Bangladesh, Japan in discussion to coordinate connectivity with NE India amid China's Belt and Road Initiative
The plan involves adjusting tariffs, boosting connectivity and jointly courting investment, particularly from Japanese enterprises and is seen as a strategically important move amid China's Belt and Road Initiative
Bangladesh and Japan are in discussions to coordinate connectivity efforts with India's northeastern states to attract regional value chains and manufacturing to the region over the next five years, said a report by Indian financial daily newspaper Mint.
According to the report, the plan involves adjusting tariffs, boosting connectivity and jointly courting investment, particularly from Japanese enterprises and is seen as a strategically important move amid China's Belt and Road Initiative - an infrastructure development strategy adopted by the Chinese government in 2013 to invest in nearly 150 countries.
Citing people with knowledge of the matter, the report said that preliminary discussions for a joint approach are underway, and the initial response from Bangladesh has been positive while the matter is under discussion by the Indian government.
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As rising wages have forced manufacturers to look elsewhere for opportunities, the goal of such a joint collaboration is to lure investment toward Bangladesh and India's northeastern states from current manufacturing hubs in Southeast Asian nations like Thailand, the report added.
Japan has been active in sponsoring infrastructure projects in both Bangladesh and the northeast region of India. It has helped build the deepwater Matabari port in Bangladesh and funded road connectivity projects in India's northeastern provinces.
The full report can be read here
