B Mirror Report: Bangladesh Investment Development Authority (Bida) Executive Chairman Chowdhury Ashik Mahmud Bin Harun has called for a gradual shift away from long-standing protectionist policies, stressing the need for stronger execution, better institutional coordination and improved energy security to sustain investment and job growth.

Speaking at a roundtable titled “Trade Policy, Industrial Protection, Investment Impacts, and Consumer Welfare” organised by the Policy Research Institute (PRI) in Dhaka, he said Bangladesh must prepare for post-LDC graduation challenges by focusing on sustainable economic growth.

He noted that consumers ultimately bear the cost of inefficiencies across the supply chain, not just tariffs. “By the time products reach consumers, multiple inefficiencies are added along the way,” he said, pointing to logistics bottlenecks, port delays and rent-seeking practices.

Highlighting a major structural challenge, the Bida chief said the problem lies less in policy formulation and more in implementation. While policies exist on paper, he said investors continue to face difficulties in importing raw materials, clearing goods at ports and transporting them efficiently.

He also said the government’s focus is shifting from mere growth to employment-driven sustainable development. Responding to criticism, he clarified that Bida supports both local and foreign investors, noting that domestic investment remains the backbone of Bangladesh’s economy.

Ashik further revealed that investment promotion agencies have submitted 46 reform proposals to revenue authorities, including 19 related to deregulation. These include introducing a structured VAT slab system to encourage local value addition and reduce policy uncertainty.

He identified the ongoing energy crisis as a major obstacle to investment, warning that without addressing it, investor confidence would remain limited.

The roundtable was chaired by PRI Chairman Zaidi Sattar and attended by policymakers, business leaders and economists.