bdreports24.com :
The flow of foreign direct investment (FDI) to Bangladesh declined marginally by 4.0 per cent in 2014 after three years’ of upswing.
Provisional statistics available with the Bangladesh Bank revealed that the FDI inflow last year stood at $1.53 billion (153 crore), down from around $1.60 billion in 2013.
The FDI inflow last declined in 2010 to $913.3 million from $960.6 million in 2009. For the next successive years, the FDI flow kept rising significantly, reports the Financial Express.
The fall in FDI last year reflects flagging confidence of foreign investors even in a year which passed off with almost no political instability.
Throughout the year after the national election on January 5, 2014, there was little disruption in economic and social life following 2013 that saw full-scale political violence.
Professor Mustafizur Rahman, executive director of the Centre for Policy Dialogue (CPD), attributed the decline in FDI flow to the negative effect of political disturbances that took place in the second half of 2013.
“Many of the potential investors, who signed memorandums of understanding for investing in the country in 2012 and 2013 didn’t come later,” he told the FE. “The political instability makes them shaky.”
Professor Mustafiz, however, did not view the decline as a big setback. “What happened actually is we have lost the momentum the FDI flow gathered in the previous years,” he added.
The flow of foreign direct investment (FDI) to Bangladesh declined marginally by 4.0 per cent in 2014 after three years’ of upswing.
Provisional statistics available with the Bangladesh Bank revealed that the FDI inflow last year stood at $1.53 billion (153 crore), down from around $1.60 billion in 2013.
The FDI inflow last declined in 2010 to $913.3 million from $960.6 million in 2009. For the next successive years, the FDI flow kept rising significantly, reports the Financial Express.
The fall in FDI last year reflects flagging confidence of foreign investors even in a year which passed off with almost no political instability.
Throughout the year after the national election on January 5, 2014, there was little disruption in economic and social life following 2013 that saw full-scale political violence.
Professor Mustafizur Rahman, executive director of the Centre for Policy Dialogue (CPD), attributed the decline in FDI flow to the negative effect of political disturbances that took place in the second half of 2013.
“Many of the potential investors, who signed memorandums of understanding for investing in the country in 2012 and 2013 didn’t come later,” he told the FE. “The political instability makes them shaky.”
Professor Mustafiz, however, did not view the decline as a big setback. “What happened actually is we have lost the momentum the FDI flow gathered in the previous years,” he added.
