with Japan, Indonesia and China to manufacture Bangladeshi Car as a brand name of ‘Bangla Car’. The MD also said, we are going to manufacture cars with local brands, local designs. The cars will be a combination of ISUZU Japanese engines, Chinese bodies and Indonesian chassis. These cars are different from other brands. Photon or Mitsubishi can make one or two models of cars in the country but Bangla Car can manufacture variety of models. From 1500 to 2500 cc and even different colors based on buyer needs.

The Made in Bangladesh Car is not a foreign car brand, the factory is producing own car for the first time in own name in the country. Toyota is a Japanese company, Haval is a Chinese company same as Bangla Car is a Bangladeshi car manufacturing company. Like TATA of India, the company will meet the demand of the country and then will start export. The company is now in trial production, more cars will come within upcoming months, the world will see a new car named as Bangla Car which will be 'Made in Bangladesh Car.'

The company will start manufacturing Pickup, Lorry and Truck soon. There will be total 12 types of vehicles including Buses. Moreover, electric cars will be launched next year. PHP is making cars with Photon's, Pragati is making with Mitsubishi. But the Bangla Car is the country’s first own brand.

All services and facilities of the manufactured vehicles will be available from Bangladesh. The company has a plan of producing four to five thousand cars every year. Their plan is to produce various kinds of vehicles including electric motorcycles, electric vehicles, big lorry trucks, cement carries etc. Five years warranty / guarantee will be provided for each vehicle. Bangla Cars Limited plans to build up an integrated base of production, marketing and service in the whole country for our own Made in Bangladesh Car.

 

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SONALI BAG from Jute | Best Polythene Alternative | Made in Bangladesh

Jute is a traditional financial crop of Bangladesh. At present, over eight lac hectares of land are cultivating jute and related crops. With the United Nations announcement of the year 2009 as "international natural fiber year" and due to increasing of environmental awareness in developed countries, the popularity or use of environmental catastrophes products is declining steadily around the world.

A new era was started by Professor Mubarak Ahmed Khan, chief scientific adviser of the Bangladesh Jute Mills Corporation (BJMC). Through the invention of his eco-friendly poly-bag made from jute, a new dream in the jute sector has already started becoming true.

Sonali Bag:

The golden bag is a type of polythene bag made from jute. Professor Mobarak Ahmed Khan, a Bangladeshi scientist, discovered this process of producing polythene bags from jute. After invention of the golden bag, the experimental production began on May 2017 in Latif Bawani Jute Mills. The factory started producing environment friendly 2000 pieces of polybags from Jute's cellulose. Bangladesh's Prime Minister Sheikh Hasina has named this polythene bag from jute as ‘SONALI BAG’.

Method of making Sonali Bag from Jute:

Structurally, the jute is composed of complex polymers consisting mainly of cellulose 75%, hemicelluloses 15% and lignin 10%. Besides, because of the small amount of fat, wax, nitrogenous matter, beta-carotene and xanthophylls, jute is deciduous and environment friendly. In 2017, Professor Mubarak Ahmed Khan, a noted scientist of the Atomic Energy Commission, invented the Sonali Bag from Jute cellulose which is very much environmentally friendly.

First, cellulose is extracted from the waste jute fibers that are thrown away from the jute mills. These cellulose which is insoluble in water, is subsequently modified using some chemical products. Cross-linkers are mixed with soluble cellulose. The chemical reaction is carried out inside a drawer machine at a particular temperature. It dries out of the machine in the form of plastic sheets. Later the sheet gets polybag shape by cutting. It is possible to get one kilogram of polythene from one kilogram of jute.

More than 50 percent of cellulose is present in the bags produced. This waterproof polybag costs from BD Taka 250 to 300 per kg. But if the bag is manufactured and marketed commercially, the price will be further reduced. Fully digestible and environment friendly, the bag lasts for about five hours in water and then begins to melt slowly. Since there is not any harmful chemicals so it increases soil fertility by completely mixing within 5-6 months. It looks like a normal polythene bags of the market, but it is one and a half times more durable and stronger than usual polyethylene bags. This bag can be used as packaging material for specially made garments and also for storing food items.

Impact of polythene on the environment:

More than one million polyethylene bags in every minute are used in the world. Only one percent of it is processed for recycling and 10 percent is dumped into the sea. These polybags will not digest and won’t mix with the soil for a hundred years. It will harm people with harmful effects, including large numbers of birds and aquatic animals. In Bangladesh, the production of polythene started on a commercial basis in 1982. Due to the excessive use of polythene, in 1998 the sewerage system was disrupted in various cities including the capital of the country. Then, production, marketing and sale of polythene bags were prohibited by law in the country in 2002. Despite various government initiatives, the use of polythene could not be controlled as there was no cheap and other alternative.

Importance as an alternative to polythene:

The importance of polythene made by jute as an alternative to present polythene is understood from the decision to ban polythene that is a serious risk to the environment around the world. Bangladesh has banned the use of polythene with 72 countries of the world. In all countries, there are punishments for the use of polythene but the use could not be stopped. The Kenyan government issued a rule to arrest anyone after seeing with polythene in hand. The Ugandan airport had provisions for arresting anyone with polythene. But since polythene had no alternative, it could not be implemented for long. Ireland's government has imposed additional taxes to reduce the use of polythene bags. Portugal, Spain also started same actions. European Parliament is going to implement a law banning polythene bags in European countries since 2020.

Several countries are interested to buy Sonali Bags from Bangladesh:

Already the Melbourne City Council authorities in Australia have expressed interest in buying the bag to keep the city polythene-free and a US-based business firm in Dubai has placed order to buy 25,000 pieces of polybags a month. On October 2019, a memorandum of understanding (MoU) and an NDA were signed with a UK company for commercial production of Sonali Bags from Jute. Recently, countries in the world, including Italy, Brazil, Bhutan, China, Kenya, Rwanda, Somalia, Taiwan, Tanzania, Australia, the United States and the United Kingdom, have started reducing use of environmental harmful elements, including synthetic polybags.

Various steps of the Bangladesh Government:

Formulation of capital policy EcoTax is being imposed on polythene reforms and use of products. For the protection of the environment the ‘Wrap Act 2010’ has been announced for wrap 17 types of products including fertilizers, sugar, rice etc. For these products the use of jute wrap is mandatory for sale, distribution and supply. The provision for use of wrappers made of all jute-made products is made as a wrapper of the products produced by all public and private organizations. If the use of jute wrapping in the product is fully implemented, the demand for jute bags in the country will increase from 90,000 to 840 million pcs in the country. The government has taken initiatives to establish a Jute Village at a cost of Taka 2,000 crore in 200 acres land beside Padma River to provide the raw materials for making multipurpose jute products. From January 2019, the Bangladesh Jute Mill Corporation has been working to produce 25,000 pcs bags daily. As a result, the future of Bangladesh's golden jute may change.

There is currently a global demand for 500 billion deciduous polybags. If we can produce jute sonali bag to meet this demand of the world, it will start a new trend in Bangladesh economy. Private investment should be encouraged alongside the government. Sonali Bags will be hugely popular as an alternative to polythene bags if the cost can be reduce. Currently investing the entire jute produced in our country, it is possible to meet one third of the global demand. If we can ensure the use of jute fibers internally, it will be possible to get a fair price of the jute, as well as to bring the fallen land under jute cultivation, and to make possible progress in the jute sector. New opportunities for jute will be exposed. And the jute will remove the use of polythene forever that is destroying the environment.

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Dholaikhal Brand | Light Engineering Industry in Bangladesh

Nearly two hundred types of machineries, including engine parts, car parts in the country have become the 'Dholaikhal brand' with huge potential for production and marketing. More than eight lac peoples are involved in this sector at present. The Dholaikhal brand's craftsmen are seamlessly preparing everything from bicycles to cars, tractors, cranes, re-rolling mills and even train buggies.

According to a report from BUET, around 3,800 types of machines and parts are being manufactured in the light engineering industry of the country. Out of which 137 items are already being exported to 17 different countries in the world. The production of goods worth Tk 9,000 crore is possible against the demand of Tk 26,000 crore in the country.

The industry is so in demand in the country that buyers are booking entrepreneurs with advance money to make their parts. However, more than two decades ago, the required components were imported for various industrial sectors and transport sectors.

In addition to the Dholaikhal brand, the factory has been expanded in Jessore, Bogra, Sylhet, Chittagong and other parts of the country. There are 50,000 small and10,000 SME factories in the light engineering sector in the 18 districts of the country. Most of the workers here don’t have educational qualifications or technical education. They make perfect machine parts based-on their hands-on practical experience.

According to the estimates of the financial year 2016-2017, the exports from this industry were more than $ 86 Crore. But without incentives and other government facilities, the export revenue fell to $ 35 crore in the financial year 2017-2018.

The entrepreneurs and workers of the Dholaikhal brand have minimized foreign dependence by providing instruments and parts through sub-contracts in various government-owned enterprises. Various machines, parts and equipment is being supplied on a regular basis to Bangladesh Railway, Bangladesh Jute Mills Corporation, Bangladesh Textiles Mills Corporation, Civil Aviation Authority, Bangladesh Chemical Industries Corporation, Power Development Board, Department of Public Health Engineering, Ports and Maritime Authority, Bangladesh Internal Naval Authority, Bangladesh, Titas, Bakhrabad and Jalalabad Gas Companies, Sugar and Food Industry Corporation institutions.

Starting of this sector in Bangladesh:

According to information from BEIOA - Bangladesh Engineering Industry Owners Association, the light engineering sector made its way through the start of some factories after 1971. At first, manufacturing parts for various industries and vehicles were limited. Later in 1986, the government adopted the 'Dholaikhal Jinjira Project' for the development and financing of the industry and a loan was given amount of Tk 5 crore. After that the sector developed and expanded. Later, the government adopted another 'Dholaikhal Jinjira Model Project' with an allotment of Tk 15 crore to spread the industry across the country. And now the number of factories has grown more than 50,000 across the country.

Problems in this Sector:

Currently, there is a 1 percent tariff and VAT exemption at the import level of capital machinery of the industry. This is helpful for normal industrialization. But the VAT during the current financial year of 2019-2020 seems unprecedented. Entrepreneurs in the sector want to exempt up to 5 percent advance tax on the import of capital equipment. While importing capital goods 1 percent tariff, the raw material tax need to pay in the country from 25 to 50 percent which is very high. Entrepreneurs in this sector demanding this tariff must be reduce.

Demand for setting up of modern industrial park:

Entrepreneurs want the government's initiative to set up a well-planned and modern industrial park where there is demand of light engineering products in the country. These industries should have their own power generation system, common facilities center, necessary waste treatment plant for protection of the environment, green park, safety and so on.

Demand for Establishment of Permanent Training Institute:

At present, the BEIOA - Bangladesh Engineering Industry Owners Association is training the craftsmen of this sector to enhance their skills and meet the needs through Bangladesh Light Engineering Training Institute (BLETI). There are trade courses to create new artisans. Training is also taking place in different district cities outside Dhaka. However, there is no own infrastructure to handle these activities. As a result, the majority of the project's money is spending on rent. Recently, BEIOA has demanded Tk 20 crore from the government for the establishment of a permanent training institute for the development of the sector.

Entrepreneurs of this sector feel that training system, investment, technology, and industrial park establishment is urgently needed to achieve bigger success. The light industry is called the mother industry. The light engineering sector produces basically the equipment and machinery needed to set up an industry. Parts are also produced in this sector to keep the industry running. Even the light engineering works with servicing and maintenance.

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Exotic or Foreign Fruits in Bangladesh

Bangladesh has recently achieved considerable success in producing fruits. According to the World Food and Agriculture Organization (FAO), fruit production in Bangladesh has increased at an average rate of 11 percent per year for the past 18 years, which has not happened in any other country in the world.

Foreign fruits on the soil of Bangladesh:

We call Lichu (litchi) a Bangladeshi fruit. But once, this litchi fruit also came from far away China, and even the name Lichu is not a Bangla name, it’s Chinese. Thus, many of the fruits that we now know as indigenous fruits, have come from abroad and made their way to the soil of our country. They have slowly become popular. That trend continues, and will be in the future.

Over the past decade, at least 20 foreign fruits have arrived in this country. These are Strawberry, Dragon Fruit, Malta, Rambutan, Sour Soap or tok aata, Alobokhara, Mangosteen, Canistel or Zaman Fruit, Passion Fruit, Persimmon, Avocado, Cocoa, Grape, Peach fruit, Cherry, Longan, Saudi Khorma, Bread Fruit, Shantol, Rock Mellon, etc.

There are also many exotic fruits came before, such as almonds. In addition, some fruits that were in this country, but with the advent of some new varieties, there has been a great change in the cultivation and production of those fruits, such as Thai guava. With these varieties of Thailand guava, we can now eat delicious guavas all year long.

Likewise, the delicious mango varieties Katimon which can be found around the year or un-season, Brunei king mango which weighing two or three kilograms, mango palmar in red gourd, long varieties of yellow mango like bananas, and even Amrapali which are soaked in the soil of the country. Thai Jamrul, sweet arbaroi, sweet cinnamon, sweet karmacha, sweet kamranga, color sharifa, dwarfs coconut, non-seasonal watermelons etc are now available here.

Bangladeshi Local Fruits:

The most common and popular fruit varieties that cultivated commercially inside the country, such as jackfruit, mango, guava, banana, pineapple, watermelon, papaya, litchi, coconut, jujube (kul-boroi), various lemons. These are called seasonal conventional fruits of Bangladesh.

Among the obsolete fruits of the country are bell (Bengal quince), Kodbel/bael, tetul (tamarind), Amra fruit (hog plum), olive, Jaam/Jam/Kalojaam (Jambul), jamrul (water apple), gulapjam (rose jaamun), orange, chinar, lukuki/torfoi, deua, kamranga, karmacha, etc. Various wild fruits are bet-fal, chapalish jackfruit, timtoah, akura, butijaam, putijaam, kaufal, boiychi, wood peanut, wild peanut, wild/forest mango etc.

Reduce fruit import:

Due to the scarcity and demand of fruits, there are currently some exotic fruits available in this market. Among these are apples, grapes, oranges, pears, pomegranate, kiwi, dragon fruit, persimmon, mango, avocado, etc. Foreign fruit imports have been gradually declining due to continuous fruit production in the country and interest of human in domestic fruits. The quantity of fruit imported from abroad was around 3,56000 tons in 2017-18 year but in 2018-19 it was reduced to around 3,00,000 tons.

Research on fruits:

A total of 177 modern varieties of 40 different species of fruits have been invented by various research and educational institutes in this country. Of these:

• Bangladesh Agricultural Research Institute (BARI) invented 84 varieties fruits of 35 species
• Bangladesh Agricultural University has invented 84 varieties fruits of 24 species
• Patuakhali University of Science and Technology has invented 7 varieties of 5 species
• Bangabandhu Sheikh Mujibur Rahman Agriculture University has invented two varieties of two species

In addition, several technologies have been developed for fruit cultivation. Fruit production is increasing day by day with the expansion and use of these varieties and technologies.

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Economic Zone for Tannery Industry in Chattogram

The government is going to establish a special economic zone for tannery industries in the Bangabandhu Economic Zone of Mirsarai, Chattogram. For this tannery village around three hundred acres of land has been selected.

According to the Bangladesh Small and Cottage Industries Corporation (BSCIC), it was decided to add two more tannery village after Savar to increase the production and capacity of the leather industry of the country. One of them will be in Rajshahi and the other will be in Chittagong. For this purpose, Ernest Money will be credited to the Bangladesh Economic Zone Authority (BEZA) in November.

While interacting with the leaders of the chambers at the Chittagong Circuit House, the Executive Chairman of BEZA, Mr. Pawan Chowdhury said that as a commercial city there is no leather or tannery village in Chittagong region. For this purpose, it is important to take long-term initiatives for the development of this industry concerned for the interest of the economy and the country. On that meeting he assured that special economic zone would be set up in the Mirsarai Economic Zone for the production of leather goods in order to revive and mobilize the potential tannery industry of Bangladesh.

The government of Bangladesh is establishing 100 economic zones with one-stop service facilities across the country. Of these, more than 30 are in Chittagong. Chittagong will be able to achieve its desired form as a commercial capital if all the projects adopted for infrastructure development are implemented in the region. Every year around 30 to 40 percent of leather collects from the Chittagong region but the tannery industry is under par in the area. Therefore, a specific industrial area for this industry and its associated industries will accelerate this sector which will be boosting the economy of the country.

There were total 22 Tannery industries in Kalurghat industrial area, Chattogram was established. Before the independence, in Kalurghat industrial area, only sixteen tannery factories were established. After the independence there were five or six more added. But now only two of the factory is running. Medina Tannery and Riff Leather are now active but recently Medina Tannery has been shut down due to lack of ETP. Tannery factories that shut down due to some leakage and facilities in Chatogram area are: Hilton (HRC), Zaman Rahman, Orient, Monty, Seiko Leather, Karnaphuli, Jubilee Tannery, Asia, Metropolitan, Chittagong Tannery and more.

The industry has collapsed due to lack of facilities in Chittagong area. In the Bayazid Bostami and Kalurghat, tannery industry was once a gathering. Inadequacy in bank credit facilities, environmental pollution, lack of seasonal leather supplies, market problems and export problems are the major causes of this industry's distress. However, in the greater Chittagong region the amount of animal leather collection is increasing every year.

In 1991 the TK Group established the last tannery factory in Chittagong named Riff Leather. At present Riff Leather is the only leather factory in Chittagong located in Kalurghat industrial area. This factory buys almost 5-7 percent of the raw leather. The remaining leather has to be sold to the tannery owners of Dhaka, some goes to trafficker’s hand.

Relevant business persons in this field said that it has become difficult to survive in this sector because of the lack of advanced technology used, modernization in the tanneries of Chittagong and product marketing in the international market. In order to protect the leather industry, government can arrange to provide bank loans at low interest rates for the tannery owners.

The owners, business persons of the industry welcomed the initiative to build a tannery village in Mirsarai. They say that in order to sustain the leather industry, there is a need to build an environmentally friendly tannery pavilion. They also said that higher tariffs on import of leather and leather products must be reduced and to ease the bureaucratic complexity.

On Wednesday (October 30) at the inauguration of the ‘3rd Bangladesh Leather Footwear and Leather Goods International Sourcing Show-2019’ in Dhaka the Prime Minister Sheikh Hasina announced a financial incentive for the next five years to achieve the desired export earnings from the leather goods and footwear industry.

The Prime Minister said that equal opportunities and policy support would be ensured for all the export sectors of the country. Discriminatory barriers will be removed. The government is emphasizing economic diplomacy to connect importers of leather and footwear with exporters around the world. As a result, the leather goods and footwear industry has become the second largest export earning sector in the last decade. Now the income from this sector has taken place after ready-made garments.

She also said that in the last financial year, about $ 1.2 billion earnings was generated from the leather sector. If we can export our entire collected raw leathers by making finished product, we will be able to easily export $ 5 billion from this sector by 2022. She invited all foreign buyers and investors to invest in various industries of the country, especially in the leather and leather products industry.

The Prime Minister said at the occasion, the footwear and leather goods factories have expanded with encouragement and policy support during the last two periods of her government and there has been huge incentive for the investment. Now about 83% of the sector's export revenue comes from footwear and leather goods.

The government is implementing the Export Competitiveness for Jobs project under the Ministry of Commerce for the development of four priority sectors to achieve export diversification goals. The leather, leather goods and footwear industries are of them.

The Prime Minister expressed optimism that all those involved in the leather and footwear industry will come forward to achieve the goal of developing a middle-income Bangladesh by 2021 and a developed country by 2041.

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Foreign Investment in Bangladesh is Increasing among all LDCs

Recently, Bangladesh has made big progress in attracting Foreign Direct Investment (FDI). In 2018, the maximum amount of FDI came in Bangladesh and it increased also among all the LDC countries across the world. Bangladesh has the highest growth rate among all the countries in South Asia. Last year, FDI rate increased by 68 percent compared to the previous year whereas the FDI rate was 13 percent decreased in the whole world. Hope more FDIs will come in this year as per previous contract and announcement of several companies of the World.

The latest international investment report of the United Nations Trade and Development Organization, UNCTAD, shows the picture of foreign investment in Bangladesh. According to the report published on 12 June 2019, in 2018 there was $ 3600 million net FDI in Bangladesh.

Japan Tobacco has invested 1500 million dollars last year through the purchase of local tobacco company Dhaka Tobacco which has had a positive impact on the overall investment and the economic zones of public-private partnership overall. UNCTAD this year report is based on the Special Economic Zones in Bangladesh. UNCTAD evaluates more deeply the recent investments in the economic zones of the country.

The Government of Bangladesh has already taken some initiatives that are attracting investment. Infrastructure development, gas and electricity supply system has been improved. The problem of land has been resolved by establishing new economic zones across the country. Besides, laws have been relaxed to facilitate the transactions of foreign investors. Various initiatives including one stop service have been taken to facilitate easy business process.

Executive Chairman of Bangladesh Investment Development Authority (BIDA) Kazi M Aminul Islam said, "Currently all the relevant related to investment in the country is now present." Infrastructure development has progressed a lot. One stop service for the investor has been started. Foreign entrepreneurs are finding the young manpower of Bangladesh as positive. Their confidence is increasing due to socioeconomic achievement. As a result, FDI is increasing. But there is still some problem due to bureaucratic complexity and old laws which needs reform. If there is a continuation of the current progress and some necessary reforms done then FDI will increase further.

According to the UNCTAD report, foreign direct investment in South Asia in 2018 was $ 5,400 Crore, which is 4 percent more than the previous year. Vast majority of this huge investment amount received by India. Last year foreign investment of India increased 6 percent to amount 4,200 crores. Although Bangladesh's total investment is low but growth rate is top in South Asia.

According to UNCTAD, last year the total FDI amount in LDCs stood at $ 2,380 Crore, which is 15 percent more than the previous year. Among the LDCs, the highest FDI came in Bangladesh. Myanmar got FDI equivalent to 360 million dollars in Bangladesh but it s 18 percent less than Myanmar's previous year's investment. Apart from attracting FDI, the top five countries in the LDCs are Ethiopia, Mozambique and Cambodia. Bangladesh is also at the top as a single company's investment.

Bangladesh is also the leading country to attract new or Greenfield investment. The report said that the United States General Electric, Japan's Mitsubishi and Summit jointly announced to invest $ 300 crore to build oil and gas terminals in Bangladesh. In addition, General Electric announced $ 300 crore investments in fossil fuel electric power in Bangladesh. China's Huadian Corporation has shown interest in investing around $ 1 billion in the same sector. In addition, General Electric last year made another $ 440 crore investment in power generation.

UNCTAD said in 2018 the FDI fell 13 percent to 1.3 trillion dollars around the Globe. After the global economic downturn this was the lowest in the last decade. But hopefully this year, FDI will increase further in some Asian and African countries. The organization thinks that special economic zones and natural resources on these continents are attracting foreign investors. FDI is coming for the developing economic zones of public-private partnership in Bangladesh. BIDA hopes that Bangladesh will receive $ 370 Crore FDI in the end of this year.

The government has constituted Bangladesh Economic Zone Authority or BEZA to speed up economic growth. Granting of setting up of 30 economic zones has been approved out of 24 is under construction. 4 economic zones are being built on the basis of international partnership. Besides, more than 60 economic zones are in the process of approval. Government planned to establish 100 economic zones across the country. There are also existing eight governments and one private Export Processing Zone - EPZ in the country. 72 percent of foreign investment has been invested in these EPZs. And 20 percent of the country's total export products are being manufactured from these factories.

Please visit the official website of UNCTAD for details about the report.

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