Funding several fresh projects, especially for southern belt's uplift, comprehensive development cooperation and financing in the Chinese currency may feature bilateral talks during Prime Minister Sheikh Hasina's upcoming China tour.
The high-profile visit, likely in July, is being seen crucial amid economic volatility both at home and abroad and resultant search of alternatives on financial and economic front.
"The forthcoming Hasina-Xi meeting will serve as a crucial platform for announcing transformative initiatives and embarking on new significant projects," says a highly placed official of the finance ministry.
Before the top-level tour, Bangladesh Finance Minister Abul Hassan Mahmood Ali may go to Beijing next month to hold discussions with his Chinese counterpart exploring new opportunities for economic cooperation.
According to competent sources, Mr. Mahmood recently sent a letter requesting his Chinese counterpart to arrange a meeting of the joint economic commission (JEC) which a Bangladesh delegation under his leadership will attend to ensure utmost effectiveness of the head-of-government tour.
Expressing his gratitude to the Chinese government for inviting the PM to visit Beijing, the finance minister said, "Given our firm confidence in the commitment and trustworthiness of China as a key partner, we anticipate enhanced engagement of China with our new Government across various sectors, including economic, trade and business, social and cultural exchanges, as well as support for human-resource development for mutual benefit."
Bangladesh also "emphasises fervent interest in both consolidating and expanding our development cooperation with China, with the aim of elevating our relationship to an unprecedented strategic level".
The finance minister holds the hope that such a summit meeting will provide valuable opportunities to explore and identify novel areas and avenues for cooperation, culminating in the formal signing of historic agreements between the two "great leaders, thereby further strengthening the bilateral relationship between these two friendly countries".
Also proposed the initiation of comprehensive dialogue between the Economic Relations Division (ERD) of the Ministry of Finance of Bangladesh, the Ministry of Commerce of China, China International Development Cooperation Agency (CIDCA) and China Exim Bank at an operational level prior to the JEC meet.
"Such dialogue will not only facilitate in-depth discussions to explore new areas for cooperation, suitable initiatives, and projects but will also foster greater understanding and collaboration on critical matters, including the extension of loan-repayment period, reduction in fund costs, thereby ensuring the effective implementation of our development initiatives," the tone-setting letter reads.
Additionally, the minister says, the dialogue will encompass the potential utilisation of the Renminbi (RMB) as a financing currency for the upcoming projects under Preferential Buyer's Credit (PBC) loans.
It is learnt that projects related to developing infrastructure in the southern part of Bangladesh will get priority.
Projects related to construction of several big bridges, upgrading highways and ports in the southern regions are going to hit the proposed list for China funding, officials involved with setting the stage said.
Drafts of MoUs are also under discussion for signing during the tour.
One proposed memorandum of understanding or MoU is related to the promotion of exchange and cooperation in the field of economic- development policy and the other propounds common aspiration of the two countries to promote green and low-carbon development.
The MoU on economic-development policy has focus on 'policy exchange and experience sharing in macro-economy, industrial development, planning and sustainable development and so in conjunction with their respective functions, "so as to serve practical cooperation between the parties'.
"Based on the principles of equality and mutual benefit, the Parties will carry out green and low-carbon development cooperation according to different national circumstances, with the goal of promoting green and low-carbon economic and social development and promote sustainable development," the draft states.
The other MoU, on green development, says, "The Parties reaffirm that the Paris Agreement will be implemented to reflect equality and the principle of common but differentiated responsibilities and respective capabilities."
The parties here promise to take ambitious climate actions based on their respective national circumstances. The parties are willing to carry out policies dialogue and enhance cooperation.
In the to-be deals the two sides encourage enterprises, social organizations and research institutions of both countries to communicate and cooperate in areas of green industries, green and low-carbon technologies.
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