Act fast on regional connectivity: analysts

Policymakers should act fast to tap the prospects of regional connectivity as the opportunities might not be around forever, analysts said yesterday.

“We not only have to look but also act,” said Debapriya Bhattacharya, distinguished fellow of the Centre for Policy Dialogue, at a discussion on regional connectivity as part of a two-day conference by the Bangladesh Institute of Development Studies.

Issues important for Bangladesh, its economy and ways to take the nation forward are being discussed at the event: BIDS Critical Conversations 2016.

Planning Minister AHM Mustafa Kamal yesterday inaugurated the event, which is being held at Bangabandhu International Conference Centre in Dhaka.

Bangladesh is in a very fortunate moment as all the big nations are taking interest in it for its comparative advantage, Bhattacharya said.

“There are many countries in the world where these opportunities have come and gone -- they missed the bus.”

He said it is necessary to show leadership and wisdom and to build consensus and alliances to realise the potential.

The participants in the discussion advised the policymakers to deal with issues with a balanced approach.

They also recommended solving various bilateral issues such as the Rohingya problem with Myanmar to realise the prospects of connectivity among China and South Asian and Southeast Asian nations.

Connectivity with India and the Asean region is important for Bangladesh, said Farooq Sobhan, president of Bangladesh Enterprise Institute, adding that one of the big challenges is establishing good relationship with Myanmar.

Bangladesh’s future will hinge very much on how fast it can develop its deep-sea port, he said. 

“Let’s build it in consortium. There is no need to put all our eggs in one basket, whether it is the Chinese basket or the Indian one. We should do what is in our best interest.”

One of the challenges for Bangladesh would be to strike a balance between the biggest neighbours, Sobhan said, adding that the government must invest in training diplomats to increase their skills.

“We need to gear up diplomacy. We need to invest much more on the conduct of our foreign policy, how we formulate it and how we engage with our major partners,” said Sobhan, a former ambassador.

Citing the need for attracting foreign direct investment, he said the government should clear the stalemate regarding the Korean Export Processing Zone.

“I have no satisfactory explanation why we cannot make the KEPZ fully operational when it is now ready to attract billions of dollars of investment.”

Instead, the government is talking about setting up 100 economic zones, which will take another five years to develop. “It makes no sense,” he added.

Muhammad Zamir, a former ambassador and secretary, echoed the same. “If you want to have FDI, you need to resolve the KEPZ issue. It is not a good example.”

Delwar Hossain, professor of international relations at Dhaka University, said Bangladesh should formulate its policies considering what is happening in the region. For instance, China's 'One Belt, One Road' policy should be considered when Bangladesh's policymakers discuss the issue of regional connectivity.

“Myanmar is going to be run by a civilian government and has taken up large infrastructure projects. India is also moving fast, establishing connectivity with Thailand, Vietnam as part of its Look East policy. They are moving fast.”

He said the rivalry between India and China must be sidestepped while tapping into the prospects of connectivity.

Mohammad Yunus, senior research fellow of BIDS, said Bangladesh should take a balanced approach to enhance peace, stability and prosperity.

At the inauguration, BIDS Director General KAS Murshid said Bangladesh has made strides in various areas and that contributed to economic growth and poverty reduction.

In particular, agriculture played a crucial role in poverty alleviation and employment generation, especially in recent years, he said.

“As is well-known, major gains have been made in education, health and gender parity,” he added.

Citing the latest Labour Force Survey, economist Hossain Zillur Rahman said only six lakh jobs have been created in the three years to 2015.

“Employment is a key area where we need to focus,” he said, adding that discussions stemming from the current economic growth rate can generate complacency.

Improving the quality of secondary education is essential to take the nation forward, he said. In the absence of quality education, a large number of foreigners work in various sectors, including garment.

“We get $15 billion in remittance but $5-6 billion is going out of the country every year for lack of skilled and educated workforce,” said Rahman, a former adviser to caretaker government.

He also touched upon the issue of Bangladesh becoming a middle-income country.

“Becoming a middle-income country is not an issue of per capita income. It is about the quality of life. We need to focus on a more inclusive middle-income discourse.”

Economics and politics will be important in the next journey of Bangladesh, according to Rahman.

“At present there is political stability but there is also uncertainty. It is a paradox.”