Situated in the heart of the vast Ganges Delta, Bangladesh is a fertile land that possesses much potential and, at the same time, faces serious challenges to its growth, both natural and man-made.
In August, widespread protests led primarily by students forced long-time Prime Minister Sheikh Hasina out of office. Just three days later, a semblance of normality returned as Nobel Peace Prize laureate Muhammad Yunus agreed to become the chief adviser of a caretaker government tasked with restoring peace and order in the country.
“Today is a glorious day for us. Bangladesh has created a new victory day. Bangladesh has achieved a second independence,” Yunus said upon arriving in Dhaka.
Known globally as the “banker to the poor,” Yunus is the founder of Grameen Bank, which has provided around $37 billion in collateral-free, microcredit loans to around 10 million of the world’s poorest people, mostly women, since 1983.
Amid the political uncertainty, Bangladesh remains focused on getting back to business and pursuing its bigger objective: graduating from its status as a least developed country by 2026.
Thankfully, through thick and thin, the country has had a constant partner. Japan’s unwavering support for Bangladesh goes back to before the South Asian nation declared independence in 1971. Over the decades, this bond has evolved into a multifaceted relationship that spans economic and technical cooperation.
“Many Japanese companies, including small and medium enterprises, now understand and realize the potential available in Bangladesh, especially with its big market for both consumption and production. According to the Boston Consulting Group’s analysis, Bangladesh could be the ninth-largest consumer market by 2030,” said Tomohide Ichiguchi, chief representative of the Japan International Cooperation Agency in Bangladesh.
Despite the respective resignations of Hasina and her Japanese counterpart Fumio Kishida, the two countries remain committed to finalizing an economic partnership agreement that will open up more trade and investment opportunities and support their economic development goals.
“We have more than 300 Japanese companies here and, with Bangladesh graduating from LDC status in 2026, we are going to seek an economic partnership agreement,” said Japan External Trade Organization Country Representative Yuji Ando.
In anticipation of this new phase of economic collaboration, Bangladesh announced a string of ambitious infrastructure projects, among them Matarbari Port, a deep seaport project projected to become the country’s main hub for maritime trade.
With the assistance of JICA, the government is expanding the Dhaka Mass Rapid Transit and developing a special economic zone in Araihazar, some 33.4 kilometers east of Dhaka.
Still optimistic about the country’s future because of these infrastructure projects, Dhaka-based Banglamark Group is a leading conglomerate that has built a strong partnership with Japan in providing its services to a wide range of industries, including oil and gas, power and energy, engineering and construction, information technology and agriculture, among others.
“With Japan at the helm, we can focus on not only selling products that can be used. Rather, we can consider their impact on the environment, something that Japan has been known to prioritize as well,” said Banglamark Group Managing Director Rob Steven.
The optimism is widespread, particularly in the construction sector.
“A lot is going on in Bangladesh but I believe this is the right time to invest. My dream is to serve the nation by not only offering innovative products, but also by making these products affordable to the average income earners of Bangladesh. I wish to see a mini-Bangladesh in every country of the world where cultural diversity, sociability and positive practices are always nurtured,” said JMI Group Managing Director Md. Abdur Razzaq.
Looking beyond the inbound investment, Singapore-based Asia Projects Engineering (APECO) highlights the long-term benefits of working with international partners: the transfer of technology and the sharing of knowledge.
“It’s our social responsibility as a company to ensure that knowledge is nurtured and our people are well cared for. When we started our Bangladesh operation, we made sure that the people who have worked with us for decades will bring their skills home to enhance the knowledge of the younger generation and give back to society,” stressed APECO Country Manager Jaspreet Singh.
Information technology company Penta Global Limited is eager about the increased investment from Japan as well.
“We are very excited to work with Japanese industries looking into investing in Bangladesh. We believe in what this country has to offer and, with Japanese presence, we are here to show our commitment. Our costs are lower and we are working hard to prove that we have the right skill set,” said Penta Global Limited Managing Director Faysal Zaman.