Tarique Urges Japanese Investment in Energy, Rail, Technology

Prime Minister Tarique Rahman on Wednesday invited Japanese companies to invest in Bangladesh’s priority sectors, including automotive manufacturing, energy, technology, space science, high-speed rail and logistics, pledging government support and reforms to improve the business environment.

Addressing the Bangladesh-Japan Economic Forum Dialogue at the Japan External Trade Organization (JETRO) headquarters in Tokyo, he said the two countries should take their longstanding relationship to a new level through trade and investment following the signing of the Economic Partnership Agreement (EPA), Bangladesh’s first such agreement with any country.

The dialogue was organised by JETRO in cooperation with the Japan-Bangladesh Committee for Commercial and Economic Co-operation (JBCCEC), with support from the Bangladesh Embassy in Japan.

JETRO President Susumu Kataoka delivered the opening remarks, while Japan’s Parliamentary Vice-Minister of Economy, Trade and Industry, Shinji Wakayama, addressed the event as a guest speaker.

The programme also featured an exchange of memorandums of understanding (MoUs) and announcements of investment and cooperation projects.

The Prime Minister highlighted Bangladesh’s market of more than 180 million people, young workforce with a median age of 27 and expanding middle class. He said the country was projected to become one of the world’s top 10 consumer economies by 2030, with annual GDP expected to exceed US$1 trillion by 2034.

Under the EPA signed by Bangladesh and Japan in February this year, 7,379 Bangladeshi products will enjoy duty-free access to the Japanese market, while Japanese goods, including steel, automotive parts and electronic components, will receive preferential access to Bangladesh, he said.

“Investors on both sides will benefit from recently simplified and progressive rules on investment, services and customs procedures,” Tarique said.

He noted that Japanese automotive manufacturers, major retailers and agricultural machinery developers were taking steps to establish factories in the Japanese Economic Zone in Araihazar, pledging government support for their initiatives.

The Prime Minister said Japanese companies had raised three key concerns: reliable energy, efficient infrastructure, and predictable customs clearance and taxation. His government had already addressed some of the issues and was working to resolve the remaining ones, he added.

“I fully understand that businesses need certainty. Investors need confidence. Our job is creating the right environment to deliver both,” he said.

Tarique said Bangladesh aimed to transform itself into a global manufacturing hub, offering investors access to a large domestic market and competitive production factors for exports to international markets.

In the energy sector, he invited Japanese companies to explore Bangladesh’s future energy needs and participate in energy infrastructure, efficient power generation and renewable energy projects.

He said Bangladesh was planning to establish a Bangladesh-Japan Technology Park focusing on artificial intelligence, cloud computing, robotics and electronics manufacturing, with the involvement of Japanese companies, universities and investors.

Tarique also called for cooperation with Japanese institutions in space science, satellite engineering and related technologies to strengthen Bangladesh’s capabilities in the sector.

On rail and logistics, he said Bangladesh planned to develop a nationwide elevated high-speed rail network connecting six major divisional cities.

The government intends to prepare a national master plan, assess passenger and freight demand, prioritise routes and conduct feasibility studies, he said, inviting Japanese institutions to invest in the initiative.

Emphasising people-to-people ties, the Prime Minister said Bangladesh wanted to prioritise Japanese-language education so that more young people could learn the language alongside technical skills.

He said skilled Bangladeshi professionals proficient in Japanese could help meet employment needs in both countries.

Recalling Japan’s recognition of Bangladesh in February 1972 and its role as the country’s largest development partner for more than five decades, Tarique said the two countries should translate their longstanding friendship into a stronger partnership that creates opportunities and shared prosperity.

“Our ambition is clear: Let us turn our long-standing friendship into a stronger partnership. Let us create mutual opportunities for our people and businesses, and prosperity for both our great nations,” he said.

Finance and Planning Minister Amir Khosru Mahmud Chowdhury spoke about building an investment-led economy in Bangladesh, while Invest Bangladesh Authority Chairman Ashik Chowdhury outlined reforms and new initiatives to facilitate investment.

Kenichiro Kawamoto, branch general manager and country chairperson of Mitsui & Co. (Asia Pacific) Pte. Ltd.’s Dhaka branch, delivered a presentation titled “Together for a Brighter Bangladesh”.

Reisuke Aratani, vice-president of YKK Corporation’s Global Sales Headquarters, presented the company’s business journey in Bangladesh and its prospects.

Prime Minister’s Adviser Rehan Asif Asad also spoke about emerging businesses with high growth potential in Bangladesh.