US firms concerned over unrest in industrial zones

American companies operating in Bangladesh yesterday expressed concern over the law and order, especially in light of the recent unrest in industrial zones, and also highlighted issues regarding profit repatriation amid the ongoing dollar crisis and challenges in the supply chain resulting from congestion at ports.
The concerns were expressed at a meeting between leaders of the American Chamber of Commerce in Bangladesh (AmCham) and a visiting US delegation, led by Brent Neiman, assistant secretary for international finance at the US Department of the Treasury.
Jerrod Mason, a director of the US Treasury Department, and Helen LaFave, chargé d’affaires (ad interim) of the US Embassy Dhaka, were also present at the meeting, attended by the top executives of around 10 US companies operating in Bangladesh.
The meeting took place after Neiman arrived in Dhaka yesterday morning as part of a high-profile US delegation to focus on trade and challenges in the economy, including a US dollar shortage and money laundering.
This is the first visit by any US delegation to Dhaka after the formation of the interim government led by Professor Muhammad Yunus.
Following the meeting, the US Embassy in Dhaka, on its X handle, said US businesses play a positive role in many facets of Bangladesh’s economy, from energy security to data centres to transportation.
“With the right economic reforms in place, the American private sector can help unlock Bangladesh’s growth potential through trade and investment,” it added.
AmCham President Syed Ershad Ahmed said they discussed the condition of the business ecosystem after the political changeover.
“There have been improvements in some areas after the interim government was sworn in. There are some bottlenecks too,” he said after the meeting, adding that the visiting delegation had received feedback from US businesses here.
Ahmed further said that businesses faced harassment by officials of the National Board of Revenue in the past.
“Now we have noticed that the attitudes of the tax and customs officials have become positive. They are now supporting us,” he said. “Challenges remain in terms of law-and-order. Focus should be given here. It is vital to make the police active.”
Top executives expressed concern over the current unrest in industrial zones, which has been hurting the production and transport of goods.
“Unrest and factory closures will affect investment,” said a top official who attended the meeting.
Ahmed added that businesses were facing challenges in the supply chain because of logjams at the ports, which is affecting the smooth shipment and clearance of exported and imported goods.
“We have not seen enough improvement in the supply chain. Improved management of ports is needed,” he said.
On the other hand, business executives expressed problems in repatriating dividends out of Bangladesh due to a persistent US dollar crisis.
“Companies also highlighted the issue of government dues for energy purchase,” a participant said, adding that issues related to the consumer goods business and digital economy also came up during discussions.
The AmCham president added that the interim government had several planned initiatives to reform the banking sector and act against corruption.
Eric M Walker, AmCham vice-president and president of Chevron Bangladesh, Ala Uddin Ahmad, MetLife chief executive officer in Bangladesh, and Syed Mohammad Kamal, country manager at Mastercard, were also present at the meeting.
Others present were Md Moinul Huq, country officer of Citibank, NA in Bangladesh, Md Yousup Faruqu, managing director for Bangladesh at Microsoft, and Niraj Kumar, managing director of Colgate-Palmolive ACI Bangladesh Pvt Ltd.