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Saturday, May 14, 2016

Militancy, political uncertainty ward off foreign investors: EU diplomat

Pierre Mayaudon,  Ambassador and the Head of Delegation to Bangladesh



Bangladesh, despite having a lot of potential, is struggling to attract massive and new foreign direct investments from the European Union due to growing militancy and political uncertainty, a top EU diplomat said yesterday [May 12].

The EU members are convinced that Bangladesh is a land of opportunities for foreign companies as the country has been maintaining gross domestic product growth of at least 6 percent over the years, said Pierre Mayaudon, ambassador of the EU in Bangladesh.

Bangladesh has also performed well in the Millennium Development Goals.

“It is not by chance that Goldman Sachs has listed Bangladesh among the so-called “Next Eleven” most promising economies of the 21st century.”

Mayaudon’s comments came at the first EU-Bangladesh Business Council meeting.

Bangladesh has many assets for attracting foreign investment and yet money is not flowing into the country in a big way, he said at the meeting where diplomats and leaders of the joint chambers between Bangladesh and the EU were present.

The figures do not always reflect this reality due to some reinvestments by foreign companies already based in Bangladesh. “But genuine new FDI falls short of expectations -- why such a paradox?”

“Of course the uncertainties of the political context are often put forward to explain this stagnation, together with the growing militancy that now translates into multiple savage and still unexplained and unpunished assassinations, including that of foreigners.”

Shortage of energy and limited infrastructure are also frequently mentioned to explain why foreign investors think twice before coming to Bangladesh, he said.  Besides, Europe's private investors have been facing numerous legal, technical or just practical obstacles in expansion of business in Bangladesh, he said.

About 60 percent of Bangladesh's garment exports are destined for the EU, and total exports to the region would have crossed the $20-billion mark last year had the euro not been devalued.
Bangladesh, as a least-developed country, has been enjoying a zero-duty benefit to the EU since 1971 under the EU's “everything but arms” scheme.

[Excerpted from Star Business Report]

Friday, May 13, 2016

Testimony of US Asst. Sect. Nisha D. Biswal




Testimony of Nisha Desai Biswal,
Assistant Secretary, Bureau of South and Central Asian Affairs,
U.S. House Committee on Foreign Affairs, Subcommittee on Asia and the Pacific,
Washington, DC, May 11, 2016



Bangladesh


Bangladesh’s rivers and its strategic location in the Bay of Bengal also make it a critical linkage in our regional connectivity efforts. And Bangladesh’s development gains over the past several decades demonstrate what we can achieve through a determined partnership: it went from a food importer to a food exporter, its economy has grown at nearly 6 percent annually for more than 20 years, it cut its poverty rate in half over the last 15 years, and it reduced its under-five mortality by nearly 75 percent between 1990 and 2015. As Assistant Administrator Stivers will tell you, USAID has had an outsized role in these achievements, and our $207.9 million budget request for FY 2017 will build on past progress to ensure Bangladesh’s future success. We are investing in Bangladesh’s success because it is a key strategic partner both in South Asia and on global challenges like climate change and peacekeeping. Bangladesh has more than 160 million people – 65 percent of who are under the age of 26 – and hosts the world’s fourth-largest population of Muslims, making it an important partner in promoting tolerance, diversity, and the empowerment of women. It is the number two contributor of UN peacekeepers, and its farmers help ensure global food security. And thanks to innovations by Bangladeshi institutions like Grameen Bank and BRAC – such as microfinance and new oral-rehydration therapies – tens of millions of the world’s poor, especially women and children, have had their lives transformed for the better.

But many challenges remain in this dynamic country. One-third of Bangladeshis still live in poverty. The country’s combination of high population density and low elevation make it highly susceptible to rising sea levels and extreme weather events. We also continue to work with Bangladesh to improve worker safety and labor rights, especially in its garment industry, which accounts for 80 percent of the country’s exports and employs well over four million workers, the majority of whom are women. While some progress has been made on worker safety – thanks in no small part to the herculean efforts of international brands, labor organizations, and diplomats – much remains to be done. The government still needs to demonstrate its commitment to protecting workers’ right to organize and to bringing its Export Processing Zones in line with international labor standards.

However, many of the gains that Bangladesh has made in human development and economic growth risk being undermined by the escalating extremist violence. Jon and I just returned from Dhaka, in the aftermath of the terrorist attack on Xulhaz Mannan, a long-time employee and beloved colleague of the U.S. Embassy. Xulhaz was also a respected and admired advocate for human rights. During our visit, we underscored Secretary Kerry’s message to the government and people of Bangladesh that the United States will work with them in the fight against violent extremism, and that during a time of such challenge, it is more important than ever to respect the rule of law, political rights, and the ability for Bangladeshis to speak their mind.

And while preserving free speech, holding free and fair elections, and creating space for a vibrant civil society to operate are all important elements to succeeding in this struggle, they alone are not enough. It will also require vigilance to prevent attacks, intelligence to detect threats, well-trained police to investigate attacks, and a strong and transparent judicial system to ensure that justice is served.

In addition to expanding programs that seek to counter violent extremism, we are also working in new ways to help the government of Bangladesh understand and deal with the new contours of this threat. In all of these efforts, we work closely with trusted partners in Bangladesh, including the United Kingdom, Canada, and Australia. And we use public diplomacy programs and our social media presence to help in the fight – with nearly 2.8 million followers, Embassy Dhaka has the largest Facebook fan base of any U.S. mission in the world, and uses it to reach a large youth audience and present attractive alternatives to violent extremist ideologies. Bangladesh has a history of overcoming difficult challenges, and we are hopeful that, with a determined partnership, we can also help Bangladesh defeat the extremists and terrorists that threaten this vibrant society.

[Note: Only Bangladesh section used here.]