Dr Khondaker Golam Moazzem on US-Bangladesh relations

While addressing a roundtable discussion on “America-Bangladesh Relations: Economic and Social Perspective,” organised by Centre for Non-Resident Bangladeshis (NRBs).

More news reports on the event

Published in The Daily Star

Fix energy crisis to lure investments: Mozena

Star Business Report

Bangladesh must address its power and gas, road connectivity and governance issues to attract more foreign investments, US Ambassador Dan Mozena said yesterday.

The country has so many promising sectors for investment, including power and gas, IT, agricultural processing, infrastructure development and the leather industry, he said.

Infrastructure deficit is a “serious constraint” to investing in Bangladesh he said, stressing the need to complete the Dhaka-Chittagong four-lane highway without any delay.

Mozena spoke at a discussion on ‘America-Bangladesh Relations: Economic and Social Perspective’, organised by the Centre for Non-Resident Bangladeshis in Dhaka.

Most companies operating in the country cannot expand due to a scarcity of gas, he said, adding that governance challenges include corruption, red-tape and a lack of rule of law.

“I will urge the Bangladesh government to engage local and international companies to explore on-shore and offshore gas aggressively here.”

Mozena called upon Bangladesh to focus on hydropower by partnering with neighbouring countries due to its huge potential.

The outgoing ambassador also stressed improving workplace safety and labour standards in the garment industry to get back trade benefits with the US.

“The GSP [generalised system of preferences] has been suspended. I hope Bangladesh will transform the apparel sector and make progress in workplace safety and labour issues, and at one-point the GSP facility could be restored.”

The Bangladeshi-American diaspora adds an important dimension to the partnership between the two countries, Mozena said.

He spent three to four weeks each year of his tenure, travelling throughout America to engage with the Bangladeshi-American diaspora.

“I have a four-point agenda with the diaspora,” said Mozena. “First, I urge them to explore investing their know-how, their problem-solving ability, and their resources in Bangladesh.”

Secondly, he urged them to mentor young Bangladeshi entrepreneurs; the US embassy has set up a programme to match Bangladeshi-American mentors with emerging entrepreneurs.

Thirdly, Mozena called upon Bangladeshi-Americans to donate to Bangladesh. “We have established an online portal — liftbangla.org — which enables them to donate in confidence to vetted organisations in Bangladesh and donors get a US tax credit for their generosity.”

Fourthly, he asked Bangladeshi-Americans to encourage their friends and family members in Bangladesh to pursue education in the US; the number of Bangladeshis studying in the US has gone up by about 16 percent for each of the past two years.

The US is an important trading partner for Bangladesh, said AB Mirza Azizul Islam, a former finance adviser of the caretaker government.

He however rules out the possibility of Bangladesh getting back the GSP benefit from the US.

“Personally, I do not see much progress of the garment industry in getting a duty and quota free market access to the US in the near future, with part of the reason being conspiracy inside the US and also by coalition of our competing countries in Asia.”

Amir Khasru Mahmud Chowdhury, a BNP leader and former commerce minister, said the US is one of the largest investors in Bangladesh, calling out to the US to restore the GSP facility without any delay.

He also urged the American companies to outsource more jobs to Bangladesh. “We want to see a bigger chunk of outsourcing jobs here as the country now has both human and IT infrastructure.”

Khondaker Golam Moazzem, additional research director of Centre for Policy Dialogue, said relations between the US and Bangladesh are multi-dimensional. Over the years, Bangladesh has emerged from being an aid dependant country to a trade dependent country, he added.

CM Shafi Sami, former adviser to the caretaker government, stressed the need for cooperation from the US companies to explore power and gas at the Bay of Bengal.

Hafizuddin Ahmed, BNP vice-chairman, said the present relations between the two countries are good, “but there is still room for improvement.”

GM Quader, former commerce minister, spoke on using Trade and Investment Cooperation Forum Agreement platform to remove bottlenecks in trade expansion between the two nations.

Ticfa is a platform to remove the obstacles to trade and investment, which was signed between the two governments last November.

Bangladesh should diversify its export basket, said MS Shekil Chowdhury, chairperson of Centre for Non-Resident Bangladeshis. “Export diversification is needed for higher economic growth.”

Chowdhury hailed US President Barack Obama for announcing a new immigration policy, as it will help many undocumented Bangladeshis to stay in the US legally.

Mozena is set to complete his tenure of more than three years in Bangladesh as ambassador.

“In just a week, the final curtain will come down on both my ambassadorship in Bangladesh and my 33-year Foreign Service career,” he said.

Muhammad Zamir, a former ambassador, also spoke.