Home Apparel EU countries offer Bangladesh economic packages

EU countries offer Bangladesh economic packages

eurozone growth jumps more than expected

Amid the COVID-19 rampage across the world, Dhaka and Brussels have got an opportunity to reach Bangladesh-EU multilateral relations to a new height as the European Union countries have come with different economic packages to help Bangladesh overcome the adversities, diplomats said. The pandemic has claimed some 2 lakh lives in EU countries and infected over one million people while the disease has claimed over 200 lives and infected some 17,000 people in Bangladesh, according to the foreign ministry. The tallies had increased substantially by Friday. Prime Minister of Sweden Stefan Lofven has assured Prime Minister Sheikh Hasina that Sweden will stand by Bangladesh at this critical juncture and has decided not to cancel any apparel order from Bangladesh. The Prime Minister of Sweden made the assurance during a phone call with Bangladesh’s Prime Minister recently. Confirming the matter, prime minister’s press secretary Ihsanul Karim said Sheikh Hasina informed him that all export-oriented garment factories have been opened in compliance with health guidelines. During the 15-minute conversation, he said, the two leaders discussed trade and business issues, particularly the RMG sector. “We are hopeful that we could meet the orders for RMG products of the international buyers, including Sweden, despite the present situation caused by the coronavirus outbreak,” Sheikh Hasina said. In this connection, the Swedish premier assured that his country won’t cancel any order of Bangladesh regarding the RMG products. “We’ll continue importing RMG products from Bangladesh,” he said. Bangladesh exported apparel to Sweden worth $492.72 million in FY 2016-17, $533.09 million in FY 2017- 18 and $652.33 million in 2018-19. The European Union (EU) has assured of standing by Bangladesh in this difficult time of epidemic coronavirus outbreak, commented EU Ambassador in Dhaka Rensje Teerink recently. In the video message on the occasion of the European Day, Rensje Teerink also stressed cooperation in three sectors in Bangladesh. The EU ambassador said that the European Union is giving priority to three issues in Bangladesh at this time. In addition to humanitarian assistance, the emphasis is being placed on solving problems in the health sector. “I am working to ensure health, sanitation, and water facilities. Besides, the emphasis is being laid on strengthening the epidemiological research sector,” she added. He further said that the garment industry of Bangladesh has been getting duty-free facility on the European market for a long time. However, the economy of Bangladesh is being damaged due to the coronavirus outbreak. Factory production is being disrupted. In this situation, “We want to say, the EU will be on the side of Bangladesh at this time of the epidemic,” she further stretched. “I have been serving in Bangladesh for three years,” the EU ambassador said. “It is a great pleasure for me.” She also expressed the hope that the relationship between Bangladesh and the EU would further strengthen. EU countries are major destinations of Bangladesh’s export goods, particularly readymade garments. Over 55 per cent of RMG goods go to EU countries. Bangladesh’s export earnings have suffered a massive downturn, recording an 85 percent year-on-year drop in April, as the coronavirus pandemic continues to roil the global economy. The country exported readymade garments (knit, woven) worth only $369 million in April, compared to $2.42 billion at the same time last year, according to garment exporters’ lobbying group, BGMEA. The Export Promotion Bureau will publish the official figures in a few days, according to officials. BGMEA Secretary Md Abdur Razzak told The News Today that he was frequently analysing and reviewing export data during the crisis and the statistics were obtained from the National Board of Revenue. Diplomats and policymakers in Dhaka and Brussels believe that Bangladesh should tap this opportunity to boost the relations to a new height. Bangladesh should work on eliminating corruption, strengthening the electoral process, upholding human rights, educating rural children and strengthening different public institutions. An EU diplomat said EU countries expect an economically prosperous, poverty-free, non-communal, educated Bangladesh is in great interest of the EU member-countries. While talking to The News Today, some EU diplomats said like the USA, China, India, Japan and South Korea, EU countries have no strategic interest in the region. “Due to coronavirus, our export is already hit hard. There is the fear of losing jobs by several lakh of workers. We’ve already informed the EU and Group-7 countries so that we can overcome the situation,” said Foreign Minister Dr AK Abdul Momen in a video message. “Social protection lies at the heart of the European social model and represents a fundamental area of cooperation in Bangladesh,” said the EU Ambassador in Bangladesh, Rensje Teerink. She said the Covid-19 pandemic has created a public-health emergency with immediate and long-term economic consequences for millions of Bangladeshis who are at a heightened risk of being pushed into poverty or extreme poverty. The ambassador said ensuring a safety net for all is critical to mitigating these impacts. “The European Union stands ready to join forces with the government of Bangladesh and development partners to enhance the preparedness of the national social protection system,” Teerink added. The programme of support to NSSS reforms intends to provide a total of €130 million as budget support linked to jointly-agreed performance indicators.

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