The United Kingdom, which is amongst Bangladesh’s major apparel export destinations and also provides a considerable foreign direct investment (FDI) as more than 200 British companies, reportedly, have invested around US $ 2.5 billion in the country (as per reports), has called upon Bangladesh to address the existing trade barriers and other structural problems so as to help attract more FDI including from the British entities. In a letter written to the Bangladesh Commerce Secretary Md. Jafar Uddin recently, British High Commissioner Robert Chatterton Dickson, reportedly, underlined that FDI brings many benefits and for Bangladesh, it will help achieve its goal of becoming a developed nation by 2041 even as he went on to add that the existing business climate is a challenge for many foreign investors. I understand there are structural problems that make these issues difficult to address…, reportedly, stated Robert Chatterton Dickson, who went on to add that these problems are faced by many countries, not just Bangladesh even as he maintained that British companies face problem with regard to tax when operating in Bangladesh, and added that high import tariffs and discretionary use of regulations protect well-established sectors but at a cost to the Bangladeshi economy. We ask that the Government offers a transparent, fair and predictable tax regime for UK firms…, he said further while suggesting withdrawing the existing 10 per cent cap on allowable head office expenses and highlighted strengthening Bangladeshi intellectual property regime as well.
