DHAKA, Jan 23, 2021 (BSS) – The newly elected Dhaka Chamber of Commerce and Industry (DCCI) president Rizwan Rahman today proposed to establish a SME Bond or specialized SME Bank in the country to safeguard Cottage, Micro, Small and Medium Enterprises (CMSMEs).
“I propose to establish a SME Bond or specialized SME Bank to safeguard CMSMEs in the country prior to separating cottage, micro and small industries from medium and large industry sector in the definition. Access to finance is one of the largest challenges for SMEs,” he said while addressing ‘Meet the Press’ at DCCI auditorium today.
Rizwan stressed the need for concentrating on product and market diversification right at this moment for the greater development of SMEs.
The DCCI president also proposed for enacting SME Development Act instead of SME Policy as a law will give the sector a legal framework.
He said the Global FDI has already come down by 50 percent due to global pandemic situation. In view of this, reduced FDI inflow to Bangladesh is not an exception.
“We may not see a robust FDI improvement overnight in this situation, but the government may consider facilitating home-grown local investors by giving them same incentives that a foreign investor enjoys. It will boost up our local investment,” he added.
The DCCI president said regulatory reforms and reforms in policy framework will help Bangladesh improve its position in various global competitive indexes.
Considering the present economic and investment scenario, he requested the government to slash corporate tax rate.
Moreover, to attract FDI, Rizwan said, this is the time to strengthen the country’s economic diplomacy.
He added Bangladesh is reviving its economy while Europe is still in shambles. “So, we may look into the East and Asian region for greater tie-up.”
Rizwan said to commemorate the birth centenary of Father of the Nation Bangabandhu Sheikh Mujibur Rahman and the golden jubilee of Bangladesh and to attract FDI, the DCCI this year has a plan to hold DCCI Investment Summit in the Asian region.
Answering to a question, the DCCI president said that the government has given another taka 2,700 crore as incentive out of which 54.13 percent has been disbursed.
He said that it will be more flexible soon and will get a better pace if the process is being eased.
Replying to another question regarding industry-academia collaboration, Rizwan said that DCCI has already signed MoUs with twelve universities. Effective industry-academia collaboration will help industries get skilled executives while academia will enhance skill development to face 4IR.
Talking about the LDC graduation, the DCCI president said some of the facilities that Bangladesh is enjoying now as being a LDC country will no longer be available after graduation from this status.
“But, it is inevitable, today or tomorrow we will be out of the LDCs, but for that we have to be prepared”.
He, however, said the government may ask for extension for few facilities after graduation. “But, we want to be a middle income country, we want to come out of the LDCs and we want to go ahead.”
Rizwan said, at the same time there is a need to improve in the global competitiveness indexes because after graduation, the country will have to be competitive with other countries.
DCCI Senior Vice President NKA Mobin, Vice President Monowar Hossain, Directors Md. Shahid Hossain, Golam Zilani, Hossain A Sikder and Nasiruddin A Ferdous, among others, were present, at the meeting.