In the next three years, Bangladesh expects investment from India to double to $5 billion. The neighbour country signed agreements worth around $23 million in Mumbai on June 27. Now, with greater trade ties with India, Bangladesh want to attract more foreign direct Investment (FDI), Matlub Ahmad, president, India-Bangladesh Chamber of Commerce and Industry, said.
A high-level trade delegation from Bangladesh is visiting India and the country is seeking partnerships across 13 important sectors, including agro processing, automobiles, textiles, chemicals, plastics, light engineering, pharmaceuticals and IT.
Bangladesh, during its 42 years of independence has only received $2.5 billion of FDI from India. The country offers a conducive and investment-friendly climate, apart from providing basic infrastructure and working capital loans. While garments and agricultural products are exported from Bangladesh, Indian exports include automotives and pharmaceuticals.
Bangladesh feels that Indian investment in Bangladesh, with the possibilities of re-export to India, would help in diversifying the exports of Bangladesh and thereby reduce the trade gap between India and Bangladesh, Kris Gopalakrishnan, president, Confederation of Indian Industry (CII) and Co-Founder and Executive Vice-Chairman, Infosys said.