China Interested To Invest US$ 300 Mln In Bangladesh Textile Sector

Trade & Policy

China Interested To Invest US$ 300 Mln In Bangladesh Textile Sector

Finance Minister AMA Muhith said the Chinese government has shown interest to invest US$ 300 million in Bangladesh's textile industry, a follow-up move after Prime Minister Sheikh Hasina's visit to the world's second largest economy two years ago. China also wants to help Bangladesh develop its infrastructure, he told journalists after a signing ceremony of two letters of exchange between the two governments. AMA Muhith and Gao Hucheng, China's commerce minister signed the letters on behalf of their respective sides. One letter is to set up a permanent Bangladesh-China Friendship Exhibition Center in Purbachal area of Dhaka and other is to procure medical equipment and appliances for ministry of health and family planning from China. The cost of Exhibition Center project is estimated at Tk 796.01 crore, of which, Chinese government will provide Tk 675.70 crore as grant. The medical equipment supply project is of Tk 35.40 crore.

According to Economic Relations Division proposal, the center will be built on a land of 33,000 square feet featuring 1500-car parking area and 800 exhibition booths. Finance minister said the Chinese government wants to increase regional connectivity and the most recent project for this purpose is construction of roads from Myanmar to Kunming through Bangladesh. He said Bangladesh would build 23 kilometers of the proposed international road from Myanmar to Kunming under Bangladesh-Myanmar friendship road project. "This will be done as a friendship gesture by Bangladesh to China." Of the Chinese development projects, Muhith said they had already discussed the provision of payment in instalments for development projects so that it remained favourable for Bangladesh and interest of loan is not high compared to other development partners. In reply to the Chinese foreign investment process, finance minister said the Chinese business companies had met the Bangladesh officials and sough to invest here. He added all development projects, proposed during PM's visit to China, have already been accepted by the Chinese authorities. "China has showed keen interest to invest in railway, jute, construction of bridges, textiles," Muhith said.