A REPORT published in a local English daily highlighted how the establishing of Special Economic Zones (SEZs) are facing obstacles after government agencies denied funds to finance the prospective venture of the government to attract local and foreign investors with ready infrastructure. The report said that unavailability of funds from the Finance Ministry and the Bangladesh Infrastructure Financial Fund Ltd (BIFFL) have forced the Bangladesh Economic Zones Authority to drop its plan to start the project immediately, at least in the remaining period of the current financial year 2014-15. Finance Ministry sources also shared how the Finance Ministry advised the BEZA to prepare a development plan proposal so that the required fund could be earmarked in the next year’s annual development plan allocation.
Further information from the report shows that BEZA cannot expect a sum of Tk 3,000 crore for land acquisition to implement special economic zones from the revenue budget in the middle of the current financial year and the fund was sought for acquiring nearly 9,500 acres of land to implement four first-tracked SEZs. The zones are in Sirajganj on an area of 1,035.93 acres of land, at Sherpur (Moulvibazar) on 353 acres, at Mirsharai on 6,615.12 acres and at Anwara (Chittagong) on 1,389 acres of land. Expressing inability to give any fund, the Finance Division of the Ministry asked the BEZA recently to seek their required fund from the BIFFL but the BIFFL also could not deliver any positive outcome for the BEZA as the BIFFL expressed its inability to finance the projects as they are mandated to invest only in ventures that are linked to public-private partnership initiatives. The World Bank previously shared its reservations in providing funds for BEZA initiatives and alternative funding through ADP would take over a year, added with time spent on procedural provisions.
Apparently the BEZA move was seen as a way to improve our economy after potential investors from China, Japan and South Korea expressed their interest to invest in the proposed economic zones. After going over the current situation though, this seems like nothing but another inefficient attempt by the government at planning potential projects to improve the economy. Any layman informed about this would probably ask a very simple question- why approve a multi-million taka project if you have no money to fund it from the start? Even the SEZs would probably help improve the economy by feeding foreign business investment into it, but alas it seems that the government did not yet again keep necessary provisions to initiate the project or think such a huge venture through.
Such haphazard irresponsible behaviour and improper planning is one of the reasons behind millions of taka wasted every year and show how inept the public officials have become. What could have been a smart endeavour to invite foreign investment and improve the economy will now take a back seat while the nation suffers yet another blow because of raging political chaos.
