Economy
Dutch Ambassador Lauds Bangladesh’s Socio-economic Progress
Foreign Minister Dr AK Abdul Momen asserted that countries like Bangladesh, upon graduation, deserve continued Everything But Arms (EBA) facilities to address challenges and facilitate their transition. This statement came during a farewell meeting with Anne Gerard van Leeuwen, the Ambassador of the Kingdom of the Netherlands to Bangladesh.
Dr Momen sought enhanced cooperation with Dutch expertise to achieve the goals of Delta Plan 2100, focusing on water and maritime resource management, land reclamation, coastal management, advanced agricultural technologies, high-variety seed production, and climate change adaptation. He expressed gratitude to the Dutch government for supporting the establishment of the ‘Global Centre on Adaptation’ in Bangladesh. The minister also highlighted Bangladesh’s progress in disaster preparedness, including cyclone shelters, advanced warning systems, and volunteer efforts.
Furthermore, Dr Momen emphasized the need for climate funding for countries like Bangladesh, which contribute the least to pollution. He suggested that merely 10% of the global defense budget could generate adequate funds for this purpose. He encouraged the Dutch to leverage Special Economic Zones, Hi-tech parks, and the vast pool of IT professionals in Bangladesh, particularly for investments in the IT and agro-processing sectors.
The minister expressed appreciation for the Dutch government’s political and financial support for the Rohingya refugees in Bangladesh. He urged the continuation of such support while expressing concern over the declining trend of financial assistance for the forcibly displaced Rohingyas.
Ambassador Leeuwen praised Bangladesh as a captivating place to work and thanked the government for his comfortable and fruitful tour of duty. He fondly recalled his visits to the Sundarbans, Sylhet, Moulvibazar, and North-Eastern districts of the country, where he admired the natural beauty, birds, and rivers.
The envoy commended Bangladesh’s remarkable socio-economic development despite the challenges posed by the COVID pandemic and the Russia-Ukraine war. He praised the ongoing economic activities and the dynamism of its people. The Ambassador also expressed gratitude to Bangladesh for hosting 1.1 million forcibly displaced Rohingyas and expressed hope for a peaceful resolution of the crisis.
Foreign Minister Dr Momen extended congratulations to Ambassador Leeuwen for successfully completing his tenure in Bangladesh and thanked him for his significant contributions in strengthening bilateral relations.
During the eleventh month of the current fiscal year, the country’s foreign currency reserves have fallen below $19 billion for the first time. After paying off some import bills, the reserves have now stood at $18.26 billion on Sunday.
According to the International Monetary Fund (IMF), as of May 8, the total foreign currency reserves of the country were $19.82 billion.
Mohammad Mezbauul Haque, the spokesperson of Bangladesh Bank, informed that through the Asian Clearing Union (ACU), the central bank has paid off import bills totaling $1.63 billion over the past two months.
However, Bangladesh Bank maintains that after paying off the import bills, the foreign currency reserves now stand at $23.71 billion.
According to the Central Bank’s accounts, the reserves were $25.27 billion on May 8.
The Dhaka Stock Exchange (DSE) and the DSE Brokers Association (DBA) have expressed gratitude towards Prime Minister Sheikh Hasina for her directive to list government companies in the capital market, a move hailed as timely and positive.
The directive was issued during the recent meeting of the Executive Committee of the National Economic Council (Ecnec) last Thursday.
Dr. Hafiz Muhammad Hasan Babu, Chairman of DSE, described the directive as a significant step towards enhancing the dynamics of the capital market. He emphasized that besides invigorating the capital market, this move would also attract foreign investment and promote sustainable development.
Despite previous efforts, government institutions had not been listed in the stock exchange, according to a notification issued by the DSE. The Prime Minister’s directive is seen as a pivotal step towards revitalizing and expanding the economy.
Dr. Babu further remarked, “The listing of reputable companies in the capital market, as directed by the Prime Minister, will greatly benefit the country’s economy. It will also enhance investor confidence.”
Similarly, the DBA released a notification applauding the Prime Minister’s directive, terming it as positive and timely for the capital market.
Saiful Islam, President of DBA, expressed optimism about the directive’s potential to accelerate the country’s capital market and overall economy. He pledged support to relevant government departments and regulatory bodies in implementing the directive, ensuring its positive impact on the economy, including the capital market.
India has expressed interest in financing Bangladesh’s Teesta project, announced Foreign Minister Hasan Mahmud. Speaking to reporters after a meeting with Indian Foreign Secretary Vinay Mohan Kwatra, Mahmud stressed the importance of aligning the project with Bangladesh’s needs. He confirmed discussions on the Teesta issue during the meeting. Mahmud also affirmed Prime Minister Sheikh Hasina’s upcoming visit to New Delhi, indicating that the finalization of the date would depend on the formation of the new Indian government following ongoing elections.
Meanwhile, the IMF has approved a $1.15 billion staff-level loan for Bangladesh in its third tranche. Mahmud noted the ongoing elections in India and the subsequent formation of the new government as factors influencing the scheduling of PM Hasina’s visit.
When asked about the sequence of visits to India and China, Mahmud suggested Delhi’s geographical proximity to Bangladesh. Diplomatic sources suggest PM Hasina’s visit to India is planned for early July, following India’s elections.
Pre-election surveys indicate strong prospects for Indian Prime Minister Narendra Modi’s re-election. Modi previously congratulated PM Hasina on her electoral victory in January, expressing optimism about strengthening ties between the two nations.
The last bilateral engagement between the prime ministers occurred during the G-20 Leaders Summit in September 2023. Modi is expected to invite South Asian and BIMSTEC leaders to his swearing-in ceremony, fostering regional cooperation.
Addressing border killings, Mahmud emphasized the government’s commitment to ending such incidents and promoting the use of non-lethal weapons by border forces. Discussions also covered enhancing physical and people-to-people connectivity, including cooperation with India to import hydropower from Nepal and Bhutan through India. Mahmud highlighted the need to further ease visa restrictions to strengthen people-to-people relations.
