Satisfactory FDI in 2015

It is a good sign that Bangladesh received $2.2 billion in FDI last year, breaking the previous records. In South Asia, Bangladesh is ahead of Pakistan, Sri Lanka and Nepal but behind India, according a UNCTAD report. The manufacturing sector has attracted the highest amount of FDI, followed by power, gas, petroleum, trade and commerce.

Foreign investment is considered as one of the major sources of employment, economic growth and poverty alleviation. At present, Bangladesh has a large work force. But regrettably, 31.5 percent of its population still lives below the poverty line. 1.8 million educated people are entering into the job market every year, creating challenges for the government to provide them with jobs. Bangladesh has emerging sectors like renewable energy, ship building, ICT, gas extraction, agro-business where FDI could flow.

The government should work harder to remove barriers to investment.