Bangladesh is expected to graduate from a least developing nation (LDC) to a developing country by 2024, following which the country will no longer be eligible for various benefits it enjoys as a LDC.
However, the Government on its part is reportedly doing all it can to ensure that the country’s export-oriented businesses especially the readymade garment industry, does not lose the competitive edge. Taking a step towards the same, the Ministry of Finance has reportedly given the go-ahead to the Ministry of Commerce to move forward towards signing bilateral and multilateral free trade area (FTA) agreements with developed and developing countries, as per media reports.
A decision to this end reportedly followed a recent meeting at the Prime Minister’s Office (PMO) wherein it has reportedly been decided to direct the relevant ministries and divisions to take steps for signing the FTAs after conducting feasibility studies.
“Bangladesh’s large trade gap with many countries can be minimised through signing FTAs since it will help raise goods exports.” – Finance Ministry, Bangladesh
As per reports, the Finance Ministry has reportedly cited China, India, Indonesia, Brazil, Malaysia, Thailand, South Korea, Pakistan, Japan, Argentina, United Arab Emirates, Australia, Sri Lanka, and Saudi Arabia as potential countries for signing FTAs.
The ministry reportedly further underlined that many of Bangladesh’s competitors are signing FTAs and preferential trade agreements with different countries for expanding markets while suggesting that Bangladesh should go for signing bilateral and multilateral FTAs for market expansion to boost exports while also attracting foreign investments.
