Chinese Foreign Minister Wang Yi expressed China’s keen interest in investing in Bangladesh’s solar panel industry and strengthening trade and economic relations with the country. He made these remarks during a meeting with Bangladesh’s Chief Adviser, Professor Muhammad Yunus, on the sidelines of the United Nations General Assembly (UNGA) at the UN Headquarters on Wednesday.

Calling Prof. Yunus “an old friend of the Chinese people,” Wang Yi congratulated him on assuming the leadership of Bangladesh’s interim government. He voiced confidence in Prof. Yunus’s ability to meet the expectations of the people and unite the nation.

Wang Yi affirmed China’s commitment to Prof. Yunus’s earlier request for Chinese solar panel manufacturers to establish plants in Bangladesh, a proposal raised when the Chinese ambassador in Dhaka met Prof. Yunus last month. The Chinese Foreign Minister also emphasized fostering greater cooperation between companies from both nations.

He highlighted China’s recent decision to grant zero-tariff access to goods from Least Developed Countries (LDCs), which Bangladesh stands to benefit from. Additionally, Wang Yi noted that the Chinese Red Cross had sent a medical team to treat individuals injured during the mass protests that occurred in Bangladesh between July and August.

In terms of education, Wang Yi expressed China’s readiness to welcome more Bangladeshi students to study in the country, further strengthening people-to-people ties.

Prof. Yunus thanked China for its continued support, praising its “amazing” achievements in poverty reduction. He urged Chinese solar companies to invest more substantially in Bangladesh, taking advantage of the preferential market access that the country enjoys in many developed economies. He also encouraged other Chinese manufacturers to consider relocating their factories to Bangladesh.

The Chief Adviser emphasized the importance of building closer ties with China, describing this moment as an opportunity to “open a new chapter” in bilateral relations. He also called for increased technological collaboration between businesses in both countries, underscoring the potential for future cooperation.

“We will love to collaborate with Chinese companies. We have a lot of scope to work together,” Prof. Yunus said.

Ajay Banga, President of the World Bank (WB) Group, announced today that the global financial institution would extend $3.5 billion to support reform initiatives undertaken by Bangladesh’s interim government. The announcement was made during a meeting between Banga and Bangladesh’s Chief Adviser, Professor Muhammad Yunus, on the sidelines of the United Nations General Assembly (UNGA) at the UN Headquarters on Wednesday.

Banga, a long-time friend of Prof. Yunus, revealed that $2 billion would come as fresh funding, while an additional $1.5 billion would be redirected from existing programmes. The World Bank’s financial assistance aims to support critical reforms in Bangladesh’s digitisation, liquidity, energy, power, and transport sectors.

During the discussions, Prof. Yunus expressed his gratitude and urged the World Bank to take a creative approach in designing its lending programme, emphasizing the significant opportunity to rebuild the nation.

In the meeting, the WB president also explored avenues for energy sector cooperation in South Asia, specifically how hydro energy generated in Nepal and Bhutan could be distributed to neighboring countries like India and Bangladesh.

Energy and Power Adviser Fouzul Kabir Khan was also in attendance at the meeting, which underscored the broader regional energy collaboration efforts.

The Asian Development Bank (ADB) has revised its economic growth forecast for Bangladesh to 5.1% for the current fiscal year, citing political unrest in July and August, as well as recent floods, as key factors. The Asian Development Outlook report, released on September 25, noted that the forecast remains uncertain due to significant risks affecting the macroeconomic outlook.

These risks include ongoing political instability, security concerns, and vulnerabilities in the financial sector. The report also highlighted tight fiscal and monetary policies, which are expected to limit consumption and investment demand.

Back in April, ADB had predicted Bangladesh’s GDP growth would reach 6.6% for the fiscal year 2024-25.