Economy
Australia Announces Additional Funding to Support Bangladesh’s Economic Reforms
Australia will increase funding for the Australian Trade Agency to enhance economic engagement with Bangladesh and support its economic reforms as it graduates from least developed country status, Australian Foreign Minister Penny Wong announced today.
“We will provide additional funds to help Bangladesh align its labour laws with the requirements and aspirations of that graduation,” Wong stated during a press briefing following her meeting with Bangladeshi Foreign Minister Hasan Mahmud at the State Guest House Padma in Dhaka.
She emphasized Australia’s commitment to the multilateral system and the importance of upholding international rules and norms. Besides deepening economic ties, Australia will also fund technical education training colleges in Bangladesh.
“We share a region, we share an ocean, and we share a future. We are determined to do all that we can to work with you and other partners to ensure a region that is peaceful, stable, and prosperous,” Wong added.
Foreign Minister Hasan highlighted that this marks the first visit by an Australian Foreign Minister in 26 years. “We had a very good discussion. Bangladesh and Australia are having a very good relationship. Australia has contributed a lot,” he said.
He noted that two-way trade has grown to around $4 billion, reflecting Bangladesh’s significant economic growth. “This is quite impressive. The trade volume was much smaller ten years ago.”
Hasan mentioned that the Australian FM assured him of continued duty-free and quota-free market access to Australia.
Wong praised Bangladesh’s leadership on climate action, which aligns with Australia’s commitment to significant emissions reductions and a clean energy economy. She confirmed Australia’s ongoing support for Bangladesh’s transition.
Hasan requested investment in Bangladesh’s 100 economic zones and 40 high-tech villages. “We discussed collaboration in this area, as well as addressing human trafficking and environmental cooperation,” he said.
Wong also addressed the Rohingya crisis, stating, “We need a safe and enduring solution that allows the Rohingya a safe return to their homeland. Tomorrow I will travel to Cox’s Bazar to see firsthand how our assistance is being delivered.”
Australia has invested around 860 million Australian dollars over six years in response to the Rohingya crisis. Wong affirmed continued cooperation with ASEAN and other regional countries to resolve the conflict in Myanmar.
“We are working on practical solutions to climate change, regional maritime security, and people smuggling. These challenges require partnership and collaboration,” Wong said, emphasizing the importance of deeper cooperation between the Australian and Bangladeshi Coast Guards.
When asked about the Quadrilateral Security Dialogue (QSD) or Quad, Wong responded, “We are a member of the Quad and other regional forums. Australia, as a middle power, values partnerships, collaboration, and engagement. We will continue to collaborate with Indian Ocean countries through the Indian Ocean Rim Association (IORA).”
Bangladesh High Commissioner to Australia M Allama Siddiqui and acting Australian High Commissioner to Dhaka Nadia Simpson were also present at the meeting.
The Kazipara and Mirpur-10 metro stations, which have been closed, are expected to reopen by the end of September, though the exact date has not yet been confirmed. Mohammad Abdur Rauf, Managing Director of Dhaka Mass Transit Company Limited (DMTCL), told TBS that a technical team has been tasked with resolving the issues at the stations.
“We are working to reopen the two stations within this month, but I cannot give a specific launch date yet. We will hold a meeting with the technical team and other stakeholders soon to review the progress. A decision is likely on 18 September,” Rauf said.
He noted that Kazipara station is likely to open earlier due to less severe damage, while Mirpur-10 may face delays as it requires machinery that needs to be imported.
Additionally, Rauf mentioned plans to begin metro rail operations on Fridays starting from 20 September, with efforts being made to meet this timeline.
Dr. Muhammad Yunus, the Chief Adviser of the interim government, has announced the formation of six commissions as an initial step toward reforms, including constitutional amendments. These commissions are expected to begin operations on 1 October and complete their work within three months.
In an address to the nation on Wednesday evening (11 September) from the Chief Adviser’s Office, Yunus outlined the government’s reform agenda. This is his second national address since taking office on 8 August.
Yunus explained that the formation of the six commissions is the first step in a broader plan for constitutional reform. He stated that the commissions would be led by six distinguished citizens, selected based on their expertise. These commissions will tackle various reform areas, and more will be established in the future.
Emphasizing the importance of constitutional reforms for free and fair elections, Yunus stated, “We believe that imposing majority rule through elections, resulting in misgovernance or consolidating all power into the hands of one person, family, or group, is unacceptable. To prevent this, we are considering reforms to institutions like the Election Commission and others involved in the election process. Reforming the police administration, civil service, judiciary, and Anti-Corruption Commission is essential for ensuring fair and transparent elections. These reforms will also contribute to establishing a state system based on public ownership, accountability, and welfare.”
Yunus announced the names of the six commission heads:
- Dr. Badiul Alam Majumdar will lead the Election System Reform Commission.
- Sarfaraz Chowdhury will head the Police Administration Reform Commission.
- Justice Shah Abu Naeem Mominur Rahman will lead the Judiciary Reform Commission.
- Dr. Iftekharuzzaman will lead the Anti-Corruption Reform Commission.
- Abdul Muid Chowdhury will head the Public Administration Reform Commission.
- Dr. Shahdeen Malik will lead the Constitutional Reform Commission.
The Chief Adviser mentioned that the other members of these commissions would be determined in consultation with the heads. Additionally, representatives from the advisory council, students, workers, social movements, civil society, and political parties will participate in the commissions’ discussions.
Yunus expressed hope that the commissions would be fully operational by 1 October and complete their work within three months. Based on the commissions’ reports, the government plans to organize consultations with major political parties. A broad consultation, lasting three to seven days, involving students, civil society, political party representatives, and the government will follow. This consultation will finalize the reform framework and outline its implementation strategy.
Yunus concluded by stating that this initiative will unify the nation, fulfilling the demands of the July uprising and strengthening the country with renewed hope and optimism.
The Foreign Investors’ Chamber of Commerce and Industry (FICCI) has urged the Bangladesh government to implement a more investment-friendly tax structure to enhance foreign investor confidence.
During a meeting on Wednesday (11 September) with the newly appointed chairman of the National Board of Revenue (NBR), Abdur Rahman Khan, FICCI leaders highlighted the need for comprehensive tax reforms that would position Bangladesh as a more attractive destination for foreign direct investment (FDI) and strengthen the national economy.
Zaved Akhtar, President of FICCI, stressed the significance of fully digitising NBR operations, particularly by advancing automation systems to maximise revenue collection, as outlined in the chamber’s press release.
The delegation also recommended the establishment of a dedicated research unit within the NBR to broaden the tax base and increase revenue through in-depth market analysis, identifying gaps between market share and revenue generation.
NBR Chairman Abdur Rahman Khan acknowledged the importance of automation in stimulating economic progress and welcomed FICCI’s research findings on the taxation landscape.
FICCI’s delegation included Senior Vice President Eric M. Walker, other board members, and senior officials from member companies, alongside key officials from the NBR.
