B Mirror Report: Bangladesh’s request to extend its transition period for graduating from the Least Developed Country (LDC) category is aimed at ensuring a sustainable and orderly transition, not delaying the process, Commerce, Industries, and Textiles and Jute Minister Khandaker Abdul Muqtadir said on Thursday.

Speaking at a seminar held at the NEC Conference Centre in Agargaon, Dhaka, the minister said the additional time would help the country achieve a stable and effective economic transformation amid global and domestic challenges. The seminar was jointly organized by the Economic Relations Division (ERD) of the Finance Ministry with support from the Commerce and Foreign Ministries.

The government has formally requested the UN Committee for Development Policy (CDP) to extend Bangladesh’s LDC graduation preparation period by three years. The CDP has responded positively and submitted its assessment to the UN Economic and Social Council (ECOSOC), which is expected to forward the proposal to the UN General Assembly for final approval.

Muqtadir said the current government sought the extension immediately after taking office, citing pressures from global trade uncertainty, geopolitical tensions, high inflation, supply chain disruptions, and their impact on Bangladesh’s macroeconomic stability and institutional capacity.

He noted that the government’s immediate priority is restoring macroeconomic stability while implementing a roadmap of 25 priority reforms, including trade and investment reforms, deregulation, and strengthening institutional capacity.

To improve the investment climate, the minister said the government aims to reduce the time required to start a business from one year to 14 days, allowing new businesses to open letters of credit (LCs) for machinery imports by the 15th day. Efforts are also underway to simplify business registration and licensing procedures.

Planning State Minister Md. Jonayed Abdur Rahim Saki said the government is working to rebuild institutions while addressing economic vulnerabilities and weaknesses in the financial sector, stressing the need for continued support from development partners.

Presenting the keynote paper, ERD Secretary Md. Shahriar Kader Siddiky outlined Bangladesh’s economic and structural risks and presented a roadmap for making effective use of the proposed extension period.

EU Ambassador to Bangladesh Michael Miller emphasized the need to maintain the pace of reforms in response to the rapidly changing global trade environment. He also called for closer trade ties, greater market access, and a level playing field for businesses.

The seminar was attended by senior government officials, diplomats, development partners, business leaders, and economists, who highlighted the importance of export diversification, expanding the tax base, and implementing structural reforms to ensure a successful and sustainable LDC graduation.