The image of a country in the global arena is really important for its prosperity, growth and sustainability, which is strongly associated with its relationship, trade and other engagements with the rest of the world. A middle income, progressive, non-communal and peaceful image of Bangladesh is very much endurable, when we project Bangladesh before the world now-a-days. With a US$ 110 billion economy, 160 million people -- 90 million of which are under the age of 25 -- and a FY2013-14 growth projected at 7.0 per cent Bangladesh possesses key attributes of an emerging market poised for an extended period of high growth. With cheap labour costs and improving regional trade relations, Bangladesh has the potential to become the next regional manufacturing hub.
The positioning of a country is usually based on a mix of objective measures and stakeholder perceptions. The fundamental prerequisite for changing perceptions about Bangladesh is to change the disadvantageous realities prevailing in the country to a favourable one. Bangladesh's middle class is larger than the total population of Malaysia, Singapore and Thailand, and a growing middle class means a large section of the population is becoming more inclined to embrace more sophisticated business solutions. The country has consistently developed a skilled workforce catering to investors' needs. It also has a robust entrepreneurial ethos. Bangladesh very recently became the 12th country in the world to join the 100-million club of cell phone subscribers. Only China, India, USA, Brazil, Russia, Indonesia, Pakistan, Japan, Germany, Philippines and Nigeria are ahead of Bangladesh as far as numbers of mobile subscriber are concerned.
A resilient and attractive investment destination, even in the thick of a severe global economic downturn, Bangladesh is a democratic country enjoying broad bi-partisan political support for private investment. The country is attractive because it has a very big consumer market which is flourishing with the increase of its per capita income. Bangladesh is largely a homogeneous society with people living in harmony irrespective of race and religion, and a country with annual growth rate of approximately 6.0 per cent for nearly two decades. It offers a strong local market, more global market access and proven export competitiveness. This positive view is echoed by some of the leading international investment banks. Goldman Sachs names Bangladesh in its list of 'Next 11' countries (those most likely to become the world's largest economies after the BRIC nations) and it is one of JP Morgan's 'Frontier Five' economies. Citigroup has identified Bangladesh as one of 11 countries in terms Global Growth Generators (or 3G countries).
Bangladesh is projected to meet the UN's Millennium Development Goal (MDG) of eradicating extreme hunger and poverty by 2015, according to a survey of the ADB. Between 1990 and 2010, it has made extraordinary improvements in every indicator of human welfare, The Economist reported earlier. Bangladesh has attracted USD 913 million in foreign direct investment (FDI) in 2010, a jump by 30 per cent, upgrading the country's position to 114 from 119 out of 141 nations, according to the World Investment Report (WIR).
In the Sixth Five-Year Plan, the government here has set a target to create 6.0 million jobs. For this, 120 thousand small and medium industries will have to be set up in the country with investment from home and abroad. To turn Bangladesh into a middle income and peaceful country in the global community, it also has taken initiative to attract foreign investment by improving relations with friendly countries giving priority to economic investment issues. Despite world economic meltdown, Bangladesh has achieved 6.5 per cent GDP growth, increasing per capita income to about USD 848 - and the private sector has a major share for the success. The private sector is playing a core role in accelerating industrialisation, business and commerce,.
At this moment Bangladesh is one of the most attractive destinations of investment in the world. Effective steps have been taken to ensure transparency, accountability and good governance. The mass media have been enjoying total foredoom. The judiciary is independent. Also independent National Human Rights Commission, Election Commission, Information Commission and Anti-Corruption Commission have been established. Bangladesh is now the 5th emerging economy in the world. The World Bank ranked Bangladesh at the 20th position in terms of protecting investors' interest. India, China and Vietnam are behind Bangladesh. In 2011, Bangladesh received US$ 10.13 billion foreign investment and now Bangladesh is going to establish six Special Economic Zones to attract more foreign investment.
Newer opportunities are being created for Bangladesh in many countries, including China. The foreign entrepreneurs are becoming more interested to invest in Bangladesh owing to our favourable environment. Bangladesh can be a hub of economic activity of the South Asian region. The country's economic activity will get momentum if a multi-lateral connectivity is established with the neighbours. The government has introduced visionary reform programmes, proper budget management and implementation of incentive package helped maintain our macroeconomic stability. The government has already prepared PPP (public-private partnership) policy and strategy. An effective participation of domestic and foreign investors is essential for proper implementation of PPP.
A more vigorous PPP initiative is required to spur the private sector-led economic growth of the country. We also need more commitments to enable the business environment of our country. Stable democratic system, infrastructure re-engineering and expansion, strong financial and insurance system, simplified and streamlined business entry procedure, public sector reform and improved international image are required to enhance the investment climate of the country.
Moreover, to ensure improvement of our investment climate, we need to promote and attract more value-added industrialisation and make FDI (foreign direct investment) work for the local economy i.e. job creation, value chain and out-sourcing. Also we need to target and attract FDI into key priority sectors like, power and infrastructure, agriculture and agro processing. Promotion of export-oriented activities is another key issue that can also ensure improvement of the investment climate of Bangladesh.
