Economy
China-Bangladesh FTA to Cut Import Costs, Reduce Inflation
Chinese Ambassador to Bangladesh, Yao Wen, recently emphasized that the proposed free trade agreement (FTA) between Dhaka and Beijing could significantly help reduce inflation in Bangladesh by lowering the prices of goods imported from China.
“Once the FTA is signed, the overall tariff on Chinese goods entering Bangladesh will drop considerably, leading to a reduction in import prices. This will immediately help alleviate inflation in Bangladesh,” the ambassador remarked during a seminar titled “China-Bangladesh Free Trade Agreement: A Mutually Beneficial and Win-Win Choice.” The event was organized by the Chinese embassy in collaboration with the Bangladesh China Chamber of Commerce and Industry (BCCCI) and the Chinese Enterprises Association in Bangladesh (CEAB) on Sunday evening.
Ambassador Yao Wen also stated that Beijing is eager to finalize the feasibility study of the China-Bangladesh FTA soon. He added that China aims to officially start negotiations within this year, with the goal of concluding them before 2026 and establishing a bilateral free trade zone.
“The early signing of the China-Bangladesh FTA will undoubtedly usher in a new era of mutual benefit and cooperation, marking a golden period of economic and trade collaboration between our two nations,” he said.
The ambassador further highlighted that the FTA would enhance the convenience and efficiency of Chinese investments in Bangladesh. This, in turn, would contribute to job creation, industrial upgrades, and export diversification in Bangladesh.
“With the China-Bangladesh FTA poised to provide a top-level framework for bilateral cooperation, our economic and trade relations are set to experience more sustainable, stable, and healthy development,” he added.
He also noted that signing FTAs with other countries is a critical step for Bangladesh to achieve its Vision-2041. The ambassador mentioned that earlier this year, Bangladesh successfully held its general election, and the new government’s top priority is to achieve stable economic development and graduate from the Least Developed Countries (LDC) category.
“Signing FTAs with other countries is therefore regarded as a crucial way to achieve these goals,” he emphasized.
State Minister for Commerce, Ahasanul Islam Titu, attended the seminar as the chief guest, highlighting various aspects of the bilateral relationship between Bangladesh and China. Other notable speakers included Dr. Mohammad Abdur Razzaque, Chairman of RAPID; Al Mamun Mridha, Secretary General of BCCCI; and Ke Changliang, President of CEAB.
Expatriate Bangladeshis sent approximately US$ 2.11 billion in remittances during the first 28 days of September in the fiscal year 2024-25, according to data released by Bangladesh Bank on 29 September.
Of this total, state-owned and specialised banks handled $679.10 million, while private banks received $1.43 billion in remittances.
Chief Adviser to Bangladesh’s interim government, Professor Muhammad Yunus, has vowed to expedite reforms and hold elections swiftly. Yunus, who recently assumed the role after the collapse of Prime Minister Sheikh Hasina’s 15-year administration, expressed his commitment during an interview with Tokyo-based news outlet NHK WORLD in New York on Sunday. He was attending the United Nations General Assembly at the time.
Following mass student-led protests that ended Hasina’s long-standing rule in August, Yunus stepped in as the leader of the caretaker government. Known for founding Grameen Bank, an institution providing microloans to the underprivileged, Yunus, along with the bank, earned the Nobel Peace Prize in 2006 for his efforts in poverty alleviation.
During the interview, Yunus emphasized that the interim government’s primary mission is to implement reforms promptly and ensure elections are held as soon as the groundwork is complete. He underscored the importance of success, stating, “Failure is not something that we can accept.”
Addressing the pivotal role of students in the ousting of the Hasina administration, Yunus acknowledged the sacrifices made by young people, referring to their involvement as part of a “revolution.” He highlighted his intention to engage the younger generation in shaping policy.
Furthermore, Yunus called for continued support from Japan, Bangladesh’s largest donor, during this crucial transition period. He stressed that Japan’s assistance is vital to stabilizing Bangladesh’s economy and fostering a democratic foundation in the nation.
Syeda Rizwana Hasan, the Adviser for Environment, Forests, and Climate Change, announced today that steps will be taken to restrict the use of polythene shopping bags to safeguard future generations.
Starting from October 1, polythene bags will be banned in shopping malls, followed by a ban in kitchen markets from November 1.
“Everyone must take responsibility and stop using polythene voluntarily. Action against polythene producers will begin from November 1,” Rizwana Hasan stated during a seminar.
The Department of Environment (DoE) organized the seminar to raise public awareness about alternatives to banned polythene bags.
Rizwana Hasan highlighted that the restriction on polythene will be executed in phases according to legal provisions, and discussions with shopping centers and store owners are ongoing to ensure a smooth transition.
She also announced plans to make the government secretariat a plastic-free zone by December.
Other speakers at the seminar included Environment Secretary Dr. Farhina Ahmed, DoE Director General Dr. Abdul Hamid, Director Rajinara Begum, President of the Shop Owners Association Muhammad Helal Uddin, and Md. Arifur Rahman Bhuiyan, Assistant Professor of Environmental Science at BUP. They discussed the harmful effects of polythene and the need for alternative products.
Earlier, Rizwana Hasan inaugurated a fair showcasing eco-friendly alternatives to polythene bags and visited 24 stalls. The fair featured products from government and private entrepreneurs, including reusable bags, jute bags, paper bags, and items made from bamboo and cane.
