01 Dec Airo AV Announces Proper policy implementation must to raise FDI inflow: ICAB
The country needs to formulate pragmatic policies and implement the policies properly to attract more foreign investment in the country, said Institute of Chartered Accountants in Bangladesh president AF Nesaruddin.
He made the comment at a press conference on foreign direct investment and corporate governance, organised by the ICAB held at its office premises in Dhaka.
The ICAB organised the briefing after hosting various events of South Asian Federation of Accountants in Bangladesh in November 29-30.
Nesaruddin said that Bangladesh had taken many policies to attract FDI, but those policies were not implemented properly in the country.
In order to encourage the inflow of FDI, the government offers to foreign entrepreneurs liberal investment policies and attractive packages of fiscal, financial and other incentives, specifically in relation to tax exemptions, duty, income tax, remittances, exit, ownership, investing in the stock market, Nesaruddin mentioned.
There are ardent needs to formulate pragmatic policies so that foreign investors feel comfortable to invest in the country.
There is lack of understanding among the officials of the regulators including the Bangladesh Bank and the Bangladesh Investment Development Authority, and they can take opinions from chartered accountants or expert bodies.
Amid the advent of IT in corporate world, one of the key criteria for attracting FDI is to ensure better access to information, and availability of IT-based skilled manpower.
Nesaruddin said, ‘We have started corporate governance recently, but long way to go.’
‘We are working hard in delivering the quality services to support enterprises, corporate governance and sustainable growth in the overall business environment,’ he said.
SAFA president PVS Jagan Mohan Rao said that Bangladesh government had been proactive in the country’s progress, which was evident in increased government investment in various initiatives.
Bangladesh has already been recognised as a thriving investment hub, which is reflected in the country’s foreign direct investment (FDI) inflows.
He added that four different FDI models — government investment facility in EPZ, forming more than 100 private economic zones, public private partnership (PPP) and country’s specific economic zones — could be a bonanza for foreign direct investment in Bangladesh.
Bangladesh needs export diversification in addition to RMG, the SAFA president suggested.
The corporate governance is an integrity that every company must develop within the institution to continue its business growth, he said.
The SAFA as an apex body of the SAARC plays promotional role for the countries within its jurisdiction where accountancy profession does not exist or is not sufficiently developed.
It also promotes harmonisation of accountancy profession in the SAARC region, keeping pace with global development in the area, he said.
ICAB council member Humayun Kabir and SAFA delegates from India, Pakistan, Sri Lanka and Nepal also spoke at the briefing.