Foreign Secretary Engages in US Talks to Boost Trade

Bangladesh's Foreign Secretary, Md. Jashim Uddin, is in Washington for a series of meetings aimed at strengthening ties with the United States. Uddin, who recently attended the UN General Assembly in New York, seeks U.S. support for Bangladesh's reform initiatives in areas such as the economy, trade, investment, labor rights, governance, and the Rohingya crisis.

Since 2009, Bangladesh has restricted trade with Pakistan, placing most imported goods under a "red lane" due to security concerns. However, as of October 2, the National Board of Revenue (NBR) has lifted these restrictions, allowing all Pakistani goods to be exempt from the "red lane" under the ASYCUDA World system.

Bangladesh's position in international trade is concerning, ranking fourth according to a new World Bank report, with a score of 53.86 out of 100. The country's scores include 51.56 in legal framework, 29.52 in government services, and 80.50 in operational efficiency, indicating significant challenges in laws, government services, and management that deter foreign investment and slow export growth.

Bangladesh and Malaysia have agreed to resume discussions on a Free Trade Agreement (FTA) following Malaysian Prime Minister Anwar Ibrahim's recent visit to Dhaka, which has strengthened bilateral ties. This visit marks the first official engagement by a head of government since the formation of Bangladesh's interim government and symbolizes Malaysia's solidarity with Bangladesh during challenging times.

Following the change in government after the July anti-discrimination movement, Bangladesh’s progress in signing preferential trade agreements has slowed. The country aims to sign FTAs, CEPAs, and EPAs with China, Indonesia, ASEAN, India, and Japan to secure zero-duty benefits after its graduation from LDC status in 2026.

Bangladesh has significantly reduced its foreign trade deficit through various measures, as reported by the central bank. In July, the trade deficit was $1.458 billion, down from $1.604 billion the previous year, marking a reduction of $146 million. The country imported goods worth $4.94 billion while earning $3.48 billion from exports.