Bangladesh-China FTA to help alleviate inflation in Dhaka: Envoy

Chinese Ambassador to Bangladesh Yeo Wen has said the under discussion free trade agreement (FTA) between Dhaka and Beijing will help reduce inflation in Bangladesh decreasing tariff of goods imported from China as the deal will lead to a decline in import prices.

“Overall tariff on goods imported from China to Bangladesh will significantly decrease after the signing of the FTA, leading to a reduction in import prices. This will have an immediate effect on alleviating inflation in Bangladesh,” he said, reports BSS.

The envoy was speaking at a seminar titled “China-Bangladesh Free Trade Agreement: A Mutually Beneficial and Win-Win Choice”, organised by the Chinese embassy here in collaboration with Bangladesh China Chamber of Commerce and Industry (BCCCI) and Chinese Enterprises Association in Bangladesh (CEAB) at the Chinese mission here on Sunday evening.

The Chinese ambassador said Beijing stands ready to work together with Bangladesh to announce the conclusion of the feasibility study of the China-Bangladesh FTA in the near future.

China also strives to officially initiate negotiations within this year, so as to conclude the negotiations before 2026, commencing the building of a bilateral free trade zone, he added.

“The early signing of the China-Bangladesh FTA will undoubtedly open a new chapter of mutual benefit and win-win cooperation, ushering in a new golden era of economic and trade cooperation between China and Bangladesh,” said the ambassador.

He said the China-Bangladesh FTA will also make China’s investment in Bangladesh more convenient and efficient, thus make further contribution in creating employment opportunities, upgrading industries and diversifying exports.

“With the China-Bangladesh FTA poised to provide a top-level framework for bilateral cooperation, our economic and trade relations are set to embrace a more sustainable, stable and healthy development momentum,” he added.

The envoy said signing FTAs with other countries is an inevitable choice for Bangladesh to achieve its Vision-2041.

Earlier this year, he said Bangladesh successfully held its general election while the utmost priority for the new government is to achieve stable economic development and graduate from the Least Developed Countries (LDC).

“Signing FTAs with other countries is therefore regarded as a crucial way to achieve these goals,” he added.

State Minister for Commerce Ahasanul Islam Titu spoke at the seminar as the chief guest, highlighting various aspects of the bilateral relations.

Chairman of RAPID Dr Mohammad Abdur Razzaque, BCCCI Secretary General Al Mamun Mridha and CEAB President Ke Changliang also spoke, among others.