BANGLADESHSee this report at worldfolio.co.ukMonday, December 19, 2011

Bangladesh’s Prime Minister Sheikh Hasi-na has affirmed before parliament that

her government is “for the people, by thepeople and of the people.” She further echoedthis sentiment when she visited DavidCameron at Number 10 on January 27, 2011,saying: “My agenda is very clear, I wantto build up my country as a poverty-free,illiteracy-free country, and I want to makesure that our people get healthcare, healthservice and education.”

In the past, Bangladesh has been un-fairly satirised as “Bang-the-dish” and ithas come a long way since Henry Kissingerdubbed it an international “basket case”40 years ago. In fact, last year the WallStreet Journal suggested that Pakistancould learn about economic growth andconfronting terrorism from its former east-ern province in an article headed“Bangladesh, ‘Basket Case’ No More”.

The UN has also lauded Bangladesh in itsprogress toward achieving its MillenniumDevelopment Goals, Bangladesh was oneof six countries in Asia and Africa feted forits progress toward achieving those goals.It has a rapidly expanding economy and isone of the world’s major exporters of ready-made garments.

The world’s third most populous Muslim-majority country has also taken a strongstance against global terrorism and con-fronts any radical ideology that may fan itsflames. During a recent three-day visit, Ger-man President Christian Wulff calledBangladesh a “stabilising force” in South Asiaand commented: “Bangladesh is a key part-ner for Germany when it comes to tacklingglobal challenges, including the question ofhow we can together contribute to improvedunderstanding across cultural and religiousboundaries.”

Bangladesh was previously the bread-basket of the region, earning it the name

“Golden Bengal” in pre-industrial days. Itsinfrastructure was destroyed during thewar of independence of 1971. In addition,natural disasters hit developing countrieshardest and Bangladesh was recently iden-tified by the Global Climate Risk Index as thecountry most affected by extreme weath-er events between 1991 and 2010. Unsur-prisingly, the government is tackling glob-al climate change, food security and pover-ty confidently.

In 2005, the poverty rate in Bangladeshwas around 40 per cent; by the end of lastyear it had fallen to 31.5 per cent, puttingthe government’s Poverty Reduction Strat-egy on a good footing to hit its goal of lift-ing 12 million people out of poverty by 2015.

So what is behind the poverty rate fallingby almost a quarter in just five years? In arecent interview with The Washington Post,the Prime Minister attributed it to a combi-nation of factors, saying: “We have beentrying to find the root causes of povertyand how we could reduce it. We wanted toensure food security so we put all our forceinto producing more food and also the dis-tribution system so that food should firstreach the poorest of the poor. Then we triedto create job opportunities for them in therural areas. Now our farmers can open bankaccounts with 10 taka [8 pence], a verysmall amount, and the subsidy we givegoes directly to the farmer. So they use thismoney for cultivation and also it creates jobopportunity.

“We also established one bank to createjob opportunities for the younger genera-tion. Without any collateral, they can takeout a loan from the bank to start a business.I believe that educating our people will al-so help to reduce the poverty level. So oureducation is free up to primary level foreveryone, and for girls it is free up to highschool level.”

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Bangladesh has been lauded for its poverty-reduction efforts and hailed a “stabilising force” in South Asia

Accomplishmentbeyond expectation

In forty years since independence this undersized countryhas achieved oversized feats, but how?

As part of her election manifesto, Prime MinisterSheikh Hasina promised to make Bangladesh amiddle-income country, particularly influential inthe ICT sector, by 2021

Vision 2021: Digital Bangladesh is the result of PrimeMinister Sheikh Hasina and her government’s pledgeto make Bangladesh a middle-income country, par-ticularly influential in the information, communica-tion and technology (ICT) sector, by 2021.

The roadmap for this technological advancement fo-cuses on four elements: human resource development,

people involvement, civil services and use of infor-mation technology in business. The initiative is al-ready taking shape and gaining global attention.

The inauguration of the first Bangladesh-assembledlaptop, called Doel, in October by the Prime Ministerheralded a major step forward in widening access toICT across the country.

At the launch, the Prime Minister highlighted thevarious steps the government has taken for the ad-vancement of Bangladesh through launching web por-tals, setting up e-centres at district levels and with-drawing tax on computers.

Publicly owned Telephone Shilpa Sangstha (TSS)has been assigned to manufacture the cut-price com-puters and has so far made 6,000 laptops and net-books for sale. The product range comprises one lap-top and three netbook models. The netbooks arecheaper and have lower specifications than their lap-top counterpart and prices for the Doel computersrange between Tk 10,000 and TK 26,000 (£85-£220),depending on their configuration.

A month later, at the opening of the One-Stop Ser-vice Centre in Dhaka on November 14, 2011, UN Sec-retary-General Ban Ki-moon remarked: “Digital

Bangladesh is becoming a reality [...] And that is whatpeople across Bangladesh can see with their owneyes.

“Vital services are being provided quickly and af-fordably. Modern electronic systems have replacedcentury-old, heavily bureaucratic manual adminis-trative practices.

“Women have new venues for empowerment. Cut-ting out middlemen reduces corruption. And insteadof travelling long distances for such services, peo-ple in all 64 districts now have, as the slogan so apt-ly puts it, service at their doorsteps.”

“Digital Bangladesh is becoming a reality”

BBAANNGGLLAADDEESSHH PPRROOJJEECCTT TTEEAAMM:: ANDREW MACHAJ, SOPHIA SHEPODD, MAX GAJDEL. RREEGGIIOONNAALL DDIIRREECCTTOORR: VINCENT RIFICI.

At home, Bangladesh’s newfoundstability under the Awami League

government is allowing the country toflourish with the introduction of a moreefficient bureaucratic system and reg-ulatory reforms. Overseas, it is in-creasingly taking a more significantstance on the world stage on a rangeof issues, including climate change,women’s empowerment and poverty re-duction. Furthermore, while manycountries around the world search forways to break out of serious financialdifficulties, Bangladesh has never de-faulted on its payments or gone bank-rupt.

“Bangladesh is probably one of thebest-kept secrets,” says Dr Dipu Moni,Bangladesh’s Minister of Foreign Af-fairs. “The perception around the globein many areas is due to the interna-tional media. Whenever they talk aboutBangladesh they talk about the chal-lenges, the floods, the cyclones andboats capsizing, as well as overpopu-lation and climate change. But they donot talk about the other realities.”

Bangladesh is the seventh most pop-ulous country in the world. Its popula-tion exceeds 158 million people – rough-ly half that of the United States – in anarea only twice the size of Ireland. Yetdespite such population density, anda reduced availability of agricultural land, it nowmeets almost 100 per cent of its domestic food re-quirement. By comparison, in the 1970s its popu-lation was half it is today and only about 60 per centof its food crop was produced. “This is a great achieve-ment,” says Dr Dipu.

The Minister attributes the resilience and adapt-ability of the people as the country’s greatest as-set that should be acknowledged internationally.Climate change, overpopulation, poverty, the strug-gle for rights, and the sacrifice of lives for an inde-pendent, democratic country are all cases whereBangladeshis have had a chance to show their truecolours.

“In any part of the world you have natural or man-made disasters or riots, looting and all sorts of things.But here, even during the worst disaster, peoplecome together and help each other. They are hardworking and honest, and the best thing is that theyhave never accepted anything less than democra-cy,” says Dr Dipu. “This is a country where, despiteall these challenges, we are achieving our Millenni-um Development Goals (MDGs).”

People-to-people links are at the core of the closerelationships that exist between the UK andBangladesh. Today, almost half a million British na-tionals are of Bangladeshi origin – a communitywhose contributions to UK society have not just im-pacted on the nation’s palate, but are also visible ingovernment, politics, business, law, education, in-novation and technology.

The UK has provided a great deal of support forBangladesh since its liberation in 1971. The De-partment for International Development (DFID) inthe UK has the largest bilateral grant aid programmein Bangladesh. It has pledged to spend an averageof £250 million per year on development initiativesthere until 2015. According to the British High Com-mission in Dhaka, the UK is also looking to supportthe Bangladeshi leadership in key international

institutions, for example in the latter’s role as a ma-jor provider of UN peacekeeping forces and in mul-tilateral bodies responsible for climate change ne-gotiations.

Prime Minister David Cameron welcomedBangladesh’s Prime Minister Sheikh Hasina on hervisit to London in January, commenting: “We havea good and strong relationship between Britainand Bangladesh. We have a great shared in-terest in tackling issues like climate change.”

In addition, both Britain and Bangladeshhave been targets of indiscriminate ter-rorist violence. During the January vis-it, both leaders reaffirmed their com-mitment to continue working together tocounter the threat by building up the ca-pacity to pursue terrorists and protectagainst attack, and also through ad-dressing the root causes of extremism.

“We have now become an example to theworld in terms of disaster management wherewe have involved the whole community in a disastermanagement programme. We have also becomean example in terms of counter terrorism and counterextremism,” says Dr Dipu. “In our society there isno room for extremism or terrorism because peo-ple do not like it. Even though at some point in our

history some regimes did supportthese groups, the population reject-ed it completely.”This determination to draw the lineat ex tremism has al lowedBangladesh to become a pluralistsociety where ethnic and religiousharmony is present, not becauseof any imposed force, but ratherfrom something that has comefrom within. Dr Dipu says, “The in-fluence of Buddhism is where menare carriers of knowledge, butwomen are carriers of wisdom. TheHindu influence is also there. InIslam the first person to becomea martyr was a woman, and in ourProphet’s life there was a great in-fluence of women around him.There is violence against women inthis society, like anywhere, but inour culture there is a special placefor women.” Dr Dipu is a f irm advocate ofwomen’s participation in politics.She is one of two master trainerswho have trained women politicalactivists under a programme shehelped design and implement inclose relationship with the NationalDemocratic Institute (NDI) of theUS. “This is a great country forwomen and everyone, because if

women move forward, then the whole countrymoves forward,” she says. Dr Dipu has alsoplayed an important role in many other sectors,including health and human rights, both local-ly and globally.

The Foreign Minister stresses the importanceof good international relations. “Our main mot-to with regard to our foreign policy is to be friendswith everyone,” she says. The US is Bangladesh’sbiggest trade partner and largest source of for-eign direct investment, followed by the UK. It al-so has growing business, trade and investmentrelationships with China. Dr Dipu adds: “If youlook at our infrastructure, a sizeable proportionof it has some kind of Chinese influence. We aredefinitely looking forward to cooperating in theenergy, power and infrastructure sectors, aswell as other areas including science and tech-nology, agriculture, research and innovation.”

BANGLADESH2An advertisement supplement by UPPER REACH

CLIMATE CHANGE

Tackling the issues

Presenting Bangladeshto the rest of the worldHighly educated, independent and q

u

Our people areour greatestasset.”

DR DIPU MONI, Minister of Foreign Affairs“

Bangladesh has to meet the challengespresented by extreme weather

Bangladesh is one of the most unfortunate coun-tries in the world with regard to climate change. De-spite the fact that it does not contribute to these neg-ative changes, Bangladesh is paying the price for oth-er countries’ industrialisation.

Although various states have made promises toBangladesh to help combat the issues it faces, feware following through with actions. “The UK is prob-ably one of the very few countries which has keptits promise in terms of helping with mitigating cli-mate change. They have come up with some funds,whereas many others, although they pledged to doso, did not come up with any funding,” says Dr DipuMoni, Minister of Foreign Affairs.

Both the northern and the southern parts ofBangladesh are affected, in differing but harmfulways. Previously, Bangladesh’s summer lasted fortwo to three months. Now, however, as the heat in-creases, so does the duration of summer, whichnow lasts from five to six months. Gradually, riverswill dry up and the northern half of Bangladeshcould turn to desert. An extreme drought would de-stroy the fertile land that allows Bangladesh togrow its own food, maintain its self sufficiency,and contribute to the country’s main source ofGDP: agriculture.

Tropical cyclones have also taken an unexpect-ed turn for the worse, with their numbers and strengthincreasing. These stronger and more frequent cy-clones increase the size and speed of high tidewaves, causing more flooding. Many places are grad-ually sinking in the amount of water that pours overthe land. Thousands of people and animals die, andthe water’s salt content destroys any standing crops.

It is universally recognised that Bangladesh isvulnerable to these climate changes because it islow lying, located on the Bay of Bengal in a delta, anddensely populated. As a result of these problemat-ic changes, the government is putting special em-phasis on the conservation of the environment andits development. The government has undertakenintegrated policies and plans to protect the countryfrom the impact of global warming by building pol-lution-free environments and protecting water re-sources: 134 programs have already been launchedto aid in these changes, as promised by the gov-ernment in its election manifesto.

Bangladesh hosted the CVF (climate vulnerableforum) in November in Dhaka, which gave Bangladeshnew visibility in its fight against climate change.

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The relationship between the two countries is a long-standing friendship with a big future

“We have a strong working relationship withBangladesh and shared interests globally and do-mestically,” explains British High Commissioner toBangladesh based in Dhaka, Mr Robert Gibson.

Britain is a close partner, not least on the com-mercial front. “The UK is the largest investor inBangladesh with a cumulative total of approximately£2 billion at the moment. There are over 50 Britishcompanies operating throughout the country,” saysMr Gibson.

Encouraging private investments benefits eco-nomic and social development and increases em-ployment. “The benefit for a company operating hereis the large workforce. Bangladesh is a huge ex-porter of labour around the world. Inside Bangladeshthere is a large workforce available for companies,”adds the High Commissioner.

The UK has the largest bilateral grant aid pro-gramme in Bangladesh, aimed at helping over 15 mil-lion people living in poverty. The aim is to assist thepoor with improved education, better family planningand the development of technical skills among em-ployment seekers. “Through its education programme,the UK’s Department for International Development(DFID) hopes to ensure there is virtually 100 per centprimary education across the country and that themajority of children stay in education and that thisis of good quality,” adds Mr Gibson. “We enjoy ashared vision in global affairs, and one of the areaswhere we cooperate is climate change.”

Undoubtedly, the strongest bond that exists be-tween Bangladesh and the UK is the people-to-peo-ple connection. Personal and family ties stretchacross and beyond borders in such a way that a fu-sion of cultures could be said to have taken place.The UK is home to an estimated half million nation-als of Bangladeshi descent, and is the firm choiceof destination for studying abroad, while Bangladeshiculinary tastes now form part of the British palate.There is even the mutual passion for cricket! So, fora multitude of reasons, the strong bond betweenBangladesh and the UK promises to be a long-termrelationship.

“Forty years after independence, Bangladesh israpidly emerging on the global stage. This is a coun-try with enormous potential and opportunities. Thebiggest treasure is undoubtedly the people – theyare dynamic, resourceful and full of aspiration,” con-cludes Mr Gibson.

Once one of the world’s poorest nation’s,Bangladesh has made some remarkableachievements in the fight against poverty andimproving social and economic prospects forits people

“Out of adversity comes opportunity,” BenjaminFranklin once famously declared, and a year af-ter a devastating civil war brought independenceto East Pakistan, as Bangladesh was formerlyknown, Sir Fazle Hasan Abed left his executive ac-countancy position at Shell Oil and devoted him-self to helping fellow Bangladeshis help them-selves. He believed that to change poverty, youhad to change society, especially in rural com-munities.

Founded in 1972 and dedicated to empoweringthe poor to bring about change in their own lives,his multiple award-winning BRAC project – whichstarted as an acronym (Bangladesh RehabilitationAssistance Committee) and became a motto,“building resources across communities” – haspioneered a business-like approach to tacklingthe realities of poverty and has arguably becomethe most successful non-governmental organi-sation (NGO) on the planet.

The unleashing of human potential throughself-reliance is at the core of BRAC’s operations.After initially being involved with relief work,BRAC has developed support services in the ar-eas of human rights and social empowerment;education and health; economic empowerment

and enterprise development; livelihood training;environmental sustainability; and disaster pre-paredness.

According to Subinay Nandy, country direc-tor, China, at the United Nations DevelopmentProgramme: “BRAC is the world’s largest devel-opment organisation and is doing tremendouswork impacting the lives of millions. BRAC is

making a significant contribution toBangladesh, making huge leaps

forward in meeting the Mil-lennium Development Goals.”In his book Freedom fromWant, Ian Smillie refers toBRAC as “undoubtedlythe largest and most

variegated social experiment in the developingworld. The spread of its work dwarfs any otherprivate, government or non-profit enterprise inits impact on development.”

BRAC launched its microfinance programmein 1974 to provide the poor with the economic toolsto fight their own way out of poverty, which nowdistributes around $1 billion (£640,000) a yearin microloans. In partnership with the IFC andShoreCap International, it is also behind one ofthe leading private banks in Bangladesh – BRACBank – that is renowned for its support of smalland medium-sized enterprises (SMEs).

BRAC now reaches over eight million bor-rowers, with the number steadily rising due inpart to this year’s launch of bKash Limited, amobile financial service provider in Bangladeshand a subsidiary of BRAC Bank.

Gender equality, respect for the environmentand inclusivity cut through all of its activities.BRAC is also an internet service provider, hasa university, and its primary schools educate11 per cent of Bangladesh’s children. BRAC al-so runs feed mills, chicken farms, tea planta-tions and packaging factories.

Although BRAC is now active in 10 countriesand spans three continents, the majority of itswork remains in Bangladesh. Its low-cost, ef-fective and adaptable solutions to the day-to-day problems facing poor families can be scaledup quickly to a national level and now reachevery village in the country, which covers anarea roughly twice the size of Ireland and hasa population of more than 158 million people.

BRAC has built a massive global network ofmicro-franchised entrepreneurs providing ser-vices in agriculture, poultry, livestock andhealth. Sir Fazle calls it a “holistic, sustainable,market-oriented approach” to poverty allevia-tion that uses microloans, training and brand-ing, while offering borrowers low-cost accessto inventory, efficient distribution systems andcontinuous support. He recently presented hisapproach to more than 2,000 delegates at theGlobal Microcredit Summit 2011 in Valladolid,Spain.

BANGLADESH 3An advertisement supplement by UPPER REACH

Dr M. Sayeedur Rahman Khan, High Commissionerfor the People’s Republic of Bangladesh is deter-mined to raise the image of Bangladesh in the UKand other countries

The battle for democracy has not been easy forBangladesh, and despite interruptions that havestalled the democratic process, the people re-main optimistic.

“The people of Bangladesh love democracy.They are liberal and progressive – not extremistsor militants. They keep demonstrating to restoredemocracy and democratic processes,” he says.With this attitude, Bangladesh continues to moveforward, hoping to sustainitself as a self-reliant na-tion. “This is the priority ofthe government – we wantto depend less and less onforeign donations,” DrKhan adds.

According to financialanalysts and watchdogs,Bangladesh is expectedto be one of the 11 emerg-ing economies in theworld in the next decadedue to the country’s in-vestment potential insuch sectors as garmentsand textiles, tourism, pow-er and energy, leather andleather goods, food, in-formation technology andbusiness services. Onenon-traditional sectorBangladesh is currentlyexploring is pharmaceuti-cals, with pharmaceuticalfirms currently supplyingproducts to 75 countries,including Britain.

Bangladesh’s businessenvironment is investmentfriendly when comparedwith other Asian countries,and the country also boasts

a prime strategic location between two econom-ic giants – India and China. Easy access by sea,air and roads allows for a huge market. It is alsocost effective to invest in Bangladesh comparedwith other countries because of export process-ing zones and government incentives such astax holidays.

Currently the UK is the third largest export des-tination for Bangladeshi products. Total exportsto the UK from Bangladesh in the last fiscal year2010-2011 were $2.23 billion – a 35 per cent risefrom the previous year. Some export items fromBangladesh to the UK include shrimps, home tex-tiles and woven garments, but the country has

many more products to of-fer besides traditional items,ranging from computer soft-ware to ceramics – and evenshipbuilding.

Bangladesh and the UKhave historic, traditional andfriendly ties that predate1971 and the two nationshave worked closely in var-ious international forums ona range of issues, includingclimate change, humanrights and UN peacekeep-ing. “Bangladesh considersthe UK to be a very depend-able friend and developmentpartner,” Dr Khan says. “Infact, the relations betweenour two countries are de-fined by a shared aspirationfor democracy, developmentand human rights, and a vi-brant trade and economicpartnership, and the pres-ence of a large British-Bangladeshi diaspora.”

Currently there are about500,000 British Bangla-deshis living in the UK, and35,000 students fromBangladesh studying inthe UK.

DEMONSTRATING DEMOCRACYFACILITATING GROWTH

THE UK-BANGLADESH BOND HAS NEVER BEEN STRONGER

BRAC pioneers innovative approach to poverty alleviation

We enjoy a shared vision in global affairs.”

ROBERT GIBSON,British High Commissioner to Bangladesh“

DR M. SAYEEDUR RAHMAN KHAN, High Commissioner for the People’s Republic of Bangladesh

BRAC:“Undoubtedly

the largestand most

variegatedsocial

experimentin the

developingworld”

BANGLADESH4An advertisement supplement by UPPER REACH

Amid the unprecedented global financial crisisBangladesh has managed to keep its head above

water. Bangladesh achieved a GDP growth of 5.74per cent in the 2008-09 fiscal year and the Medi-um Term Macroeconomic Framework has envis-aged it will only keep growing. An anticipated GDPgrowth of 6.7 per cent is expected for the 2010-11fiscal year, with a gradual increase to 7.2 per centand 7.6 per cent in 2011-12 and 2012-13 respec-tively. A combination of all of the sectors ofBangladesh are tothank, as reforms andprojects are being donein every area to makeBangladesh’s potentialmore obvious to in-vestors. Abul Maal AbdulMuhith, a renownedeconomist, diplomat,freedom fighter, lan-guage veteran, and nowcurrently the FinanceMinister of Bangladesh,feels confident thatthrough the multipleprojects in various sec-tors that he oversees,these investments willbe achieved. “I think thepotential here is easyto recognise, and in-vestors will continue tocome and invest inBangladesh. Billions ofdollars need to be in-vested in power, roads,highways, and obvious-ly in railways. So, we areappealing for higher for-eign investments andhigh foreign assistance.So far we are receivingstrong responses frominvestors. They have in-creased their commit-ment to the countryeven though there are anumber of problems wecontinue to work to cor-rect,” he says.

One sector getting alot of attention is powerand energy. Due to power outages and an overalllack of power in many parts of the country investorshave been discouraged. The government has yet toprovide gas connections to more than 250 new in-dustrial units and some 5,000 new apartments,

causing serious setbacks for the industries in-volved. However steps have already been taken tocombat the problem with the signing of an agree-ment with Qatar. “Now we are going to try somethingdifferent by using coal along with gas, which is ourmain source of power right now,” Mr Muhith says.“We are going to import LNG (liquefied natural gas).Half a billion tonnes of LNG will be imported fromQatar. So I hope we will be able to correct our elec-tricity crisis very soon.” The government has giv-

en highest priority tothe power sector de-velopment and is com-mitted to ensure avail-ability of electricity toall by 2021 by follow-ing the Power SystemMaster Plan 2010. Tofulfil the growing de-mand of electricity,various short, medi-um and long-termgeneration, distribu-tion and transmissionprojects are at differ-ent stages of imple-mentation. Accordingto the existing gener-ation expansion pro-gramme, a total of11,456MW of newgeneration will beadded to the nationalgrid by the end of2015. In addition topower generation, ini-tiatives have also beentaken to build newtransmission and dis-tribution infrastruc-ture along with reno-vation and mainte-nance of the existingones for reliable andquality power trans-mission and distribu-tion networks to en-sure regular and un-interrupted power sup-ply to the consumers.Another sector that isgrowing rapidly is

transportation. Being linked with South-East Asiahas forced Bangladesh to keep up with the rapidgrowth of this particular industry. “We are looking toimprove the transit traffic through government poli-cies,” explains Mr Muhith. “Transit to any country will

become available in Bangladesh. South-East Asiais growing very fast. So, if we can make transit fa-cilities available with these countries I think theeconomy of Bangladesh will grow rapidly.”

A total of 119 development (or investment) pro-jects, including six JDCF (Japan Debt CancellationFund) projects, were included in the Annual Devel-opment Program of Roads and Highways Depart-ment for 2009-10. The Ministry of Local Govern-ment, Rural Development and Co-operatives (LGRD)has constructed a total of 135,313km (64,691kmunpaved roads and 70,622km paved roads). Banga-bandhu Bridge is playing a vital role in the roadtransport system and economy of the country bylinking the northwest with the eastern part ofBangladesh. With the assistance of Asian Devel-opment Bank, the Bangladesh Railway Sector Im-provement Project has been undertaken to mod-ernise Bangladesh’s railways. Projects are also inmotion to improve the main ports.

Special emphasis however has been put on the fi-nancial management sector, since an efficient fi-nancial sector is a prerequisite for economic devel-opment. The government has taken a number of ini-tiatives towards reform. The Bangladesh Bank is im-plementing the Central Bank Strengthening Project withthe financial assistance of the International Devel-opment Agency. The project started in 2003 andshould be completed by the end of this year. The mainobjective of the project is to transform BangladeshBank into a modern and dynamic institution capableof playing appropriate regulatory and supervisoryrole in the monetary and banking sector.

With ongoing economic reforms and incentives for businesses, the Ministry of Financeis an active department looking to openly engage foreign investors in the country

ABUL MAAL ABDUL MUHITH,Minister of Finance

FINANCEPaving the way to a new prosperity

South-East Asia isgrowing very fast.So, if we can

make transit facilitiesavailable with thesecountries I think theeconomy of Bangladeshwill grow rapidly.”“ The Association of Bankers works to heighten

regulation and compliance among the coun-try’s banks, and helps spread their influence

The Association of Bankers, Bangladesh Lim-ited (ABB), is an organisation that fosters

friendship among bankers, and provides a fo-rum for the discussion of common issues. Sinceits establishment in 1997, its role has been piv-otal in the development of the country’s econ-omy.

ABB chairman, K Mahmood Sattar asserts thatin recent years Bangladeshi banks have experi-enced noteworthy developments through the de-velopment of private sector interests. “Out of the48 banks, 30 are from the private sector. 10 yearsago the nationalised banks had 70 per cent mar-ket share. Today it is the reverse – the private sec-tor makes up 68 per cent of the market.”

The SME sector – said to account for over 95per cent of the nation’s business enterprises – iscurrently the focus of bankers’ interest, as moreconsumer items and export-oriented goods are pro-duced. “We are being encouraged to look at SMEs,and this is really taking off,” affirms Mr Sattar.

The World Bank Outlook for 2012 forecasts thatemerging and developing countries will lead theway in the global economic recovery. Bangladesh’sbanking sector is adopting measures to create reg-ulations that will safeguard the nation’s economyagainst any possible future financial and opera-tional risks.

“I think the two strongest pieces of regulationwhich have come in have been the Basel II adop-tions. Every bank in Bangladesh is Basel II com-pliant,” explains Mr Sattar. “We have finished thefirst phase and we are now in the second phase

which concerns the strategic pillars, where ad-ditional capital is required... We have been talk-ing about Basel III as well.”

ABB continues its efforts to spread its reach tothe unbanked population. According to Mr Sattar,currently “9 per cent of our population are bank-able,” though he is optimistic about futureprospects. “Soon this figure will be up to 30 per cent.”

Aiming to enhance thebanks’ appeal nationwide

BANGLADESH 5An advertisement supplement by UPPER REACH

The borders of Bangladesh as they stand to-day were established back in 1947 with the

Eastern region of Bengal becoming East Pak-istan, the eastern part of a new country Pak-istan, separated by over 1,600 kilometres ofIndian territory from West Pakistan, the West-ern part. Political exclusion, ethnic and linguisticdiscrimination, and economic neglect by thepolitically dominant West Pakistan kept breed-ing resentment and unrest in East Pakistan,eventually leading to the War of Liberation thatended on December 16, 1971, with surrenderof the Pakistani occupation forces to a jointcommand of Indian Army and Bangladesh lib-eration forces at Dhaka, the capital of the newPeoples Republic of Bangladesh. Branches ofthe State Bank of Pakistan in the erstwhile EastPakistan were reconstituted by the govern-ment of Bangladesh as Bangladesh Bank, thecentral bank of the new country.

Sheikh Mujibur Rahman, founding father ofthe new nation, had a socialist agenda; and ac-cordingly the government nationalised all banksin 1972 to ensure channelling of the country’sfunding resources to high priority sectors forthe reconstruction of the war-ravaged countrywith the restoration of industry and agricul-ture. However, the administration’s inexperience withstate control of various sectors prevented banks fromfunctioning as they should. In the initial years in regimeof directed lending at prescribed interest rates themeagrely capitalised nationalised banks kept on hand-ing out loans without commercial consideration dri-ven due diligence. Legal processes for recovery of de-faulted loans were hopelessly slow in the nascent ju-dicial system, and non-performing loans kept piling up.While the government in the early years made a pointof intervening in all possible areas, proper regulatoryand supervisory processes for timely diagnosis andredressing of problems were not in place. As such, inthe early years after independence, banking conceptslike liquidity and profitability became alien to many fi-nancial managers, with capital adequacy and solven-cy taking backseats.

Financial sector reform initiatives taken up in the1980s brought back private sector bank ownership andlending on commercial considerations; from early1990s directed lending was abolished, and interest rateswere freed up. From then on Bangladesh Bank hasbeen steadily pursuing updating of local financial sec-tor regulatory and supervisory practices structurestowards full convergence with international best prac-tice standards, including the Basel Committee risk-based capital standards and liquidity buffers.

Dr Atiur Rahman, the incumbent Bangladesh BankGovernor, is keen to point out that despite the teethingperiod problems of the earlier years the Bangladesh

economy has been growing steadily over the years, andis now on firm footing on a path of faster growth overthe coming years. He insists that it is this future ratherthan the past that should be of most interest and rel-evance for investors. “Bangladesh is an untold story,an unearthed secret, waiting to come out to the world.A new, inclusively growing, socially and environmen-tally responsible Bangladesh is emerging outside theglare of centre stage and beyond the traditional West-ern vision. This Bangladesh is resilient, innovative, veryforward looking and liberal in attitude.” BangladeshBank has now progressed vastly from the initial shaky

start to presiding over a dynamically growing,robust and stable banking sector, with proac-tive reforms in regulatory and supervisory stan-dards and the introduction of practices likestress testing. This dynamic financial sector iscapably supporting steady output growth inthe economy. “Our 6.7 per cent FY11 real GDPgrowth target was attained, and the economyis on course for attaining the 7 per cent growthtarget for FY12,” said Governor Atiur. “Exportsand imports both grew by more than 40 per centy-o-y in FY11. The composition of imports wasremarkable, with only about one seventh inconsumption goods and all the rest in capitalgoods and production inputs. BB’s financial in-clusion campaign embraced enthusiastically bybanks is promoting credit flows to the produc-tive, income and employment-generating mi-cro, small and medium-scale enterprisesthroughout Bangladesh, hastening poverty re-duction. This is evidenced in the recent sub-stantial rise in rural real wages and in attendantdecline in poverty.”Governor Atiur sees the growing population ofyoung and willing workers throughoutBangladesh as an important advantage. “We aremuch, much cheaper in labour costs than both

China and India; we can outbid other countries on thiscount for many years to come. I’ve heard of a Westernautomobile manufacturer getting their car interiors de-signed by teams in Bangladesh. Senior representa-tives from many leading global IT sector corporatesvisiting Bangladesh have expressed keen interest inutilising our upcoming crop of young tech-savvy man-power. Foreign investors in the apparels and other lightexport manufacturing sectors, including those from Chi-na, India, Korea and the Gulf region, have bought up orset up manufacturing units in Bangladesh. The elec-tricity and gas shortages impeding these processesare now being addressed which by themselves are in-vestment opportunities for foreign investors.” Gover-nor Atiur recognises the important role that foreign in-vestors, particularly the larger multinationals, can playtowards faster economic growth in Bangladesh, bring-ing in global marketing clout besides output technol-ogy and investment capital. Recalling the role of capi-tal market development side by side with financial sec-tor development, Governor Atiur points out that exceptfor volatile short-term capital flows in the money andcredit market, non-resident owned direct and portfo-lio investments can enter Bangladesh freely; and posttax profits/dividends and disinvestment proceedsthereon can be freely repatriated abroad in convertiblecurrencies. Further information on these foreign in-vestment facilities in Bangladesh can be accessedfrom such sources as Bangladesh Bank, Board of In-vestment and the Bangladesh missions abroad.

CRISL

Rating and enforcingThe establishment of a credible credit rating agencyhas been essential to the country’s financial progress

Credit Rating Information and Services Limited(CRISL) is the first credit rating company in

Bangladesh. The company was incorporated withthe Registrar of Joint Stock Companies in 1992 andCredit Rating Company rules 1996 as a recognisedECAI, and has been operating as the first rating com-pany in the country since 1995. Initially, all creditrisk assessments were done internally by SECBangladesh (Security Exchange Commission ofBangladesh), which acts as the regulatory body forexternal rating institutions. This scenario has beenchanging slowly as dependency on, and trust of,credit rating agencies grow stronger.

The genesis of the CRISL is linked with theBangladeshi government’s efforts to organise thefirst ever Euromoney Conference in Bangladesh in1994, where a large number of international in-vestors and world investment forum members wereinvited, with a view to gaining some insight into thefinancial stability of the South Asian country. The par-ticipants concluded that the reason Bangladesh hadnot been receiving the desired level of investmentwas that the country did not have a rating agency,and the country had not been rated officially by anyinternational rating body. In absence of the above,some international rating agencies, based on thelimited financial information available at the time,gave Bangladesh a ‘C’ rating, which meant a highlyspeculative and risky country for investment.

In late 1994, Dr Muzaffar Ahmed, a leadingBangladeshi economist and business professor atthe University of Dhaka, took the position of CEO atCRISL, a position which other financial experts hadconsidered carried too much responsibility, for toolittle reward. Dr Ahmed immediately visited sever-al rating agencies in India to get a better under-standing of those companies, their operational meth-ods and their prospects. Upon returning toBangladesh he discussed the project with a few se-lect professionals and business people, making de-tailed presentations, ultimately convincing them tojoin with him, and invest in CRISL.

Since its beginnings CRISL has played a majorrole in reversing the financial mistakes made bythe newly independent Bangladeshi government ofthe 1970’s, particularly non-performing loans. DrAhmed recently said: “The Central Bank instructedall banks to be rated every year in the financial sec-tor, which means all the banks have to submit acredit rating to the Central Bank every year. Thishas a tremendous impact on the economy, sincebanks are required to report on their compliance sta-tus. As a result, in the last 10 years the number ofnon-performing loans (NPL) of our banks has sub-stantially decreased.”

Balancing the booksBANGLADESH BANK

Through active reforms, and the implementation of Basel II, Atiur Rahman hasrestored stability to the country’s finance and banking sectors

We aremuch, muchcheaper than

both China and Indiain terms of labourcosts. We can outbidanybody for manyyears to come.” DR ATIUR RAHMAN, Governor of Bangladesh Bank

“

Dhakar’s modern skyline may come as a surprise to Western eyes

BANGLADESH6An advertisement supplement by UPPER REACH

Using technology and innovation theDhaka Stock Exchange is working to-wards a stronger exchange and futurecapital market stability

The Dhaka Stock Exchange (DSE),Bangladesh’s first and most impor-tant stock exchange, is located inMotijheel, in the heart of Dhaka. Inmid-2010, DSE had over 750 compa-nies listed with a combined marketcapitalisation of $50.28 billion(£32.28 billion).

Part of this achievement is due to thecountry’s political stability during thepast couple of years, and the strongworkforce and the capacity to producecheaply have also contributed. “Thepurchasing power of the people is in-creasing, and as a result local busi-ness is increasing,” says Shakil Rizvi,president of the DSE.

The financial market continues todevelop as the concept of privatis-ing formerly nationalised industriesevolves. “The government is supply-ing new issues to public companies as well asto government companies. As a result new com-panies are coming into various sectors, and thisis beginning to change the market,” explainsMr Rizvi.

A sturdy infrastructure and foreign invest-ment are essential to fully realise the country’spotential. “We need international support. Inter-national businessmen should come here to makeprofit and help develop our country,” adds theDSE’s president.

DSE policies protect foreign investments. MrRizvi says, “Our security measures follow thoseof British rules and regulations. Here the inter-

ests of the investors are protected at all times:there is no unsettlement.”

Mr Rizvi is promoting usage of the exchange toenhance socio-economic conditions. “There is a taxbenefit from the government for companies listingon the DSE. For an unlisted company it is 37.5 percent and for a listed company it is 27.5 per cent. Thiscreates an opportunity to be listed. If we declare adividend, foreign investors can take the dividend.”

Both public and private companies are encour-aged to list to enhance the capital market. Mr Rizviextends an open invitation to all readers, “Cometo Bangladesh, invest more money and receivemore in returns.”

ENCOURAGING FURTHER GROWTHIN THE CAPITAL MARKETS

SHAKIL RIZVI, President of the Dhaka Stock Exchange, addresses the press

HSBC is a truly global business which hasput down roots at a local level

Generally understood to mean a set of economic,environmental and social imperatives, the con-cept of corporate social responsibility (CSR) istaking centre stage in business models all overthe world. Though relatively new to theBangladeshi corporate sector, institutions suchas HSBC are leading the way in integrating its prac-tices into their work philosophy.

“We do not term it as CSR, but rather corporatesustainability (CS) because there is a connotationin CSR of doing charity. Our growth model is moreabout co-existing in the country and trying to sus-tain businesses together,” explains Sanjay Prakash,CEO of HSBC in Bangladesh.

With offices in 87 countries, HSBC is a truly in-ternational enterprise, but it has established firmroots in Bangladesh, with local workers compris-ing 99 per cent of its staff, as Mr Prakash proud-ly asserts: “There are only three expats here outof 1,050 people.”

CS is very much a part of the company’s DNA,and is embedded is in all its credit procedures.“Each time we lend money to any corporate body,we make sure that they comply with good practicesfrom a corporate sustainability point of view. Wewould not fund any project which violates the en-

vironment or pollutes rivers, for example, or if wefound children working in the factories,” he adds.

Each year, HSBC Bangladesh contributes to fourdifferent areas: education, under-privileged chil-dren, climate and environmental issues, and cul-tural preservation.

“In all our activities – for example, supportingunderprivileged children, installing rainwater har-vesting systems, promoting Bangladesh’s youngentrepreneurs at a regional level, tree planta-tions, art and cultural endeavours – our staff playa key role,” Sanjay commented. As the leading in-ternational bank in the country, HSBC is com-mitted to supporting Bangladesh’s internationaltrade, particularly the exporters, he added.

THINK GLOBAL, ACT LOCAL

SANJAY PRAKASH, CEO of HSBC in Bangladesh

The second largest corporation in termsof market capitalisation on the stock exchange, ICB offers a wide array of commercial and investment products to global investors

Since 1991, Bangladesh’s economy has pros-pered with an average GDP growth of 5 percent, and the government has set a 7 per centtarget for this year.

The role of foreign direct investment is notto be underestimated in this growth. “In Asiawe are one of the three largest countries interms of foreign remittances. Last year ourexport sector grew by 44 per cent. FDI inBangladesh grew by about 30 per cent in 2010when it only grew by 4.56 per cent globally,”explains Mohammad Fayekuzzaman, manag-ing director of the Investment Corporation ofBangladesh (ICB).

ICB was created in 1976. The purpose, ex-plains Mr Fayekuzzaman, “was to create acapital market. There was no private sector,so ICB had to play a strong role.” Today, it isone of the country’s largest investment banksand has evolved with the times.

“We have reformed ICV and created three

subsidiary companies established to com-pete within the private sector.” As a result, netprofits have more than tripled since 2001.

The Bangladeshi government has an Equi-ty Entrepreneurship Fund (EEF), now underthe responsibility of ICB, which encouragesinnovation and aims to create new entrepre-neurs, giving unemployed people a chanceto build their own business, particularly inthe IT and agricultural sectors.

“We provide 49 per cent equity for the spon-sors, not through a loan. They are obliged toreturn it in the fourth year using their prof-its. If they do not make a profit, they will sim-ply return the amount they received initial-ly, and become a 100 per cent owner of thecompany.”

Looking into the future, Mr Fayekuzzamanenvisions an alternative market. “There shouldbe a new market where these new compa-nies can trade and sell venture capital.”

Furthermore, ICB has a Unit Fund Schemethat contributes to the industrial develop-ment of the country. “I invite non-residentBangladeshis to invest in this fund so theycan contribute to the stability of the capitalmarket.”

LONG–TERM VIEW IS THE BESTPOLICY FOR INSURANCE LEADERS

Green Delta is about to celebrate its 26th an-niversary – testament to its philosophy of al-ways looking for long-term growth

Green Delta Insurance Company Limited (GDIC) isone of the leading private non-life insurance com-panies in Bangladesh, providing an array of in-surances such as fire, burglary,marine, and health.

In January 2012, GDIC willcelebrate its 26th anniversary.While GDIC was incorporated onDecember 14, 1985, as a pub-lic limited company, actual op-eration of the company startedon January 1, 1986, with a paidcapital of only BDT 30 million(£253,000). Since the privati-sation of the insurance sectorGreen Delta was the fifth com-pany to be established, gainingitself a reputation as one of themost respected companies inthe business.

Nasir A. Choudhury, manag-ing director of GDIC, has playedan important role in the growthof the company thanks to his 50years of experience in the in-surance sector which startedin 1958. Mr Choudhury attend-ed two different insurance courses for a total of14 months in the UK and Germany, and upon com-pleting them was posted in Pakistan InsuranceCorporation’s Regional Office at Chittagong, whichbecame the Bangladesh Insurance Corporation af-ter independence.

Success for GDIC began from day one. It wasthe first insurance company to be launched pure-ly by professionals, and Mr Choudhury and his

colleagues’ first-hand experience working abroadgot the company off to a flying start. In 2010,GDIC was once again the highest premium col-lector, and despite the worldwide recession, GDICis still producing the numbers. It reported a 24.95per cent increase in gross premium to BDT2,001.31 million, a remarkable investment in-

come of BDT 577.10 million, an in-crease in profit after tax reach-ing BDT 502.41 million, a 63.80per cent growth in the availablesolvency margin, and a share-holders equity growth by 46.15per cent standing at BDT 3,127.20million. In Mr Choudhury’s speechto the company’s shareholdershe confirmed “that with the rightstrategic guidelines and timelyexecutions of plans, GDIC hassuccessfully overcome hurdlesduring the year 2010.”“As a part of the diversified In-vestment strategy, we have al-ready received the approval for aMerchant Banking license fromSecurities and Exchange Com-mission and started the opera-tion in the name of Green Delta LRFinancial Services Ltd and ourGreen Delta Mutual Fund has start-ed to trade in both Dhaka and Chit-

tagong stock exchanges,” Mr Choudhury added.Green Delta’s success can be attributed to its

multiple strategies concerned with long-term suc-ceeding. Creating value for its customers, in-vesting in and developing talents of its employ-ees, committing to ethical conduct, and assum-ing social responsibility are just a few of the waysGDIC is focused on maintaining a strong financialstance, both for now and for the future.

NASIR A. CHOUDHURY, Managing Director of GDIC

There are onlythree expatshere out of1,050 people.”“

ICB: YOUR INVESTMENT SOLUTION

The private sector’s contribution to the total investment in Bangladesh’seconomy is remarkable. The contribution of private investment in the na-

tional economy amounted to 20.19 per cent of GDP in 2009-2010, rising from19.67 per cent the previous year, while public investment sector contributedonly 4.77. A total of 24.96 per cent of GDP came from investments. An analy-sis of the investment data reveals that while the contribution of the public sec-tor in total investment is gradually decreasing, the contribution from the pri-vate sector is steadily increasing.

Multiple private sectors are showing steady growth. Thanks to participationin health and medical services, there are currently a total of 43 privately ownedgeneral insurance companies, and 17 life insurance companies in Bangladesh.To continue encouraging these private investments, the government is offer-ing various incentives including financial assistance. At present, there are 40private medical colleges, 11 dental colleges, and 2,114 private hospitals andclinics with a total of 33,727 beds. In addition, 4,509 privately run diagnosticcentres are currently operating.

Private-sector participation in pharmaceuticals is also significant. Morethan 97 per cent of total domestic requirements are met by local production.At present, Bangladesh is exporting 182 different brands of medicines to 73countries worldwide, including the UK and the USA.

In the 2009-10 fiscal year, private sector credit increased, mainly due to manda-

tory lending and refinancing to the agriculture sector, lending to small and medi-um-sized enterprises, and other priority sectors including trade. On the otherhand, net outstanding government borrowing from the banking system de-clined due to an increase in revenues, and the higher level of financing fromnon-bank sources.

As a result of the growth in private investments in multiple sectors in Bangladesh,the government has instituted reforms in privatisation schemes, to give mo-mentum to the process and also put in place the necessary institutions and in-frastructure to create a private sector-led, investment-friendly environment. It isalso implementing short, medium and long-term plans to create an investment-friendly environment and a competitive market system, both of which will ensureadoption of innovative technology and infrastructural facilities to attract entre-preneurs and expand the domestic market. In addition, the government is im-plementing its industrial policy, first outlined in 2009, to realise the goals of Vi-sion 2021. Its major aims are to revamp small and medium-sized enterprises, stim-ulate employment creation, and increase the availability and use of informationtechnology.

The government is also keen to allocate investment resources in private-public partnership for risk-averse greenfield start-ups, infrastructure for in-dustrial clusters and parks, and the development of employment-intensive in-dustries in difficult and remote areas.

BANGLADESH 7An advertisement supplement by UPPER REACH

Citycell (Pacific Bangladesh Telecom Limited)is Bangladesh’s and South Asia’s pioneeringmobile communications company and theonly CDMA (code division multiple access) mo-bile operator in Bangladesh.

The company was founded in 1989 and in2008 was converted to a publicly listed com-pany. Citycell is currently owned by Singtelwith a 45 per cent stake, and the remaining55 per cent is owned by the Pacific Group andFar East Telecom.

The telecommunications company is a cus-tomer-driven organisation whose mission isto deliver the latest in advanced telecom-munication services to Bangladesh with afull range of mobile services for consumersand businesses that are focused on the uniqueneeds of the Bangladeshi community.

Mehboob Chowdhury, a highly-regardedBangladeshi business consultant and recur-rent senior executive to many telecommuni-cation companies in Bangladesh, presentlyruns the company. He is known to haveworked with all six of the non-governmenttelecommunication operators.

“The telecom sector has become a massmarket,” said Mr Chowdhury. “In working to-wards developing a ‘Digital Bangladesh’ it isimportant to understand that we have a youngpopulation, the majority of which are underthe age of 25. This means to digitiseBangladesh, appropriate applications needto be created to meet the needs of this de-mographic. As a network operator, I can pro-vide these tailored applications to the youth.

“And Citycell has made the move. 3G tech-nology has taken a shift and we have decid-ed that we will become the most data-centricprovider in the country. We launched EV-DO in2010 which provides 3.7 megabit speed on abroadband wireless network. We are focusing

INFRASTRUCTURE

Young populationspurs demand fordata services

Agriculture is the single most important sectorin Bangladesh’s economy today, contributing

about 20.24 per cent to GDP in 2009-10. The growthrate of this broad agriculture sector for 2009-10was estimated to be 4.67 per cent. “The highestpriority in this country is agriculture,” Abul MaalAbdul Muhith stressed, who has been the FinanceMinister of Bangladesh since January, 2009.

The agriculture sector is so impor tant toBangladesh not only for the numbers it contributestowards the country’s GDP, but also for what itdoes for the people of Bangladesh. This sectorhas given Bangladesh food security, while alsomaking an overwhelming impact on the macro-economic objectives of poverty alleviation, em-ployment development, and human resources de-velopment. As a result, the Bangladeshi govern-ment is paying close attention to agriculture andfishing, and doing everything in its power to main-tain its upward curve.

Against a backdrop of global recession, com-modity price hikes and food shortages, measureshave been taken to meet the increasing food de-mand by increasing domestic production. Specialemphasis has been given to build up a modern

agricultural system, with the introduction of newtechnologies and expansion of opportunities foragricultural research. Furthermore, measures forincreasing subsidy on inputs to agriculture, ex-panding irrigation and making agricultural inputsmore available, preserving the harvest and en-suring fair price of crops and agro-products havebeen taken, with the aim of increasing productiv-ity. The target for agricultural credit disbursementin 2009-10 was fixed at Tk. 11,512.30 crore, ofwhich Tk.11,116.88 crore was disbursed, achiev-ing 96.57 per cent of the target.

Rice and jute are the country’s primary prod-ucts, though maize and vegetables are assuminga greater importance. Tea is grown in the north-east, and due to fertile soil and an ample water sup-ply, rice can be harvested up to three times a year.The livestock sector has become increasingly sig-nificant, and the government has taken steps suchas producing and distributing vaccines, supplyingducklings and chickens at lower prices, expand-ing artificial insemination programs, and pre-venting and controlling avian influenza. All themeasures contribute to the same goal – to achieveself-sufficiency in milk, poultry and livestock pro-duction, and to meet the protein demands of arapidly growing population.

A strongagricultural sector is vitalto the nation’swellbeing

The highestpriority in thiscountry isagriculture.”ABUL MAAL ABDULMUHITH,Finance Minister ofBangladesh

“In working towards developing a ‘DigitalBangladesh’ it is important to understand that wehave a young population, the majority of whichare under the age of 25.”MEHBOOB CHOWDHURY, CEO of Citycell“

Using the latest and best technology, Citycell is growing by delivering quality services to thenation’s young population

PPPs changing the face of modern BangladeshFARMING

on data and information services. We were thepioneers in Bangladesh and we are again, be-cause we have taken a stand that we will bethe first choice when it comes to data ser-vices.”

Keeping in line with the company’s visionof leading from the front, Citycell was proudto announce that its wireless broadband ser-vice, Zoom Ultra, won the award in the cate-gory of the Best Emerging Market Initiativeat the Asia Communication Awards, held inSingapore earlier this year.

Back in 1976, Mostafa Kamal started his jour-ney with a small trading initiative for essen-

tial consumer goods at the Moulvi Bazaar, in theheart of Dhaka’s wholesale trading market. His vi-sion was to switch from trading to industrialisa-tion in order to cater to the demand of the localmarket and decrease overdependence on im-ports. Thus, Meghna Group of Industries (MGI)was formed, which is now one of the largest andfastest-growing conglomerates in the country.

Mr Kamal set up his first industry in 1989 inthe industrial park at Meghnaghat, Sonargaon, inthe district of Narayangonj. Over the years, Megh-na Group of Industries has added several indus-tries to its portfolio, and today has 29 industriesranging from construction to fast-moving con-sumer goods (FMCG) to heavy industrial prod-ucts. Presently, MGI employs about 15,000 per-manent and casual workers.

Mr Kamal is something of a visionary leader, withaspirations to bring out the best in people, toencourage them to come together and becomeinnovators and agents for change in the coun-

try. He hopes his own experience can serve as anexample to others: following the war and the epi-demics which devastated Bangladesh, Mr Kamalworked relentlessly, for the equivalent of about$5 (£3.20) per month. When asked about his sub-sequent success, he says simply, “You need tobe hard-working and have ambition. If you arehard-working, you will be successful.”

Typically, despite his wealth, Mr Kamal is notresting on his laurels, and feels his country mustnot do so either. “This year, China and India’sgrowth is around 10 to 12 per cent, so we are nothappy with our 6.5 per cent. We are talking to theHonourable Prime Minister and the HonourableMinisters of Commerce and Finance about infra-structure. Our entrepreneurs are trying to reacha target of 8 per cent growth in one to two years,and this is not impossible because our entre-preneurs are very aggressive and intelligent.”

He feels a route to further success lies in in-creased business with the UK. “The bond betweenUK and Bangladesh is very strong and goes backa few hundred years. The UK has engaged with somany development projects in Bangladesh, andthere are huge number of Bangladeshi migrantsin the UK who could play a pioneering role in in-vesting in infrastructure, energy, IT, educationand tourism.”

As for the Meghna Group of Industries itself,the future looks bright. “We have been growingfast and there are other projects in the pipeline,like expansion in our cement sector. Several oth-er projects, such as chemical and seed-crushing,

are under construction. By 2013 the total turnoverof the group will be close to $2 billion. At the endof 2013 we may have over 15,000 regular andcasual workers.”

With such numbers comes a certain respon-sibility, which Meghna Group of Industries doesnot shirk. “Our group is contributing a lot to CSR(corporate social responsibility). We make hous-es for homeless people, including sanitation andbathrooms. We are also involved in donatingmoney for both national and international dis-asters, such as tsunamis, local floods and cy-clones. I have involved myself with a universi-ty and hospitals, and school and college withboarding facilities.”

BANGLADESH8An advertisement supplement by UPPER REACH

Founded in 1954 by Abdur Rahim, Rahimafrooz rep-resents a remarkable success story. Mr Rahim wasnot a rich man when he started his company, butit has grown steadily (and recently spectacularly),now exporting to 44 countries around the world, witha turnover of $275 million (£177 million).

The company employs 2,000 workers direct-ly, and provides work for another 20,000 indi-rectly. Over the past 10 years, growth has aver-aged 27 per cent, making the company’s Vision2015 mission to become a billion-dollar businessa realistic proposition.

While it has recently diversified into consumerelectronics and retailing, the production of bat-teries has always been Rahimafrooz’s core busi-ness. This has led to the company’s interests insupplying power for telecoms, railways, powerstations, electric vehicles, ships, buoy lighting,fork lifts and many other areas. Its automotive di-vision alone produces over 200 varieties of bat-teries, made in the largest battery manufactur-ing plant in South Asia.

Rahimafrooz takes pride in the fact that all ma-terials used are manufactured in Bangladesh toISO standards, and that it is active in environ-mentally responsible schemes for battery collec-tion and recycling. Indeed, its green credentialsare typified by its long-standing involvement withsolar power: thanks to company and the govern-ment’s efforts, Bangladesh has the largest pene-tration of small-scale solar energy solutions in

the world, with over 1.2 million homes fully util-ising solar power.

Son of the founder, and company director NiazRahim recently announced a new venture: “We haveset up a 50 megawatt power plant in Thakurgaon.This is the first time the government has allowedthe production of power from the private sector.”

Mr Niaz is also confident about the future forbusiness in his country. “Decisions are now be-ing made in a more timely manner. The govern-ment is focusing heavily on power resources andinfrastructure development right now which isimportant, and which is going to help moveBangladesh forward as a nation.”

Formed over 50 years ago, Rahimafroozhas grown from a family business to agovernment partner, and will soon be abillion-dollar concern

THE POWERCOMPANY

NIAZ RAHIMCompany Director, Rahimafrooz

MOSTAFA KAMALChairman and Managing Director,Meghna Group ofIndustries

No easy route to long-term successOne of Bangladesh’s hardest-working industrialist tells his story, while looking forward to increased business with the UK

We have beengrowing fastand there areseveral projectsin the pipeline.”“

BANGLADESH 9An advertisement supplement by UPPER REACH

One of the leading industrial corporations in thecountry, the Orion Group encapsulates true

Bangladeshi entrepreneurial spirit. Its chairman, Mo-hammad Obaidul Karim, has led the company to pi-oneer a number of firsts in Bangladesh, achieving alevel of success unparalleled in the country’s histo-ry. From modest beginnings, the group’s operationsnow span 11 diverse sectors, namely agro products;aviation management; cosmetics and toiletries; con-struction; energy; hospitality management; infra-structure development; textiles and garments; phar-maceuticals and health care; power generation; andreal estate.

Since its inception, the group’s main objective hasbeen to target rural poverty reduction and fostersustainable economic development in its positionas a world-class corporation, creating products andservices of real value, and generating employment.“I think of our company as a family of 18,000 peo-ple,” says Mr. Karim.” We always try to maintain greatrelations with our employees, and we provide staffwith benefits such as loans, donations and our as-sistance programme.”

The chairman is extremely optimistic about thebusiness possibilities and growth potential inher-ent in Bangladesh. “When I see something in othercountries, I think it can also be possible here. Peo-ple say things are impossible; however I always askwhy something is not possible. I feel there is alwaysopportunity,” he says.

JJaattrraabbaarrii--GGuulliissttaann FFllyyoovveerr PPrroojjeeccttSuch positivity has seen the group make importantinroads into developing the nation’s infrastructure.Planned and well-designed connections boost acountry’s appeal for both local and foreign investment,as poor, inefficient communications deter investorsand frustrate national advancement efforts. There-fore, the government has encouraged private-sec-tor participation to accelerate infrastructure devel-opment and the Orion Group has been the first totake up the mantle.

Leading the charge, Orion Group incorporated Bel-hasa Accom and Associate Ltd and submitted a bidfor the Jatrabari-Gulistan Flyover Project. After a high-ly competitive selection process, the company wasawarded the contract to design, construct, maintainand operate the flyover using privately obtained fi-

nance on a build-own-operate-transfer (BOOT) basis.The concession agreement was sealed in June 2005and construction began in June 2010.

The Jatrabari-Gulistan flyover breaks new groundin Bangladesh. “This is the first infrastructure pro-ject in Bangladesh under a public-private partnership(PPP) agreement. Previously there was no such typeof investment and it was a dream that a private en-tity would be able to invest in infrastructural devel-opment,” says Mr. Karim. “Initially, the flyover wasto be seven kilometres long, now it is 10 kilometres.The investment is around $290 million and we areworking on raising these funds from completely lo-cal sources.”

In addition to entering unchartered financing ter-ritory, other challenges facing the Orion Group in-clude the required construction time for the projectbeing shortened by a year, to two and a half yearsconstruction time, and the physical constraints im-posed by the site being in such a built-up area. “The

government is very keen to complete projects suchas this flyover and is giving us maximum support. Ifwe need police support for anything, it is providedimmediately,” says Mr. Karim. “Presently, we are fac-ing traffic jam issues because we are digging upground in the middle of a narrow road. There is someinconvenience, however Bangladeshis understandthe value this project will bring once completed. Weare receiving a lot of support from local people.”

Dhaka is one of the most congested cities in theworld. The World Bank predicts its population, currently13 million people, could rise to 25 million by 2020.After completion of the four-lane flyover, which willbe named the Mayor Mohammad Hanif Flyover, thecity’s third elevated expressway will greatly improvelinks between the Dhaka metropolitan area and atleast 30 other districts, including the port city ofChittagong, Mongla, Sylhet and Barisal.

SSuuppeerrllaattiivvee aacchhiieevveemmeennttssThe Orion Group has not only blazed trails in PPPs,but it has also taken real estate to new heights. It re-shaped Dhaka’s skyline when it constructedthe country’s tallest building, the 39-storeyCity Centre, and also has plans to create anew satellite town near the capital.

Its pharmaceutical arm was the first com-pany in Bangladesh to produce amino acidsand to manufacture anti-cancer drugs, bring-ing down the cost of cancer medication from2,100 taka (£17) to 350 taka (£2.85) per box.

In agriculture, the group is current-ly collaborating with a Dutch com-pany to grow mushrooms ontwo large plots of land. “Our lo-cation and facilities are ideal,”says Mr. Karim. “Europeancompanies have tried goingto China for these agro-products, however theyhave found Bangladeshis a better more cost-ef-fective producer.” Thecompany has plans todevelop an agriculturalindustrial park and pro-duce vegetables targeted atEuropean markets.

PPoowweerr ggeenneerraattiioonnA reliable, affordable supply of energy is vital to main-taining Bangladesh’s socio-economic developmentand industrialisation. The government has set a goalof providing electricity to all citizens by 2021, sopower generation has been highlighted as anotherpriority area for private-sector involvement.

Through its joint ventures, IEL Consortium and& Ltd and Dutch Bangla Power & Associates Ltd,the Orion Group now has two 100MW power plantsin operation. “It is frustrating that our country’s in-ternational image is not so good, even though wedid not take a single penny from the outside world;we raised the funds here and we completed a100MW power plant in only 217 days. I challengeyou to find another company that can completesuch a project in the same timeframe using the par-ticular European technology we have brought over,”says Mr Karim.

The group has been awarded two more conces-sions to build power stations generating 300MWand 650MW respectively. “The government is se-

rious about power production. We used to havea large natural gas reserve, however, now

there is a shortage. So, we are going toset up a coal-based power plant, which willbe much cheaper. We are on our way to

producing electricity at low cost,” saysSalman Obaidul Karim, Orion Group’s man-aging director and son of the chairman.

“In our power sector, demand is significantat the moment, which represents

an opportunity for foreigninvolvement. Our compa-

ny’s projects have set ex-amples showing foreign

investors that infra-structure and powerprojects are feasibleand can be complet-ed quickly.”

Orion Group pioneers PPPs toadd drive to national growthThe conglomerate is making history by partnering the government on infrastructure and power generation projects

MOHAMMAD OBAIDUL KARIM,

Chairman of Orion Group

Salman Obaidul Karim,

Managing Director of Orion Group

BANGLADESHAn advertisement supplement by UPPER REACH

Bangladesh, a country that was previously knownfor natural resource-based sectors such as tex-

tiles in the business world, has now emerged as oneof the fastest growing pharmaceutical-exporting na-tions. After tobacco, the pharmaceutical sector is thesecond largest revenue generating industry inBangladesh, and the country looks set to emerge asa respected source of quality medicines.

The million-dollar industry is continuously expanding,rising to new heights with new and improved products,and Apex Pharma Ltd (APL) is fast becoming a shin-ing star in the Bangladeshi pharma sector.

This year has been particularly significant for APLfor several reasons, most notably that it signed adeal with Sanofi-Aventis Limited, a global pharma-ceutical giant, to market, promote and distribute se-lected Sanofi-Aventis’ products. Sanofi-Aventis, basedin France, is the number one pharmaceutical multi-

national in Bangladesh. AM Faruque, managing di-rector and chief executive officer of APL, says: “I amvery delighted with this groundbreaking agreementwhich will take advantage of both companies’strengths to deliver high quality medicines to themaximum number of doctors, chemists and patients.”

Iftekharul Islam, managing director of Sanofi-Aventis Bangladesh Limited, adds: “Through thisagreement we are appointing Apex Pharma as thedistributor for our five selected products and webelieve their broad coverage will be a useful addi-tion for the purpose of offering quality medicinesto a maximum number of doctors, pharmacies andpatients.”

This year, APL also created history in theBangladesh pharma industry by introducing the first-ever team of professional graduate pharmacists as“Medico-Marketing Executives”.

The aim of this unique initiative is to enhance thequality of pharmaceutical company medicinal com-munication and services to the medical profession.It will bring a new dimension to the relationship be-tween pharmaceutical manufacturers and the med-ical community that will provide a tangible benefitto the healthcare system by encouraging best useof APL’s range of products.

This initiative is comprised of more than 100 ful-ly trained pharmacists in the first phase. Im-portantly, it also creates a new career pathfor pharmacists in Bangladesh. “Apex iscoming on in a big way,” said Mr Faruque.

Another milestone for APL this year wasthe signing of a comprehensive contractwith Rob Walker GMP Consultancy Ltd(RWGMP) to obtain UK MHRA and AustralianTGA accreditations for its purpose-builtmanufacturing facility. RWGMP is basedin the UK and has vast experience in ob-taining MHRA accreditations in Europe,Africa and Asia.

APL is moving fast towards attaining itsoperational vision of becoming a global

centre of excellence for pharmaceutical manufac-turing. The company intends to continue partner-ing with multinational companies to ensure accessto the latest manufacturing technologies and newestproducts.

Apex Pharma look set to achieve its vision to be-come one of the top 10 pharmaceutical manufac-turers in Bangladesh withinthe shortest possible time.

10

After gaining independence from Pakistan in 1971,the early Bangladeshi governments enforced a so-

cialist economy upon its population with the nation-alisation of all industries. The lack of an entrepreneurialculture resulted in a lack of engineers, technicians, man-agers and administrators. But by the mid-Eighties thegovernment implemented policies aimed at encour-aging private enterprise, investments and imports,and the Bangladeshi economy started to show signsof growth.

Today, the country's economy is not only strong, butgrowing rapidly: according to the International Mone-tary Fund (IMF) Bangladesh ranked as the 43rd largesteconomy in the world, among the Next Eleven, or N-11 of Goldman Sachs, with a gross domestic productof $269.3 billion (£174 billion) in 2010. Growing at anaverage rate of 6-7 per cent per annum, more than halfthe GDP now comes from the service sector while alarge part of the Bangladeshi work force continues to

be employed in the agricultural sector. More recently,the industrial sector of Bangladesh has begun playinga more important role in contributing to the country’seconomy with the textile and leather industries par-ticularly becoming key players.

Bangladesh has also become a leading player in theproduction of electronic goods and motor vehicles. Atpresent the country manufactures large amounts ofauto-rickshaws – three-wheeled vehicles with Hondaengines that are widely used all over South-East Asia.The Bangladeshi automotive industry has a number oflarge manufacturing plants throughout the countryproducing the Mitsubishi Pajero, Hino bus and Tata bus,as well as a number of different motorcycles. TagAZ, aRussian and South Korean car manufacturer recentlyannounced that their third factory will be opened inBangladesh next year.

“Previously, Bangladeshi people were more inter-ested in trading but gradually they are moving towards

industrialisation. Now, Bangladesh is in a transitionalstage to move towards industrial business from trad-ing. Our honourable Prime Minister is very concernedabout this matter with a visionary outlook towards theconcept of industrialisation,” said the Bangladeshi Min-ister for Industries, Dilip Barua, recently.

Mr Barua is confident that Bangladesh can competewith international industry. “Bangladeshi people are veryefficient and they have a bright future. They are ableto make cars, ships, and electronic goods very effi-ciently and they will prove themselves successful inthe development of every sector.”

The Bangladeshi leather industry developed duringthe 1970s and grew significantly in the 1990s. Dur-

ing that decade, the export market grew at an averagerate of 10-15 per cent annually, averaging yearly exportsthat accounted for $225 million (£145 million). ApexAdelchi Footwear Limited (AAFL), formerly Apex FootwearLimited, is one of the major manufacturers and exportersof leather footwear of Bangladesh that went into com-mercial production in the nineties. Though the compa-ny has diverse interests, Syed Manzur Elahi, chairmanof Apex Group, says: “Because our shoe business is ourcore strength, we will concentrate on that.”

Apex Adelchi first set up in Shafipur, once an eco-nomically depressed area where most of the populationworked as farm hands, and transformed the region’sworking landscape. Following Apex’s first factory open-ing, many of the smaller companies who made rubbersoles, threads and insoles relocated to the area boost-ing the local economy, creating new employment op-portunities and attracting workers from surroundingdistricts and towns.

Apex Adelchi is a prime example of how the leatherindustry has developed over the past two decades. In1990 AAFL produced 1,000 pairs of shoes each dayand employed 350 people. Today, its workforce ismade up of more than 7,500 people distributed in twofactories and its production capacity totals 15,000pairs of shoes per day. Continuous training programmes

and generous salaries have helpedthe company to maintain a strongand loyal work force.

Mr Elahi says: “I have been inthe business since 1973 and Ihave never had a single strike.Over the years, I have learnt thatto have a happy pool of workers,you need to make sure that floormanagement behaves properlywhen dealing with the workers.Our workers are to be given the re-spect they are due.”

Bangladesh’s leather is known all over the worldfor its quality. This is due partly to the luxurious veg-etation the country boasts which encourages largepopulations of livestock. Traditionally, natural farmsand fields do not apply barbed wire fencing which candamage the skins of animals. AAFL, for example, hasexperienced significant export growth as global buy-ers are relocating to Bangladesh from countries such

as China and Vietnam. It is cur-rently the leading exporter of

leather footwear fromBangladesh to major shoeretailers in Europe, NorthAmerica and Japan. In 2010,the company exported over3.6 million pairs of shoesto 120 major shoe retailers

and department stores in 30 countries, producingrevenues of $100 million.

Fuelled by the growing international appetite for leather,the domestic tannery industry has rapidly expanded itsproduction base. Apex Tannery, a sister concern of AAFL,is the largest in Bangladesh and with its independent ef-fluent treatment plant (ETP) it safeguards the environ-ment and the community it operates within.

Two per cent of the global livestock population is foundin Bangladesh, providing Apex Tannery with plentifulstocks of raw material. It can produce from both local andimported sources freely without import duties and, dueto the country’s pro-export policy, AAFL is able sourceany required shoe component duty-free for re-export.

AAFL’s achievements are not solely export-based; in1997 it established its local retail wing and today ithas the fastest growing shoe retail network inBangladesh. Trading as Gallerie Apex within the do-mestic market, its product range of quality leather de-signs follows European trends and has received a phe-nomenal response from Bangladeshi consumers.

Apex is also known as one of the country’s most so-cially responsible firms. Compliant with industrial and en-vironmental regulations it also works in areas of health-care and education to ensure the future of the country.

Some of the company’s corporate social responsibil-ity (CSR) initiatives, for which it has an annual budgetallocated, are helping drug victims re-establish themselvesin society through retraining and employment and con-tributing to flood-affected victims in distressed areas.

As part of its plan to continue expansion withinthe leather sector, Apex became one of the major pi-oneers and stakeholders in the apprenticeship pro-gramme for disaster-affected people organised bythe Centre of Excellence for Leather Skills BangladeshLimited (COEL), and is providing technical support andlending its premises over the next three years to pre-pare 2,400 new trainees.

AAFL has set elevated objectives for the near fu-ture and aims to increase its export volume by 200per cent and up its domestic sales 275 per cent by2015. The stakes are high but the company is confi-dent in its abilities to outshine global competitors.

An economy which once relied heavily on agriculture is now focused on improving its industrial sector

MADE IN BANGLADESHFrom farm to factory: making the transition

Previously,Bangladeshipeople were more

interested in trading butgradually we are movingtowards industrialisation.”DILIP BARUA, Minister of Industries

I have beenin the businesssince 1973 and Ihave never had asingle strike.”

Syed Manzur Elahi, Chairman of Apex Group

“

“

DILIP BARUA, Minister of Industries,

One of the newest entrants into the pharma scene, Apex Pharma is raising standards to new heights

JUST WHAT THE DOCTOR ORDERED

Within 20 years, Apex Adelchi’s workforce grew from350 to 7,500 people and the company’s progress issymbolic of Bangladesh’s energy and vigour

ONE STEP AHEAD

The 2011 ICC Cricket World Cup was first timeBangladesh had co-hosted such a major inter-

national sporting event and enabled the former Pak-istani province to display its capacity to showcaseworld-class sporting competitions and cementedits place as a global cricket destination.

Headquartered in Dhaka, the Bangladesh CricketBoard (BCB) is the nation’s main governing body forthe sport and was instrumental in the success of thecompetition. “We got a lot of support from the ICC andfrom the government,” says Abu Hena Mustafa Kamal,president of the board at BCB. “The government gaveus moral support, financial support for the develop-ment of our stadiums, and provided enough securi-ty. The government has also physically come to vis-it us and wanted to see that we can do it, so that wecan upgrade our image to the world. Then from the Crick-et Board, we had a professional and serious approach.”

The BCB was formed in 1972 and is responsiblefor the operation and development of cricket,maintenance of venues and selection of thenational team.

“Our ideology for the World Cup was to geteveryone in Bangladesh involved in it,” says MrKamal. “We fixed giant screens in all the district

headquarters and main areas ofthe capital so that people could en-joy the matches together. People wereglued to the games because they hadnever seen them presented that way before.”

As well as being a leading businessman, BCB’spresident is passionate about cricket. He has beeninvolved in the sport and its development inBangladesh for the past 30 years. “Like me, there are

so many people who are willing to spend money oncricket. But cricket is a game that needs a lot of mon-ey to nourish it and develop it,” says Mr Kamal. “Dur-ing the World Cup I raised about $5 million [£3.2 mil-lion] from the private sector for the benefit of the game.”

The BCB now hopes to build on the momentumgenerated by the publicity around the World Cup as itprepares for Bangladesh’s upcoming role as the hostfor the ICC World Twenty20 championship in 2014.

Twenty20 cricket, or T20 as it is al-so known, was originally introducedin England as a professional inter-county competition in 2003. A

T20 game involves two

teams, eachhaving a single in-

nings of around 75minutes, batting for a

maximum of 20 overs.Hosting the ICC WorldTwenty20 competi-tion will further

heighten Bangladesh’sinternational profile in the

sport and strengthen theBCB’s push for improved fa-

cilities nationwide. “We are trying tospread cricket all over Bangladesh,”says Mr Kamal. “We are trying toarrange international cricket all over

the country, or at least in the majorcities of Bangladesh.”

School cricket is very popular and theBCB runs a talent programme that

scours the country for the best youngplayers in its attempt to develop

Bangladesh as a regional hotspotfor cricketing expertise. “Here,cricket is very popular and no-

body plays it just for mon-ey; we play for passion,”

says Mr Kamal. “Just giveus a little more time;Bangladesh will not letyou down.”

Here, cricket isvery popular,and nobody

plays it just for money;we play for passion.”

ABU HENA MUSTAFA KAMAL, President of theBoard at BCB

“Contributing to the nation’s economic success arecompanies such as RAK Ceramics, a manufacturerand marketer of ceramic tiles, bathroom sets andother sanitary ware established in 2000. With anaverage annual turnover of more than BDT 5 billion(over £42 million) in its 11 years of existence, RAKhas established itself as one of the sector’s lead-ing manufacturers.

Mr Ekramuzzaman, managing director of RAK,comments on the factors behind Bangladesh’s suc-cess. “We have a very enthusiastic workforce. Theavailability of labour is another strong success fac-tor. If you offer a reasonable salary, the migrationof workers is minimal.”

This, he says, has helped shaped present-dayBangladesh. “Bangladesh is now self-sufficient. Thepeople are not starving and a large market existshere. There are explored and unexplored marketshere, both for local and international entrepreneurs.”

Regarding the ceramic industry, Mr Ekramuzza-man’s area of expertise, he says: “I can say that, wehave enough demand that we can sell what we pro-duce in the same day. Our company is alreadybooked for orders for the next six months.”

However, Bangladesh’s economy is in such aprime position that certain developments requireurgent attention before economic growth continues,primarily infrastructure. Mr Ekramuzzaman sharesthis thought: “We have very poor infrastructure,which needs to be built up first. We need to devel-op roads, highways, gas, and electricity amongstother aspects of the country.”

Public-private partnerships have been introducedin Bangladesh, though they are in their early stage.RAK’s managing director is optimistic that “theywill continue to grow so as to aid the growth of bothinfrastructure and the economy as a whole.”

RAK is also making its way into the housing sec-tor, and has already embarked on a project to build2,500 flats in Dhaka city to help the lower-middleclass population. Another plan for 5,000 flats isunder way.

RAK profits are shared with the community. “Weare contributing approximately 2 per cent of profitto assist with health and education programs.”

Maintaining a quality standard of life of its work-ers is one of the company’s main concerns. “Weemploy 5,000 people and pay the best salaries inBangladesh. We provide 100 per cent life insurancecoverage to employees. The company contributes5 per cent of its profit before taxes towards theWorkers Profit Participation Fund and Welfare Fund.We are just like a family,” he explains.

S.A.K. EKRAMUZZAMAN, managing director of RAK Ceramics, outlines the benefits of manufacturing inBangladesh, and considers the country’s require-ments for further economic growth

QUALITY PRODUCTS AND CARING POLICIES MAKE RAK A MARKET LEADER

BANGLADESHAn advertisement supplement by UPPER REACH

HOWZAT! Bangladesh has shown it can stage world-class events and has enhancedits position in the sporting world

SPORT11

BANGLADESH12An advertisement supplement by UPPER REACH

In a world overflowing with estab-lished holiday destinations, onecannot help but be charmed by

the natural beauty of Bangladesh;one of the few outstandingcountries in Asia yet to be ful-ly explored. Composed ofmany unspoiled features,Bangladesh has so far re-mained one of the region’sbest kept secrets; but anew wave of resorts offer-ing everything from eco-tourism to the lap of luxu-ry is emerging, and thismagical place will not re-main hidden for long.

No matter where your in-terests lie, Bangladesh hassomething to offer. The world’slongest unbroken beach – Cox’sBazar – is truly stunning, pro-viding a tranquil escape from thebustling and vibrant hubbub of oneof the world’s most populated mega-cities, Bangladesh’s capital Dhaka. Superbfive-star resorts meet international standards,while those looking for something more eco-nomical will find an array of beachfront hotelswhich cater to recession-hit budgets while main-taining excellent service.

This is a country where genuine adventure isnot a possibility but a certainty. You can chugdown mile-wide rivers in 19th century river-boats,or stroll the rolling hills of the Comilla districtwhere long-lost Buddhist temples and cities arewaiting to be rediscovered. Take a trip to the ex-quisite tea gardens of Sylhet stretching as faras the eye can see, then finish your afternoonwith a fresh cup of fine tea, before indulging inthe superb local cuisine. (It is a little known factthat the people of Sylhet are largely responsi-ble for making the British a curry-loving nation,being among the first to introduce ‘Indian’ restau-rants to the UK).

You must also explore one of the world’s greatwonders – The Sundarbans, (pronounced shun-da-bans) – home to one of the planet’s largestmangrove forests and an endless variety ofwildlife including the pride of Bangladesh – theBengal Tiger, an endangered and majestic ani-mal still relishing its natural habitat.

“We have everything that tourists like to see.We have the hills, we have the sea, we have vastplain lands, we have rivers, we have archaeo-logically important sites, and most important-ly we have our wonderfully hospitable people –they have a natural smile on their faces,” saysG.M. Quader, former Minister of Civil Aviation andTourism.

Bangladesh is any inspired artist’s master-piece come true. Its rich tapestry of colour andtexture deliver captivating surprises aroundevery corner, so if you are hungry for an unfor-gettable holiday destination, Bangladesh awaitsyou with its unique smile.

Not just anothertouristdestination, theuntouchedwonders ofBangladesh offerauthenticity andbeauty to globalexplorers

THE UNDISCOVERED PARADISE

We have thehills, we have

the sea, we have vastplain lands, we haverivers, we havearchaeologicallyimportant sites – andmost importantly, wehave our wonderfullyhospitable people.”G.M. QUADERFormer Minister for Tourism, Current Minister of Commerce

“