A UNDP-supported forum suggested Sunday framing right policies to woo bigger private-sector investment needed for readying Bangladesh's infrastructure for its economic quantum leap and regional integration.
Speakers at the daylong discussions in Dhaka listed prerequisites like adequate port and infrastructure facilities for grater regional connectivity and integration.
Noting that Bangladesh can benefit from greater regional connectivity and integration, they also called for increasing the country's trade- negotiation capacity and reaching greater consensus among the countries of South Asia and Southeast Asia.
The 'Impact Bangladesh Forum' was organised by Dhaka Chamber of Commerce and Industry (DCCI) with support from the United Nations Development Programme.
"Bangladesh has the potential to become 30th-largest economy in the world by 2030 with a per-capita GDP of US$6,000. Such development potential requires huge investment in infrastructure," said Abul Kashem Khan, President of Dhaka Chamber of Commerce and Industry (DCCI).
"Our estimate suggests that around US$ 300 to 320 billion is needed to be invested in infrastructure over the next thirteen years to realise that potentials," he added.
The chamber chief also noted that the country's private investment-to- GDP ratio needs to be enhanced to 40 per cent to meet the broader development goals by 2030.
"Therefore, the government policies should be enablers for an investment-friendly climate," the business leader told the meet.
Speakers on the occasion also identified economic governance issues as a major challenge against attracting investment in a bigger way.
"For example, we do not have a true bond market in Bangladesh yet while the way our banking system is running is not proper," said Executive Director of Policy Research Institute Dr. Ahsan H Mansur, adding: "We need to fix our banking system."
Pointing at the upturn in the price of gas, he said that the energy should be supplied at a proper price, not 'whatever price'.
"Rise in energy prices increases production cost which is not conducive to bringing foreign investment," the policy analyst said while speaking at a plenary session on Building Infrastructure for Growth and SDGs.
Highlighting the Rohingya issue, Dr. Mansur observed that the crisis created through the influx of the minority people from Myanmar showed how "isolated" Bangladesh has become in geopolitics.
"We are isolated because of ourselves. We are not open to connectivity and foreign investment," he said in what appears to be a covert reference to global politics behind the Rohingya situation.
"The key challenges of regional connectivity do not lie in the lack of infrastructure, the scarcity of financing or the absence of enabling environment," said Syed Afsor H Uddin, Chief Executive Officer for Public Private Partnership (PPA).
"Rather it depends on the ability of the nations to achieve consensus with each other on the best way to prioritise their approach to connectivity," he added.
Citing Singapore as an example, the PPA chief noted that soft infrastructure like policies, procedures and systems are as important as hard infrastructure if the country wants to benefit from connectivity.
"If you ask me if Bangladesh is ready for regional integration, the answer will be 'no'. Because the major components of regional integration and connectivity like seaports or airports are not up for meeting the challenges of regional integration," said Selim Raihan, Executive Chairman of SANEM.
He observed that while India has the biggest role to play for greater regional integration within South Asia, Bangladesh has a lot to do when it comes to BBIN due to its central location within this four-country entity.
Speakers at the forum also identified Bangladesh's cumbersome customs formalities and sorry state of logistics as major hurdles in the way of boosting regional trade and connectivity.
"Typically, it takes 21 days for a truck to get cleared from Benapole land port in Jessore. Meanwhile, the prime seaport of the country, Chittagong, is running beyond its actual capacity for years now," said President of Bangladesh Freight Forwarders Association Mahbubul Anam.
Bangladesh Institute of Development Studies (BIDS) Director-General Dr. KAS Murshid pointed out complex geopolitical issues affecting Bangladesh's potential for regional integration.
"Our usual gateway to ASEAN countries can be Myanmar. But that is a country with which it has been difficult to build a deep relationship over the decades," said the chief of the official agency on development studies.
"China has recently come up with its OBOR initiative, but without the participation of India, it may get difficult for Bangladesh to reap the full benefit of OBOR (One Belt, One Road)," he added.
Reflecting on the mapping of the government-planned economic zones, CEO of Young Consultants Md. Zakir Hossain said most of these zones are concentrated within Dhaka, Chittagong and Comilla.
"Such concentration of economic zones in particular geographical areas can create regional imbalance in terms of economic progress," he noted.
State Minister for Finance M A Mannan, who attended the opening session of the forum as chief guest, said the government is sincere in removing the business barriers in terms of rules and regulations.
"We also want the private sector to take lead role in development process," he told the gathering of businesspeople, economists and development planners.
Later, talking at a plenary on 'Business Leadership and SDG Partnerships', Distinguished Fellow of the Centre for Policy Dialogue Dr. Debapriya Bhattacharya said the involvement of the private sector with the SDGs should not be seen as a charity or CSR rather they have to take a proactive role in the core issues of this development process.
President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Md. Shafiul Islam (Mohiuddin), President of Metropolitan Chamber of Commerce and Industry (MCCI) Nihad Kabir, Senior Economist of the World Bank Dr. M Masrur Reaz and CEO of Green Delta Insurance Farzana Chowdhury also spoke on the occasion.
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