By The Nexus Gazette.
August 27, 2024
In a significant diplomatic development, the United Kingdom has reiterated its commitment to supporting Bangladesh in implementing crucial economic reforms. This pledge was made by British High Commissioner Sarah Cooke during a meeting with Finance Adviser Dr. Salehuddin Ahmed at the Economic Relations Division (ERD) in Dhaka’s Sher-e-Bangla Nagar. The UK’s involvement is expected to bring about transformative changes in Bangladesh’s banking, revenue, and capital markets, with a broader aim of fostering economic resilience and prosperity.
The discussions between the UK and Bangladesh centered on several vital sectors that are critical to the country’s economic growth and development. The UK has identified the following areas for targeted support.
The UK is keen on collaborating with Bangladesh to enhance the efficiency and transparency of its banking system. The banking sector in Bangladesh has long been a cornerstone of the economy, but it faces challenges that need to be addressed to ensure sustainable growth.
The UK will assist in bolstering regulatory frameworks to ensure that banking practices are in line with global standards. This includes improving governance and oversight to prevent financial irregularities.Efforts will be made to broaden access to banking services, particularly for underserved populations. The UK’s support will focus on promoting financial literacy and expanding digital banking initiatives.
Efficient revenue collection is vital for funding public services and driving development projects. The UK’s involvement in reforming Bangladesh’s revenue sector aims to optimize tax administration and increase compliance, which in turn will enhance the government’s capacity to invest in key areas such as healthcare, education, and infrastructure.
The UK will provide expertise in modernizing Bangladesh’s tax collection systems, making them more efficient and transparent. This includes the adoption of digital tools to streamline processes and reduce tax evasion. A focus will be placed on encouraging greater compliance with tax laws, ensuring that all sectors of the economy contribute fairly to the national revenue.
A well-functioning capital market is essential for attracting investment and facilitating economic growth. The UK has expressed its willingness to support Bangladesh in developing and modernizing its capital market infrastructure.The UK’s support will include helping to develop robust market infrastructure that can handle increased trading volumes and attract foreign investment.Strengthening regulatory frameworks to protect investors and ensure market stability will be a key aspect of the UK’s assistance.
Both the UK and Bangladesh have expressed a strong desire to deepen trade relations and encourage private sector investment. The UK’s business community has already made significant investments in Bangladesh, particularly in sectors like ready-made garments (RMG), technology, and services.
Dr. Salehuddin Ahmed emphasized the need to diversify Bangladesh’s export portfolio beyond RMG to include other high-potential sectors such as pharmaceuticals, IT, and agriculture.To attract more foreign and domestic investment, the UK will work with Bangladesh to create a more conducive business environment, focusing on reducing bureaucratic hurdles and enhancing ease of doing business.
The meeting between High Commissioner Sarah Cooke and Finance Adviser Dr. Salehuddin Ahmed marks the beginning of a renewed partnership aimed at driving Bangladesh’s economic growth. The UK’s commitment to supporting Bangladesh’s economic reforms reflects the strong and enduring relationship between the two nations.The UK’s ongoing efforts to expand trade ties with Bangladesh are expected to open new opportunities for both countries, fostering mutual growth and development.
The collaboration between the UK and Bangladesh is set to create a more resilient and prosperous Bangladesh, capable of navigating global economic challenges and capitalizing on new opportunities.
As Bangladesh embarks on this ambitious journey of economic reform, the support from the UK will be instrumental in ensuring that these efforts lead to tangible improvements in the lives of its citizens.
Resources:
4.https://bdnews24.com/bangladesh/b276cacc58bf