Beza plans one-stop service for investors
Bangladesh Economic Zones Authority or Beza plans to launch a one-stop service to provide investors with investment-related services from a single platform.
Beza has recently sent a draft law on the service, especially for the foreign entrepreneurs for the prime minister's approval.
Once the law is enacted, investors will not face the hassles of going from one office to another for their work, said Paban Chowdhury, executive chairman of Beza.
The neighbouring countries, including Myanmar, have such services for investors, according to Chowdhury.
“We should introduce the service if we want to attract more foreign investment.”
He spoke at a pre-qualification licence awarding programme at the Beza office in Dhaka yesterday.
Beza officials said they have already signed a deal with a software development company—Business Automation Ltd—for installation of an integrated automated system.
Under the agreement, the investors will primarily be provided with five kinds of services: project clearance or proposal for investment, name clearance, work permit recommendation and permit for import and export.
Beza also identified 24 other services, which are required for taking investment decision, and included those in the draft law.
One-stop service means that a prospective client or investor will come to a place, where they will get all permission or approval they need without any harassment and as early as possible, he said.
At yesterday's programme, Beza awarded a prequalification licence to United Group, which will set up a specialised IT-focused economic zone in Dhaka to attract foreign entrepreneurs. United City IT Park Ltd, a concern of the group, will develop United City Economic Zone on 2.5 acres of land in the capital's Satarkul area.
As per the licensing conditions, United will have to make an environmental impact assessment, feasibility study and a master plan in the next one year. Upon satisfactory completion of the prequalification exercises, it will get the final licence and become eligible to enjoy tax exemption for 12 years.
It is the first prequalification licence from Beza for an IT-focused economic zone, said Chowdhury. “Our neighbouring countries are well ahead of us in the IT sector.”
India's export earnings from IT are around $82 billion, which is only $130 million for Bangladesh, he said. “We are hopeful that the United Group's effort to set up an IT park will open a new window for us.”
After receiving the licence, the park will provide quality office spaces so that foreign and other IT professionals can set up their firms at the economic zone, said Malik Talha Ismail Bari, managing director of United City IT Park Ltd.
Apart from the developers, entrepreneurs will get fiscal and financial incentives and other benefits that industrial units get in the export processing zones. By setting up a unit in an economic zone, investors will get the tax exemption facility for 10 years.
They will also enjoy Bangladesh's significant market access to developed and neighbouring countries, demographic dividends, the domestic consumer market and most importantly, the cheap labour force.
United Group started its journey in 1978 with a few small ventures. The group has investments in sectors such as power, healthcare, education, real estate and construction, port and maritime, textile and other manufacturing industries.
Prior to United Group, Beza has awarded licences to six local private sector companies to set up seven economic zones. These economic zones are part of the government's plan to develop 100 such zones by 2030 on 75,000 acres, to create jobs for one crore people and to produce $40 billion of products and services.
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