Rothschild Group looks to link up with Bangladesh businesses

Edmond de Rothschild Group, the family-owned European banking group, has expressed willingness to help Bangladesh's family-run businesses connect with enterprises abroad to expand their footprint internationally as well as attract investors.  

Speaking to a group of entrepreneurs in Dhaka yesterday, Julien Pitton, managing director of Edmond de Rothschild Corporate Finance, said the group has been Europe-centric for more than three centuries.

Now, the company, based in Switzerland, is increasing its focus on Asia as the continent is growing.

“Hopefully, Bangladesh's family-run businesses and their peers in Europe will be able to connect each other and benefit. Our aim is to create a sustainable link between them,” he said during an event organised by the City Bank at Le Meridien.

Pitton and Jogishwar Singh, another managing director of Rothschild Group, are now in Bangladesh for a four-day tour to establish contacts with prominent entrepreneurial families and business houses.

During their tour, they will meet with top ministers and visit a number of established family-run enterprises.

The de Rothschild family traces its banking roots seven generations back to Mayer Amschel Rothschild.

He started a banking business in Frankfurt in the 18th century, which expanded to the financial centres of Europe.

The company has about $168 billion in assets under management and about 2,800 employees.

Singh said: “Someday, Bangladesh's family-run businesses might plan to look beyond the physical boundary of Bangladesh, acquire businesses abroad or sell their businesses. We can help you. We can give you quality network through our customer base.”

Sohail RK Hussain, managing director of City Bank, said Bangladesh offers tremendous opportunities for investment in areas such as energy, ICT, telecom, infrastructure, healthcare and education.  There are also opportunities in areas such as garment, household textiles, leather processing, pharmaceuticals, engineering, agro products, food and beverages and electrical appliances, he said. 

Gowher Rizvi, international affairs adviser to the prime minister, said Bangladesh has the stability that the international investors want.

“We also offer policy continuity. Our domestic institutions are designed to provide safety valves to foreign investors.”

He said foreign companies do not face problems in repatriating their profits from Bangladesh. “The exit policy is the easiest,” he added.

Shitangshu Kumar Sur Chowdhury, deputy governor of Bangladesh Bank, said the country's law protects foreign investors.

Bangladesh Bank Chief Economist Biru Paksha Paul said the debt-GDP ratio in Bangladesh is less than 30 percent and it is one of the lowest in the region. It means that Bangladesh can borrow a lot of funds from outside, he said.

Abu Rashed, an adviser to the public private partnership office under the Prime Minister's Office, said there are 16 projects where investors can put their money.

Mashrur Arefin, deputy managing director of City Bank, moderated the seminar.