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Concern raised over delay in dollar payment to American cos

US reverses course to 'rebuild trust' in BD ties

Lu was also quoted having said State Department, White House favour lifting sanctions against RAB


FE REPORT | Thursday, 16 May 2024



Donald Lou leaves a clear signal that the United States is now agog to work together with Bangladesh government, particularly on business front, forgetting the acrimony that roiled relations before the polls here.
The Visiting US assistant secretary of State wrapped up his busy Bangladesh trip Wednesday after flurries of talks on a slew of crucial issues that include sanctions, labour rights and problem in dollar payment to American companies doing business here.
In the run-up to the election, the US was very vocal for ensuring free, fair and violence-free polls in Bangladesh, as the two main players in politics were at loggerheads over conduct of the vote.
The senior US diplomat, regarded as the key strategist in framing US policy on South Asian affairs, has also conveyed the readiness of the US administration for lifting the sections imposed by them against the elite-force RAB, officials said after Lu's busy mission in Dhaka.
"We want to look forward, not want to look back--we want to strengthen our relationship so I spoke about working on the hard issues. We have lots of hard issues -- RAB sanctions, labour reforms, we have human rights, business-climate reforms," Mr Lu said after his meeting with Foreign Minister Dr Hasan Mahmud at the foreign ministry.
"We are talking about new investments, enrolling more Bangladeshi students in US universities and how to work on clean energy," he said about how they want to make a fresh start.
Mr Lu mentioned that the US is eager to support Bangladesh in fighting corruption to ensure accountability of the officials and transparency of the government.
Washington also desires to help the government of Bangladesh to widen tax net-a major matter in focus here in the wake of budget shortfalls.
Earlier in the day, Lu had separate meetings with Environment, Forest and Climate Change Minister Saber Hossain Chowdhury and Foreign Secretary Masud Bin Momen.
Meanwhile, over the dinner on Tuesday night, the American assistant foreign minister had said both the US State Department and the White House are in favour of lifting the sanctions imposed against the RAB.
Salman F Rahman, Prime Minister's Investment Affairs adviser, briefed journalists on what had transpired between the two sides at the dinner meet at his residence.
Talking to the media after the 'informal discussion', Mr Salman said that the US wants to 'rebuild trust' in dealing with the Bangladesh government that came out of the January polls.
He also mentioned that Lu raised the issue of forex crisis as the US companies in Bangladesh are facing problems in repatriating their earnings.
Several crucial issues came up during the three-hour-long 'informal discussion'' across the dining table.
Law Minister Anisul Huq, State Minister for Commerce Ahsanul Islam Titu, State Minister for Information Mohammad Ali Arafat, foreign secretary Masud Bin Momen and former state minister for foreign affairs M Shahriar Alam also attended the dinner.
"They said that they want to rebuild the trust and we reciprocated by saying that we want the same," Mr Salman said.
Asked whether there was trust deficit between the two countries, he said, "You all know that before the election, there was a sense of uneasiness and misunderstanding between the two sides but none of us raised the issue here".
And after President Biden wrote a letter to the Prime Minister expressing US willingness to work together the uneasiness was removed, he pointed out.
Responding to a question he said the issue of sanctions against RAB was discussed and Mr Lu told them that the State Department supported Bangladesh's plea for withdrawal of the restrictions.
"He told us that the matter is not at the hand of the State Department as it is under the jurisdiction of the Justice Department, which is independent of the US administration.
"He said that the State Department and the White House support our move for withdrawal of the sanctions, and they had already told the Justice Department that RAB has made progress and the sanctions should be lifted. He hoped that it will be done but there is a process, which need to be maintained," said Mr Salman.
But the adviser mentioned that none of them raised the issue of visa restrictions given during the sanctions.
"Visa restriction is gone, now they should impose visa restriction on BNP," he quipped about a reversal of fortune.
Mr Lu also asked him when the US companies in Bangladesh would get rid of the problem of dollar repatriation.
"He said that he understands that Bangladesh is facing problem over the forex reserves, but he wanted when the problem can be resolved. I told them that the situation will be improved as we are expecting rise in exports and remittances following the devaluation of Taka."
The host side said there might be delay but Bangladesh continued paying the US companies regularly. "We have never told them that payment cannot be made."
Mr Lu also noted that if Bangladesh could meet the conditions of the ILO over labour rights, then it would be eligible for the DFC fund. He said both the US and the ILO "are on the same page on labour rights issue".
To a question, Mr Salman said awarding offshore energy blocks was not discussed but Mr Lu was keen on promoting the regional power network among Nepal, Bhutan, India and Bangladesh.
They have investment in power projects in Nepal and that is why they are promoting it, he explained.
He said they raised the concern of Bangladesh over the Gaza issue, and Mr Lu hoped that the crisis would be resolved soon.
Mr Lu noted that both the US and Bangladesh want ceasefire in the area.
Bangladesh requested the United States to put pressure on Myanmar for Rohingya repatriation, said Mr Salamn, adding that the US agreed to do so while also pointing out that since the situation in Myanmar is not safe, repatriation will take time.

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