Still a lot to be done to create ideal investment climate: Akbar
Wednesday, 1 April 2009
FE Report
Chairman of Regulatory Reform Commission (RRC) Akbar Ali Khan said Tuesday that the recent BDR carnage and the latest political developments in the country have pushed the country's investment climate into a zone of uncertainty.
"Right now, we have got a new government in power, and it is yet to be seen what reforms and changes in terms of policies they are to bring about," Akbar said. "There is still a lot to be done to create an ideal investment climate," he added.
However, responding to a question regarding the impact of the recent BDR mutiny on the country's foreign investment, the RRC chairman said: "The incident is unlikely to have any direct impact on the flow of foreign investment, but its effect will be felt gradually."
His views came on the eve of the certificate awards ceremony for The Regulatory Reform Core Group Programme. IFC Bangladesh Investment Climate Fund in collaboration with Bangladesh Enterprise Institute (BEI) and Institute of Government Studies organised the programme.
Pointing the areas, which needs to be addressed for creating a congenial environment for foreign investment; Akbar insisted on infrastructure development as well as alleviation of power and energy shortage.
"There are still acute shortages of electricity, gas and in some cases water supply in many parts," he said, "while transport and communication infrastructure as well as seaports must also be developed".
At the same time, he warned that the current global financial turmoil might have a detrimental impact on the flow of foreign investment in the long term.
His opinions however were contradicted by the Adviser to the Prime Minister H T Imam who expressed an optimistic view about the present climate for foreign investment in the country.
"If you have a look at some other parts of South Asia, we relatively offer far more stability and therefore a good enough environment for investment," he told the reporters after attending the event as chief guest.
"This is further testified by the Telenor's recent move to float their shares in the local stock exchanges," Imam said referring to the Norwegian conglomerate which is the parent company of the telecom giant Grameen Phone and it's recent decision to move to the country's capital market.
Chairman of Regulatory Reform Commission (RRC) Akbar Ali Khan said Tuesday that the recent BDR carnage and the latest political developments in the country have pushed the country's investment climate into a zone of uncertainty.
"Right now, we have got a new government in power, and it is yet to be seen what reforms and changes in terms of policies they are to bring about," Akbar said. "There is still a lot to be done to create an ideal investment climate," he added.
However, responding to a question regarding the impact of the recent BDR mutiny on the country's foreign investment, the RRC chairman said: "The incident is unlikely to have any direct impact on the flow of foreign investment, but its effect will be felt gradually."
His views came on the eve of the certificate awards ceremony for The Regulatory Reform Core Group Programme. IFC Bangladesh Investment Climate Fund in collaboration with Bangladesh Enterprise Institute (BEI) and Institute of Government Studies organised the programme.
Pointing the areas, which needs to be addressed for creating a congenial environment for foreign investment; Akbar insisted on infrastructure development as well as alleviation of power and energy shortage.
"There are still acute shortages of electricity, gas and in some cases water supply in many parts," he said, "while transport and communication infrastructure as well as seaports must also be developed".
At the same time, he warned that the current global financial turmoil might have a detrimental impact on the flow of foreign investment in the long term.
His opinions however were contradicted by the Adviser to the Prime Minister H T Imam who expressed an optimistic view about the present climate for foreign investment in the country.
"If you have a look at some other parts of South Asia, we relatively offer far more stability and therefore a good enough environment for investment," he told the reporters after attending the event as chief guest.
"This is further testified by the Telenor's recent move to float their shares in the local stock exchanges," Imam said referring to the Norwegian conglomerate which is the parent company of the telecom giant Grameen Phone and it's recent decision to move to the country's capital market.