China and India are keen to invest billions in the three economic zones the government already decided to allocate exclusively for potential corporate investors from the two giant economies. Bangladesh economic zones authority and China Harbour Engineering Company Ltd are expected to sign an agreement soon that will give the Chinese company ownership and legal basis to invest in the proposed Anwara economic zone, a senior official in the Prime Minister’s Office said. On the other hand, Dhaka and New Delhi are in the process of forming a joint working group to finalise the terms and conditions of the investment in the two proposed Indian economic zones — Mongla and Bheramara — and to expedite the signing of investment agreements to transfer the two zones in favour of Indian investors. The Ambassador of China and High Commissioner of India in the country, in two separate meetings with senior officials of Prime Minister’s Office and Bangladesh economic zones authority, held past week in the BEZA office, asked the government to expedite development activities of economic zones to facilitate their huge investment, a PMO official said. ‘Things are moving speedily as far as drawing the foreign direct investment from India, China and Japan are concerned in the prospective EZs,’ Paban Chowdhury, executive chairman, BEZA, told New Age on Saturday. ‘Three zones, meant for India and China are expected to be ready for investment latest by the middle of 2017, and FDI to the tune of between $1.5 billion and $2 billion from the two countries is likely to be parked in diverse capital intensive industries,’ he added. The Anwara SEZ to be established on 774 acres of land will go to Chinese investors, while Mongla zone on 205 acres of land and Bherama on an estimated 500 acres of land to be owned by Indian investors, a recent meeting in the Prime Minister’s Office, chaired by Prime Minister Sheikh Hasina decided. Paban said besides India and China, Japanese investment in two proposed zones would give boost to the country’s FDI portfolio, as a major breakthrough awaits the economy soon from Japanese investors. Officials at BEZA said they had almost completed the land acquisition for the three EZs for China and India, while tender has been floated to develop Anwara economic zone. Dhaka and New Delhi signed a memorandum of understanding on investment in two EZs in June, while Dhaka and Beijing signed another memo early last year. The investment deals were signed in the presence of premiers of the countries concerned. While Japan showed strong interest to invest in economic zones much earlier than those of India and China, the world’s third largest economy, however, is yet to make up its mind over the sites it prefers to invest in, a reliable source in the PMO said. ‘Japanese official and private delegations made a number of visits, particularly in the areas of Dhaka, Chittagong, Gazipur and Narshindi. But, they are yet to decide or choose any particular area as exclusive economic zones for their investments,’ a senior official in the PMO said. ‘Bureaucratic inertia, corruption and poor law and order situation might hold their investment decision back.’ However, Paban said Japan would surely come forward soon to invest in the country’s economic zone. ‘You will certainly hear good news soon as far as Japanese large scale investment in the economic zone is concerned. He, however, admitted that investment environment in the country had scope to improve to lure more FDI,’ Paban said. Officials in the BEZA said once the JWG comprising officials of India and Bangladesh government is formed, agreement will be signed with an Indian company, to be recommended by the Indian government, to invest and own the two EZs. Dhaka has recently sent a list of officials to New Delhi to be included in the JWG, sources said. Earlier, the Chinese government recommended signing agreement with China Harbour Engineering Ltd, on which BEZA is working, a BEZA official said. The government in March decided to acquire more than 20,000 acres of land in the next three years from July to establish 11 economic zones across the country, at a cost of Tk 6,700 crore. The cost of the land will be borne from the allocations made in the annual development plan for three consecutive years from 2016 to 2018. The BEZA officials, citing their own recent study, said at least between 1.5 lakh and two lakh job opportunities would be created in the country if full scale investment is made in the three foreign economic zones concerned
