Highlights:
- 3rd FSRU to be dedicated for industries.
- Damaged FSRU expected to resume operations by 10 August.
- ISO gas containers under consideration for direct supply to industrial zones.
- Business licences and approvals to be issued within 14 days.
- 24/7 customs services to be introduced at Ctg Port, Dhaka airport.
- Priority support for solar investment and lithium battery production.
- E-visas and visa fee waivers for investors from five priority countries.
- $100bn export target by 2030 through support for 10 priority sectors.
Prime Minister Tarique Rahman has told business leaders that the country’s third floating LNG terminal (FSRU) will be dedicated exclusively to supplying uninterrupted gas to industries, as part of broader measures to ease the energy crisis and help achieve Bangladesh’s $100 billion export target by 2030.
The government is considering importing gas in ISO containers for direct supply to industrial factories to mitigate the ongoing gas shortage. In addition, all business licences and approvals will be issued within 14 days to improve the ease of doing business.
The prime minister also assured business leaders that the damaged floating LNG terminal (FSRU), currently under repair, is expected to resume operations by 10 August, helping restore gas supply.
The commitments came during a meeting with the country’s leading business leaders to discuss measures needed to raise Bangladesh’s annual export earnings to $100 billion by 2030, up from $48 billion recorded in FY2025-26.
According to a PMO press release, the meeting discussed business expansion, foreign investment promotion and industrialisation.
Business leaders highlighted that the energy crisis is disrupting industrial production and discouraging new investment, urging the government to take immediate action.
Representing the business community, Apex Group Chairman Nasim Manzur presented key challenges facing the 10 priority export sectors identified by the government and proposed solutions. The prime minister assured entrepreneurs that the issues would be addressed, according to officials from the PMO, the Bangladesh Investment Development Authority (Bida), and participants at the meeting.
In response to business leaders’ demand for a dedicated FSRU to ensure uninterrupted gas supply for industries, the meeting was told that the proposed third FSRU at Maheshkhali, already approved by the cabinet, will be used exclusively for industrial gas supply.
Bida also presented progress on the implementation of decisions taken at a previous meeting with business leaders held in April.
To encourage investment in the energy sector, the prime minister said investors in economic zones would receive priority land allocation, while those investing in solar power would have easier access to low-interest financing.
Business leaders also called for lower wheeling and cross-subsidy charges for using the electricity transmission and distribution network. The PMO said the proposed Open Access Tariff is currently under consideration by the Bangladesh Energy Regulatory Commission (BERC) after consultations with Bida and other stakeholders.
The Open Access Tariff policy would allow large industrial and commercial consumers to purchase electricity directly from independent power producers.
The PMO also plans to allow duty-free imports of batteries used for solar power storage and provide policy support for local lithium battery manufacturing. Although customs duties on solar equipment were reduced in the current budget, a 15% VAT and 2% advance income tax remain in place.
The meeting also decided to introduce 24-hour, seven-day customs services at Chattogram Port and Hazrat Shahjalal International Airport. Customs, ports and related banking services will be declared “essential services” to facilitate uninterrupted import and export operations.
After the meeting, Moynul Islam, chairman of Monno Ceramic Industries and president of the Bangladesh Ceramic Manufacturers and Exporters Association, told The Business Standard that discussions focused heavily on the energy crisis.
“The prime minister said the third FSRU will be dedicated to ensuring uninterrupted gas supply to industries. He also stressed importing gas in ISO containers to maintain industrial production and exports,” he said.
Moynul added that the government sought business leaders’ recommendations on how to achieve the $100 billion export target by 2030. Outside the readymade garments sector, each of the 10 priority export sectors has been assigned a target of $3 billion in exports, with Vietnam identified as the benchmark. Discussions also covered faster customs clearance, improved bonded warehouse facilities, and quicker approvals from Bida and other government agencies.
Mustafa Kamal, chairman of Meghna Group of Industries (MGI), said follow-up meetings between the prime minister and business leaders will now be held every two months. He added that entrepreneurs expressed satisfaction with the government’s investment-friendly approach and noted that 8-9 of the 20 decisions taken at the April meeting have already been implemented.
Business leaders who attended the meeting said the discussions centred on policy measures needed to support the government’s 10 priority export sectors. They warned that persistent gas and electricity shortages would discourage both local and foreign investment and undermine exports.
One participant, speaking on condition of anonymity, said business leaders highlighted tariff and non-tariff barriers alongside energy shortages. “The prime minister ordered immediate action on some issues, and ministers and agency heads present assured us they would resolve them quickly,” he said.
Another participant said the pharmaceutical sector received special attention during the discussions.
“We discussed the challenges Bangladesh will face after graduating from least-developed country (LDC) status, particularly the possible loss of patent-related benefits for the pharmaceutical sector. We emphasised accelerating work on the API Industrial Park and ensuring policy support for local API production,” he said.
Business leaders also urged the government to facilitate international certification for pharmaceutical exports by encouraging certification authorities from the US, UK and other developed countries to operate in Bangladesh.
They further proposed visa-free entry for investors from the UK, US, Japan and South Korea, along with a streamlined online visa system for foreign investors.
PMO spokesperson Mahdi Amin later told reporters that the government has decided to introduce uninterrupted 24-hour services at ports to boost import and export activities and pledged full policy support for the private sector to overcome the country’s prolonged economic slowdown.
He said the government is also restructuring key state institutions after years of “authoritarian rule” and held detailed discussions with business leaders on resolving critical issues, particularly in the power and energy sectors.
E-visas for citizens of select countries
The PMO has decided to introduce e-visas for citizens of strategically important countries and waive visa fees for investors from priority nations. According to discussions at the meeting, Bida has proposed waiving on-arrival visa fees for investors from the Netherlands, the United Kingdom, China, Singapore and South Korea.
Business approvals within 14 days
The PMO told business leaders that all business licences and regulatory approvals will be issued within 14 days to improve the investment climate.
The government also plans to develop Bogura as a hub for the light engineering industry, with Beza arranging site visits for entrepreneurs.
At the API Industrial Park in Munshiganj, a 50-bigha site has been earmarked for a coal-generated steam facility, with the location already selected following a field inspection.
ICT investors will receive priority land and space allocation in economic zones.
Rana Automobiles Chairman Hafizur Rahman Khan proposed establishing testing and certification facilities for automobile components through BSTI and other relevant agencies.
“We all acknowledge there are many challenges,” Tarique Rahman said at the meeting. “The government has at least demonstrated that we are trying. The government has not yet completed six months in office, but we have already held several meetings, including our first meeting with you. We are working sector by sector to resolve the problems.”
The meeting was attended by Finance Minister Amir Khosru Mahmud Chowdhury; Home Minister Salahuddin Ahmed; Power, Energy and Mineral Resources Minister Iqbal Hassan Mahmud Tuku; Commerce Minister Khandaker Abdul Muqtadir; Road Transport and Bridges Minister Sheikh Robiul Alam; the prime minister’s adviser on finance and planning Rashed Al Mahmud Titumir; Bida Executive Chairman Ashik Chowdhury; Bangladesh Bank Governor Mostaqur Rahman; senior government officials and representatives of major business groups.
Source: https://www.tbsnews.net/bangladesh/pm-seeks-stronger-public-private-partnership-boost-economy-1503921
