Businesses breathe easy as BNP vows to restore order
They say the transition will bolster confidence among local and foreign investors and provide a much-needed signal for economic stability
Highlights:
- They say smooth polls ease political uncertainty
- Business leaders signal relief, investor confidence
- Credible vote seen boosting global trust
- Leaders call for action on law and order, corruption
On the eve of the much-anticipated national election, a leading businessman summed up the mood in the private sector in one sentence: restore law and order first, so businesses can regain confidence and emerge from the shadow of mobocracy.
The remark reflected a wider anxiety that has gripped boardrooms in recent months – uncertainty, sporadic unrest and a perceived erosion of authority had left many entrepreneurs cautious, some even paralysed in their expansion plans.
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On 12 February, after casting his vote, Tarique Rahman, chairman of the Bangladesh Nationalist Party (BNP), was asked by reporters about his top priority if his party forms the government.
His response was unequivocal: restoring law and order would be his number one priority.
For many in the business community, that clarity mattered. With the BNP securing victory, a sense of cautious optimism has begun to return. Entrepreneurs see the outcome as a shift towards a more business-friendly policy environment, anchored in stability.
"Buyers are very happy. They are communicating with us," said AKM Shaheed Reza, chairman of Reza Group, which exports garments primarily to European markets, as well as Turkey and the United States.
For exporters like Reza, improved law and order is not merely a political promise; it is the foundation upon which investments, supply chains, buyer confidence and long-term contracts depend. In the calculus of commerce, predictability is currency. And for now, businesses appear hopeful that stability may finally be within reach after one and a half years.
The victory of a liberal, centrist party like the BNP, instead of hard-line Islamist forces, will send a positive message to businesses and the wider international community.
Anwar-Ul Alam Chowdhury (Parvez), president, BCI
Anwar-Ul Alam Chowdhury (Parvez), president of the Bangladesh Chamber of Industries (BCI), told The Business Standard that the business community is largely relieved.
"We are relieved of the uncertainty over whether the election would take place or whether it would be conducted properly. Moreover, the victory of a liberal, centrist party like the BNP, instead of hard-line Islamist forces, will send a positive message to businesses and the wider international community," Parvez said.
Pointing to the global implications, he said the election outcome would help restore confidence abroad, which he described as critically important at this time.
"Had the election been flawed, the government might have faced difficulties within a year or so. But a credible vote suggests that the government is more likely to complete its full term," the BCI president added.
Parvez, who previously served as the president of the BGMEA, identified the new government's biggest challenges as restoring law and order, preventing what he described as "mob culture," and taking decisive action against corruption, extortion and illegal occupation.
Moving forward, stakeholders expect process simplification across the economy to enhance performance, reduce lead times, and optimise resources.
Azam J Chowdhury Chairman, East Coast Group
The BCI president also expressed hope that a strong opposition presence in parliament would keep the government under pressure on governance-related issues.
Azam J Chowdhury, chairman of East Coast Group, also emphasised that improving law and order must be the new government's immediate concern.
"Moving forward, stakeholders expect process simplification across the economy to enhance performance, reduce lead times, and optimise resources," he noted, adding that such administrative reforms "will not require any investment from the government."
Fazlee Shamim Ehsan, president of the Bangladesh Employers Federation, shared similar views, saying that a credible election and the victory of a moderate political force would be viewed positively by foreign stakeholders.
He noted that a disputed or chaotic election could have placed the new government under immediate strain and undermined business confidence. "Since the election has been widely accepted, it has brought a degree of comfort to the business community."
Ehsan, also executive president of the Bangladesh Knitwear Manufacturers and Exporters Association, added that sustained confidence among domestic and foreign businesses and investors will largely depend on how the new government addresses law and order, extortion, and corruption.
A widely accepted election has comforted businesses and victory of a moderate political force would be viewed positively by foreign stakeholders.
Fazlee Shamim Ehsan, president, Bangladesh Employers Federation
Stressing the importance of foreign relations, he said, "International relations cannot function amid mob culture. Bangladesh should now focus on improving ties with neighbouring countries and the global community."
Amirul Haque, managing director of Seacom Group and president of the Bangladesh Cement Manufacturers Association and the LPG Operators of Bangladesh, also said restoring confidence among investors must be a top priority.
"New investment is key to creating employment and boosting the local economy. Over the past one and a half years, the interim administration failed to attract fresh investment," he said.
Amirul urged the new government to hold continuous dialogue with stakeholders and establish a fast-track platform to facilitate investment proposals.
"Policies must be clear, transparent and accountable. If there is continuity in policy and institutional transparency, confidence among entrepreneurs will increase. Once that confidence is restored, businesses will expand production and invest more, which will directly contribute to job creation and higher revenue collection," he added.
Khairul Alam Sujan, former vice president of the Bangladesh Shipping Agents Association, said poor law and order over the past one and a half years discouraged many from making new investments.
"Stability is fundamental for business. The government must immediately stabilise the law and order situation and stop extortion," he said, adding that good governance and a corruption-free administration are essential to re-energise the economy.
Sarwar Hossain Sagar, president of the Bangladesh Ship Handling and Berth Operators Association, said enhancing efficiency at Chattogram Port should also be a priority.
"Our economy largely depends on export-import trade, most of which moves through Chattogram Port. Improving efficiency at both the port and customs authorities will help reduce costs and speed up trade," he said.
The BNP and its allies secured a landslide victory, winning 212 of the 297 seats, comfortably crossing the threshold to form a government. In contrast, the alliance led by Jamaat-e-Islami managed 77 seats, well short of the 151 required for a majority.
