The American Chamber of Commerce in Bangladesh (AmCham) offers a set of suggestions like re-evaluation of and reduction in customs duty/tax structure without delay for the sustenance of business entities.
It also recommended collection and dissemination of timely and accurate data, revising inflation calculation methodology and publishing data on a specific date monthly, and establishing FX rate management policy as per market dynamics applicable to all banks.
AmCham president Syed Ershad Ahmed has written these recommendations to the finance and commerce adviser recently.
Other suggestions include timely approval of shareholder profits, dividend repatriation and home office expenses, continuity of 2.5-per cent incentive for wage earners' remittance, incentivising digital payment to foster economy and expand tax net, and establishing a uniform criterion for special/FX liquidity support from FX reserve.
All banks must be capable of issuing foreign LC in dollars regularly, allowing outward remittance (tuition fee, expat salary and SME fund transfer), revising the Payment Settlement Act and maintaining best international practices.
Mr Ahmed has requested the authorities concerned to take necessary actions immediately to address corruption, rebuild institutions and lay the groundwork for supporting long-term reforms.
The chief of the trade body has made assurances of providing all possible cooperation and support in the days ahead.
In the suggestions, Mr Ahmed has highlighted issues like export/import trade, foreign exchange, inflation, tax, FDI/FPI, NPA, data integrity and logistics.
"Against the backdrop of unprecedented events, our core objectives may revolve around three pillars including resetting the terms of our economic relationship with major export destinations, investing in youth leadership and building collective economic resilience in concert with allies."
The trade body has called for operating Chittagong port 24/7 hours until import delivery in order to free up backlog.
It also sought cargo clearance at Dhaka airport import terminal and resuming movement of import containers to and from Kamalapur ICD, and waiver of port and shipping demurrage for cargoes arriving on or after 14 July 2024.
"Customs duty/tax structure must be re-evaluated and reduced for the business entities to sustain. Due to currency devaluation, bank interest rates need to be reduced," believes the trade body.
The AmCham has emphasised bringing uniformity to avoid imposition of wrong harmonised system (HS) codes at customs houses.
It suggested lifting restrictions on foreign IP to access the central bank's website to update/input exim-related information into respective reporting portals, improve operational efficacies of existing double-taxation treaties and removing the requirement of annual NOC and making policies more conducive to FDI/FPI inflows.
Commerce ministry sources said, "The interim government has already taken required steps to address some issues mentioned in the suggestions." Besides, it has been working to take multiples steps to help boost the country's all trade/business, including import and export.
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