Law and order concerns put investor confidence at risk: BKMEA president
Investments will not come if the country’s law and order situation continues to be like what it is now, says the BKMEA president
The current state of law and order could deter potential investors from investing in Bangladesh, warned Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)
"The interim government is working to improve the current business environment. However, they have overlooked the importance of consulting with relevant business groups," he said while addressing a discussion titled "Labour Rights and Decent Work: Role of Media," organised by the Bangladesh Labour Rights Journalists Forum in the capital today (8 February).
Hatem said, "Many factories have been shut down, and some are on the brink of collapse. We urgently need government policy support to help keep these factories running."
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He further mentioned that around 1,350 trade unions have been registered in the country's ready-made garment (RMG) sector. However, most were established by external groups, such as labour federation leaders, rather than those representing the genuine interests of factory workers.
"Among these trade unions, more than 700 are currently inactive. We advocate for labour rights with a strong sense of responsibility," he added.
Hatem, also the owner of MB Knit Fashions, an export-oriented RMG factory, criticised Bangladesh's tax policy, calling it unfavourable for business and investment.
Giving examples, he said the National Board of Revenue (NBR) has imposed taxes that go against global standards.
"For example, businesses must pay taxes even when they suffer losses, and we do not get refunds for tax deducted at source (TDS)," he said. He warned that if this issue remains unresolved, potential investors may hesitate to invest in Bangladesh."
Bangladesh Labour Rights Journalists Forum President Kazi Abdul Hannan presided over the discussion, while General Secretary Ataur Rahman, Assistant General Secretary Alamgir Hossain, Bangladesh Labour Foundation's Deputy Director of Programs Mahmudul Hasan Khan, and Bangladesh Tannery Workers Union General Secretary Abdul Malek also spoke at the event.
