Framing investment-friendly regulations

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Bangladesh provides exceptionally liberal or favourable terms and conditions to the investors, especially foreign ones. But these incentives are not matched by ground level realities reflecting handicaps in the form of various regulations. Potential foreign investors say that this country should carry out fast reforms to minimise regulations or shorten the time-span involved in observing them. Once this is done, the other positive features in the investment policies of the country would look more attractive to the overseas investors.
Foreign investors often base their investment decisions not on their direct and first hand experiences in a country. They are mainly influenced by looking at policies and the regulatory framework. In international rankings in these areas, Bangladesh scores well in respect of policies pertaining to foreign investment, but comes out not so impressive in the sphere of regulations.
Only from reforming these regulations, there can be an opportunity for the country to make a big jump in its international rankings for best practices in businesses. It can very soon rise from its current rather low position in these rankings to a notably higher one by carrying out regulatory reforms. This achievement would be a very positive one, since in all cases increases in foreign investments in a country are seen vitally connected to improvements in its perception as a favourable location for investments. And the perception is mainly formed on the basis of such rankings.
Enayet Karim
Gulshan, Dhaka