Experts advocate maintaining balance between emerging trade blocs

At a time when several mega trade agreements are being negotiated and taking shape which could have far-reaching consequences on many countries, especially the LDCs and small states, experts in Bangladesh have stressed on the need of maintaining a balance between the emerging trade blocs to attract investment and secure trade benefits at a time when geoeconomics is on the rise across the globe.

Participating at a webinar on ‘Geoeconomics in the Aftermath of the COVID-19 Pandemic: Trade and Development Perspectives from Bangladesh’, jointly organised by the Economic Reporters’ Forum, Research and Policy Integration for Development (RAPID) and Friedrich Ebert Stiftung on 30 December (Wednesday), the experts reportedly underlined that Bangladesh also needs to be proactive at the multilateral, regional and bilateral levels so as to secure preferential trade benefits (through the signing of free trade agreements and preferential trade agreements) as part of the country’s preparation for post-LDC graduation period.

Underlining that geoeconomics would dominate economic relations in Asia where China and India would increase their investment for greater geopolitical influence in the region, Policy Research Institute Director and RAPID Chairman Mohammad Abdur Razzaque said, “Geoeconomics is not a new phenomenon and is generally perceived as the use of economic tools to advance geopolitical objectives. In the absence of war, geoeconomics is the main game,” and went on to add that coronavirus pandemic had exacerbated geopolitical rivalry fuelled by the US-China trade war and weakened the multilateral trading system.