FDI declines 92pc in last three months

The country’s total Foreign Direct Investment (FDI) has declined to $100m during the October-to-December period while Last year, the figure was $1.25bn. The FDI dropped 92% in the final three months of last year from one year ago, apparently due to political unrest.

Board of Investment (BoI) data showed a total of $100m came in the country as FDI during the October-to-December period.

foreign aidA Russian telecom company won Wimax licence in Bangladesh and was set to invest $2bn. But the political unrest held them back, according to official sources.

A German company was also going to invest $660m taking out a lease of an aircraft of Biman Bangladesh Airlines during the period.

“Foreign investors are now closely observing political situation of Bangladesh, and if situation improves they will regain confidence on the country,” said Rupali Chowdhury, president of Foreign Investors’ Chamber of Commerce and Industry.

Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) along with DCCI and MCCI calculated a total of 40,000 lost their jobs owing to the turmoil.

“FDI may increase if the political situation returns to normalcy,” said Nabhash Chandra Mandal, additional secretary of BoI.

He also said the foreign direct investors keep cautious eyes on Bangladesh’s political and economic situations now.

The foreign director investors usually make profits from their investments in Bangladesh, the official noted.

Courtesy: The Dhaka Tribune.