STAR BUSINESS REPORT

A diverse group of political parties yesterday called upon the interim government to bring about sweeping reforms to investment policies and procedures to restore investor confidence and pave the way for sustainable economic growth in Bangladesh.

Raising concerns over issues ranging from infrastructure planning to institutional inefficiencies, they emphasised the urgent need for transparency, accountability, and sustainable strategies.

The 17 political parties made the call while taking part in a discussion with the Bangladesh Investment Development Authority (Bida) on the latter’s premises.

They include the Communist Party of Bangladesh (CPB), the Socialist Party of Bangladesh (Marxist), Bangladesh Jamaat-e-Islami, National Citizen Party (NCP), and Liberal Democratic Party (LDP).

Bangladesh Nationalist Party, one of the country’s major political parties, did not take part in the discussion.

“The country needs to carefully examine its investment policies to make sure that foreign direct investment (FDI) truly benefits the nation,” said MM Akash, an economist and a CPB member.

“Every investment must answer four questions—who will invest, why, where, and how will it benefit the nation,” he said.

Akash advocated against overlooking inequality and competitiveness and emphasised that past mistakes in investment policies must help reshape current decisions.

“Even though the national FDI strategy has merit, we must guard against policy bias that favours certain investors,” he said.

“Foreign capital must not compromise national interest,” he said, raising questions over the rationale behind prioritising foreign operators over capable local firms at the Chattogram port.

“Political continuity is now crucial for the business environment. Investors need certainty more than incentives,” said Akash.

Zonayed Saki, chief coordinator of Ganosamhati Andolon, urged the government to focus on promoting local investment, noting that environmental degradation and systemic harassment continue to deter capital inflows.

“The push for FDI must go hand in hand with laying a foundation for sustainable domestic growth. Energy supply, port infrastructure, and LNG capacity need urgent upgrades,” he said.

He also called for a revamp of the One Stop Service (OSS) of Bida and highlighted the disparity in access to bank credit, where large defaulters often enjoy greater privileges than small borrowers.

Tania Rob, senior vice-president of Jatiya Samajtantrik Dal, suggested giving priority to local investors alongside foreign investors to ensure an inclusive investment environment.

Without ensuring a smooth business environment for local investors, foreign investors will not be encouraged to come to Bangladesh, she said.

Hamidur Rahman Azad, assistant secretary general of Jamaat-e-Islami Bangladesh, said development projects must undergo thorough evaluation before being undertaken, with environmental impact receiving the highest priority.

“Infrastructure such as roads has caused significant environmental harm. Projects like the Payra port, initiated on a river unsuitable for a major port, reflect a lack of proper assessment,” Azad said.

He also criticised high interest rates, which he argued discourage investment, and pointed to pervasive corruption and extortion—often backed by political actors—as a major barrier to business.

While welcoming recent reforms, Azad underscored that much more needs to be done to ensure transparency and accountability.

Nasiruddin Patwari, chief coordinator of the NCP, stressed the need to prioritise the youth and address environmental concerns more proactively.

“The dream of turning Bangladesh into a manufacturing hub will not materialise without a skilled workforce. Technical education must be emphasised to match industrial needs,” he said.

Abul Khayer, assistant secretary general of Islami Andolon Bangladesh, identified the challenges of investment and employment generation.

He alleged that starting a local business can involve navigating up to 18 different agencies, often requiring bribes.

If this is the experience for locals, the situation is even worse for foreign investors, Khayer said.

Ashik Chowdhury, executive chairman of Bida, said all investment agreements were being pursued with national interest and security in mind.

“Chattogram is not just a regional asset—it is the country’s primary port. We are addressing longstanding port delays and upgrading infrastructure in line with national priorities,” he said.

Chowdhury announced that 10 economic zones would be allocated with consistent commitments for the next five to seven years to ensure a stable investment environment.

He emphasised the need to extend benefits to existing investors to maintain confidence.