Japanese Sumitomo Corporation and TOA Corporation resumed their operation of developing a Special Economic Zone for Japanese Businessmen at Araihazar Upazila in Narayanganj which has been delayed due to Coronavirus Pandemic.

However, Japanese International Corporation Agency (JICA) will soon disburse first installment of fund worth Tk 775 crore for launching the project as early as possible.

Besides, the government is undergoing some reform measures which included clearing Japanese export-import products from Airport and Seaport by 8 and 16 days respectively as Japanese businessmen sought earlier. A meeting held recently at the Prime Minister’s Office (PMO) presided over by Principal Secretary Ahmad Kaikaus, was discussed the matter, officials said.

The meeting also discussed about offering duty and tax holiday facilities to Japanese investors here n Bangladesh who have been facing severe financial crisis for the global pandemic.

Earlier, Executive Committee of National Economic Council (ECNEC) on March 05, 2020 approved a project costing Tk 2,582.18 crore for the development of Japanese Economic Zone within 2022. Out of the total project cost, JICA will provide Tk 2127.82 crore and rest of the fund will be managed from government exchequers.

Before the outbreak of coronavirus in December 2019, Japanese firm TOA Corporation won the contract for developing land and other related works for the construction of an exclusive economic zone for Japanese investors in Araihazar upazila of Narayanganj.

Besides Sumitomo Corporation President and Chief Executive Officer: Masayuki Hyodo has reached an agreement with the Bangladesh Economic Zones Authority which will develop, sell, and operate special economic zones market and hire Japanese Companies to the SEZ.

“ One of the world’s most populous countries, its 160 million people (1.3 times the number in Japan) reside in a land area about 40% that of Japan. It boasts a wealth of human resources, with labor force forecast to increase at an annual pace of more than 2 million over the next 20 years or so. With population likely to grow continuously until around 2055, expectations are high of Bangladesh as a consumer market, and there has been an uptrend in recent years in the number of foreign companies moving into the country,” the Sumitomo project the project at its website and brochure.

Sumitomo Corporation will hold a 76% stake in the SEZ and the remaining 44 per cent will held by Bangladesh Government. The project costs are projected to total over 13 billion yen.

Sumitomo Corporation is currently engaging in developing, selling, and operating special economic zones and industrial parks in Indonesia, the Philippines, Vietnam, Myanmar and India.

Bangladesh Special Economic Zone (BSEZ), dedicated for Japanese investors, is expected to bring in foreign investment worth US$20 billion. The Special Economic Zone (SEZ) being developed on 1,000 acres of land in by 2022.