BoI on BoI-PC merger

The merger of the Board of Investment (BoI) and the Privatisation Commission is imminent as the legal formalities are in the final stage of completion. Questions have been raised whether this merger will bring befitting result. Before going into context we need to consider the reason for this merger.
In almost all the development documents (Sixth Five Year Plan, Perspective Plan, etc.) private investment is considered as the main driver of attaining desired growth. The  focus on private investment is challenged by many issues among which shortage of industrial land is one.
The Privatisation Commission for quite a long time is trying to solve the issue by divesting State-Owned Enterprises (SOEs) to the private investors. For many reasons the desired outcome could not be attained. The government, after reviewing the situation, decided to merge the Privatisation Commission (PC) and the Board of Investment (BoI) creating a dedicated agency to better manage the situation and also limit the revenue burden of the government.
We would like to refute the comments about BoI as ineffective, which failed to perform their assigned duties. BoI, being the apex investment promotion agency, has tried to perform its due role with its limited resources. The need of the private investors, both local and foreign, is mostly catered to by BoI, and given the country context, it can be asserted that BoI has played this role to the full satisfaction of its clients. There have not been complaints from FICCI (Foreign Investors' Chamber of Commerce and Industry) or individual members.
The actual inflow of FDI (foreign direct investment) in the country has posted 20 per cent growth (year-on-year) since 2009, starting from 700.16 million USD in 2009 and reaching 1599.16 million USD in 2013. This demonstrates the continued success of the BoI in mobilising FDI. It is to be noted that FDI in Bangladesh is mostly intermediated by the BoI and the Bangladesh Export Processing Zones Authority (BEPZA).
Finally, We believe that this merger would be able to bring the desired changes as envisioned in the decision of merger. We need more investment in the private sector in the country - more than at any time before.

Md Arifur Hoque
Deputy Director,
Board of Investment