FROM PAGE B1

During Sheikh Hasina’s visit to China, Beza signed a memorandum of understanding (MoU) with China’s Ministry of Commerce. The Bangladesh government later allocated Tk 420 crore for the first phase, partly funded by Chinese loans.

As per the deal, China Harbour Engineering Company Limited was appointed as the developer, but progress stalled due to unresolved lease and development agreements, prompting Beza to terminate the partnership in April 2022.

In July 2022, China Road and Bridge Corporation was picked as the new developer, and Beza signed a cooperation agreement to restart the project.

Located about 270 kilometres south of Dhaka, the zone could attract $1.5 billion in investment and create more than 200,000 jobs, according to Beza. A “special purpose company” will be formed to manage and oversee operations in the economic zone.

To improve connectivity, the Roads and Highways Department is preparing to float a tender for a connecting road linking the zone with the Korean Export Processing Zone via the Karnaphuli tunnel.

A detailed project proposal has been submitted to the Chief Adviser’s Office for preliminary review and is expected to be placed before the Executive Committee of the National Economic Council (Ecnec) later this month.

Bida Executive Chairman Ashik Chowdhury said some Chinese investors are planning to start with a factory in Phase 1 of the economic zone.

“We’re working on finalising the developer agreement. Once signed, construction will commence,” he said, adding that the process may take up to two years.

He added that some investors could begin industrial construction early in the development phase. Regular dialogue with investors will continue to ensure smooth progress.

Meanwhile, another China-backed project, Chandpur Economic Zone-1, is also making headway under a government-to-government framework.