Bangladesh Achieves $2.1 Billion Commitment from China During Landmark Visit

Bangladesh has secured USD 2.1 billion in investments, loans, and grants from China during Chief Adviser Muhammad Yunus’s visit. This includes significant pledges from nearly 30 Chinese companies and funding for various development projects. The visit is deemed a milestone in Bangladesh-China relations, paving the way for enhanced investment opportunities in manufacturing.

Bangladesh has successfully secured a total of USD 2.1 billion through a combination of investments, loans, and grants from China. This commitment was established during Chief Adviser Muhammad Yunus’s significant visit to China, marking a pivotal moment for Bangladesh-Chinese relations.

In particular, nearly 30 Chinese companies have committed to investing one billion dollars in the exclusive Chinese Industrial Economic Zone, following a call from Chief Adviser Yunus for private sectors to engage in the Bangladeshi manufacturing landscape.

Additionally, China plans to provide financial support in various projects, including USD 400 million for the Mongla port modernization project, USD 350 million for the development of the China Industrial Economic Zone, and USD 150 million for technical assistance. The remaining funds will be distributed as grants and other lending methods.

The Chinese envoy to Dhaka, Yao Wen, described this visit as a “milestone,” highlighting its significance in addressing bilateral relationships. Ashik Chowdhury, Executive Chairman of the Bangladesh Investment Development Authority, suggested that the visit might catalyze a notable increase in Chinese investments.

During their discussions, Professor Yunus urged President Xi Jinping for his endorsement, known as the “green signal,” directed towards private Chinese companies for investment in Bangladesh. Chowdhury conveyed President Xi’s commitment to incentivizing Chinese firms to move their manufacturing operations to Bangladesh, aiming for diversification of production locations.

In multiple interactive sessions in Beijing, Professor Yunus and Chowdhury engaged over 100 representatives from major Chinese corporations, advocating for investments in advanced textiles, pharmaceuticals, light engineering, and renewable energy sectors. Chowdhury expressed optimism about current sentiments, stating, “So far, the response is very positive.”

In conclusion, Bangladesh’s strategic engagement with China has yielded a substantial financial commitment of USD 2.1 billion in various forms of support. This visit not only highlights the strengthening ties between both nations but also serves as a crucial platform for promoting Bangladesh as a prime destination for Chinese manufacturing investments. The anticipated influx of investments across diverse sectors underscores the importance of continued diplomatic and economic collaboration between Bangladesh and China.

Original Source: manufacturing.economictimes.indiatimes.com