Business leaders have expressed concern that the ongoing amendment to the rules governing trade organisations may fail to ensure the emergence of proper business leadership for the country's economic development, despite the government's year-long efforts to streamline the regulations.
They have questioned the newly added provision requiring a mandatory one-term break after serving two consecutive ones, warning that it could trigger a leadership crisis in several organisations in the coming years that could further weaken institutional capacity.
Additionally, the proposal to elect the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) president through direct voting may discourage competent leaders from participating in the election as the condition could create bottlenecks for the aspirants, who have leadership qualities, because of their regular business affairs.
Business leaders have also suggested forming two separate federations - one for chambers and the other for associations - arguing that during the previous regime, trade associations effectively became extended affiliated bodies of the ruling party.
As a result, most top leaders were elected based on political considerations, except in organisations such as Dhaka Chamber of Commerce & Industry (DCCI), Metropolitan Chamber of Commerce and Industry (MCCI), and Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
These observations were shared with The Financial Express on Sunday, with the government's scheduled finalisation of the amendments due today.
A meeting with trade organisations has been called at the secretariat to discuss the proposals.
The leaders also questioned why the government had taken these steps without prior consultation with the business community.
They noted that despite the existing irregularities, such as the politicisation of trade organisations, vote trading, and non-business individuals assuming leadership roles, the process had proceeded without sufficient engagement of genuine business leaders.
Bangladesh risked missing the opportunity to adopt internationally standardised rules as the amendment process remained uncertain, they said.
After the political transition, the interim government appointed administrators to FBCCI and several other organisations. Yet, even after more than a year, leadership had not been returned to genuine businesspersons through elections, they added.
Abul Kasem Khan, chairperson of Business Initiative Leading Development (BUILD), told The Financial Express that a trade organisation federation should ideally consist of two separate bodies - one for chambers and the other for associations.
"During the previous regime, approvals and leadership selections were often based on political interests rather than broader economic priorities," he said.
He added that while systems existed to select leadership for DCCI and MCCI for the betterment of the sectors and the economy, FBCCI had lacked such mechanisms for years.
Also, he noted that multiple associations had been registered for the same sector, raising questions about how the commerce ministry granted the approvals.
According to the FBCCI data, 41 associations have been registered in the textile and apparel sector.
Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) President Mohammad Hatem said the practice of registering overlapping associations should be stopped. He added that the ministry should take steps to abolish duplicate associations.
Hatem further warned that the one-term break provision could create a leadership crisis.
"While the law will take effect after approval, trade organisations appear to be applying it retrospectively. The BKMEA may face a leadership crisis in the next tenure as most experienced leaders have already served two consecutive terms," he said.
Abdullah Al Mamun, director of Bangladesh Textile Mills Association (BTMA), said under the amended rules governing trade organisations, the FBCCI president must be elected through direct voting.
However, according to his discussions with major trade body leaders, fears exist that this process may prevent the federation from getting a competent leader.
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