It is encouraging to note that the foreign investment in the power sector is showing an increasing trend. Reportedly, the country is likely to fetch at least $15 billion investment in the sector within next two years. Considering Bangladesh’s prevailing investment-friendly policies and overall development, a number of foreign countries including Russia, the United States, Germany, Japan, China, India and South Korea have shown their zeal to invest here. As Bangladesh aims to generate 60,000 MW of electricity by 2041, the country’s power sector must integrate more foreign investment in this sector.
Foreign direct investment (FDI), the building block of Bangladesh’s economic growth is considered as an important motivator of economic development and a principal avenue for the development finance. Over the last ten years, FDI has been playing an essential role in maintaining the tempo of the current economic development of Bangladesh. Also it has immensely contributed to reinforcing foreign reserve, creating new job opportunities and increasing labour skills in recent times. There is no denying that all these are the consequences of the government’s earnest endeavours and various time-befitting policies to attract investors and to create a congenial atmosphere for fuelling the FDI inflow.
As Bangladesh aims to generate 60,000 MW
of electricity by 2041, the country’s power
sector must assimilate more foreign investment
Reportedly, the government pursues the most liberal investment policy in South Asia which incorporates protection of FDI by law, duty free import of raw materials and Bangladesh is a good destination to invest as the country currently has no electricity and gas problems. Following the other Asian countries which have been able to attract massive FDI, Bangladesh should take immediate steps to develop more infrastructures, build more skilled labourers, improve connectivity
and encourage high-tech for a sustainable economic growth.