Introduction

Bangladesh has been working hard on country economic growth in the past
few decades. Fortunately, they successfully reduced poverty with an improved health
and education system (World Bank, 2018). Reason behind the success of Bangladesh
is using tons of policy or initiative that attract foreign direct investment to stimulate
economic. FDI plays an important role in developing country economic as it could
bring benefits such as capital inflow, job creation and technology transfer into the
country.

National Agriculture Extension Policy (2012)

The government of People’s Republic of Bangladeshi have updated their New

Agricultural Extension Policy (1996) as National Agriculture Extension Policy (2012).
This policy is putting attention on the key constraints, rising issues and important
transformation of agriculture sector in the situation of current global scheme in order to
keep food security of speedy expanding population. The purpose of this policy is to
develop a permissive habitat for increasing food production and commercial crops such
as crops, fisheries and livestock which devoting to farmers’ income and expansion of
agro-based industry over decent application of living resource base as well as
establishing market relationship of agriculture produce. In Bangladesh, agriculture is
one of the largest sectors in their country which contributing 19.6 percent to their
national GDP and involving 63 percent of employment rate. There are few main
objectives of the National Agricultural policy (NAEP).

The first objective is to help Bangladeshi to improve their productivity and production
of primary food crops to preserve National Food Security. The government reinventing
integrated whole farm approach by shifting of focus from productivity enhancement in
order to increase income and nutritional considerations call for integrating crop,
livestock and fisheries production. This will bring supplement and complement benefits
from the production sub systems. For example, rice-based production system covers
about 75 percent among other crops in Bangladesh. The government will be ensuring
their food security by taking their production of rice will receive priority in the food
grain production program to increase rice production.

Besides, the second objective is increase farm income and employment through
increased their diversification sector with high amount crops and farm business connect
with local and global markets. This objective will be achieved through aggregation of
farmer groups toward higher level of producer organization. The producer organization
are applicable, economic enterprises for upgrading farmer’s approach to resources,
technology and markets on a continuing basis referring on the principles of endorsing
collective activities with extra benefits through all stages of production cycle. The
producer organizations should focus at increasing incomes of farmer members over cost
reduction, productivity and quality improvement as well as and disaster mitigation
measures. According to The World Bank, there is a shift in production from rice to
higher-value crops will significantly reduce malnutrition, it will generate more rapid
growth in incomes of farmers and develop more and better on-farm and non-farm jobs
for women and youth (The World bank, 2016).

The third objective of this policy is to mobilize, develop and create farmer groups and
organization for getting superior access to technologies, information and market over
aggregation, economies of scale and creating social capital. This policy involving
farmer organization at village as well as higher levels. Farmers need to bring back their
decision making in order to have explicit excess to resources and markets. Farmer group
will be organized, supported as well as strengthen in farming categories such as crop,
livestock and fisheries. The performance of each organization will be determined on
their economies of scale, enlarge bargaining power, equity of interest, involvement in
decision making and decrease uncertainty risk. Both farmer organization in rural area
or urban area will be registered under proper laws for legal and contractual recognition.
Bangladeshi government also promoting agriculture in urban area by advocating in
fallow land, roadside and roof-top of high building to achieve the demand of
horticultural product and recover a better environment in urban area. According to The
Daily Star newspaper, urban agriculture plays important for public health, maintain
resource management, food safety and income generation (Haque, 2011). Urban
agriculture can help to retain and recover the livelihood of poor people and supply more
food in Dhaka city, capital of Bangladesh (Haque, 2011).

Bangladesh Economic Zones Authority (BEZA)

Another government policy that implemented by Bangladesh government is

Bangladesh Economic Zones Authority (BEZA). This policy was implemented on 9
November 2010 (Beza.gov.bd, 2018). The objective of BEZA is to establish
economic zones in every potential areas of Bangladesh to attract FDI by providing
multiple benefits such as 100% foreign ownership, full repatriation of capital and
dividend, tax exemption on income tax, export, import and duty exemption to attract
FDI (Comcec.org, 2018, Beza.gov.bd, 2018). One of the significant impacts that
BEZA created was infrastructure development.

This is because Bangladesh government allowed foreign business to have

100% foreign ownership on their business. Telecommunication industry was the
earliest industry that benefited from BEZA. For example, there are 3 out of 6
telecommunication companies such as Grameenphone and Banglalink (a subsidiary
company of Orascom from Egypt) are wholly foreign-owned in Bangladesh
(UNCTAD, 2013). The flexibility of policy allows foreign company to invest in
Bangladesh in order to increase competition of industry. Foreign telecommunication
companies are the largest provider with almost 80% of the market share in
Bangladesh (UNCTAD, 2013). The implementation of BEZA helps foreign business
to have a more flexible business environment to compete with domestic companies
Such policy is not only providing intense competition between domestic and foreign
business, it also helps in transferring technology advancement from foreign company
to domestic company since Bangladesh is still an under-developed country.
 FDI has been the pioneer in telecommunication industry to help Bangladesh in
building up a better telecommunication coverage, 97% of the population are covered
by infrastructure network including rural areas (UNCTAD, 2013) after the emerging
of foreign telecommunication companies. Moreover, the number of mobile
subscribers had increased nearly 80 million as a result from foreign investment in just
1-year time after the implementation (UNCTAD, 2013). The tele density in 2011 is
57% compared to 0.4% in 1997 (UNCTAD, 2013). Telecommunication industry had
created almost 680,000 direct and indirect job with an 8% contribution to total
national revenue in Bangladesh (UNCTAD, 2013). Without a doubt, the impact of
BEZA on foreign business and government is huge because foreign company can
have 100% foreign ownership which results a significant improvement in
infrastructure network of Bangladesh in a very short period.

The basic infrastructure such as electricity, gas and other connections was
weak in Bangladesh compare to other countries. Bangladesh was facing a power
shortage that causes problem in factory productivity (A SHISROY, 2009). However,
Bangladesh government promised to make sure basic infrastructure such as
electricity, gas and other connections are easier to access in the economic zones
(Customs and Parvez, 2018). This is to make sure the basic needs and wants of
foreign investment is fulfilled, it will enhance foreign company’s confidence to invest
in their country.

Benefits of BEZA successfully attracted foreign telecommunication business

to invest into Bangladesh with large amount of capital that flow within the market.
They made a significant improvement on Bangladesh telecommunication technology
and coverage, which benefited 97% of the population that covered by network
including rural areas. An increase in number of mobile subscribers also proved that
FDI successfully pushed the situation of telecommunication to a whole new level
compared to few years back. Foreign telecommunication industry has also brought so
much benefits such as technology transfer, job creation and infrastructure
development into Bangladesh. Therefore, BEZA policy is considered as a successful
policy that attract FDI to invest and make changes in Bangladesh.
National ICT Policy 2009

We all know how important technology in our daily lives is. Information and
Communication Technology (ICT) is one of the important tools to attain strong
economy for the country through improving the efficiency and management. Today,
technology such as ICTs is getting stronger and more effective and a future without
Information and Communication Technology in the world is not imaginable. The
Government of Bangladesh adopted National Information Technology and
Communication (ICT) Policy in 2009. Bangladesh government felt that ICT is
considered as one of the most effective components for the nation’s development.
Therefore, the National ICT Policy 2009 has clearly designated the development
target for Bangladesh. The country also aims to become one of the middle-income
country through the success in the ICT industry (Husain, 2017).

The country’s vision with ICTs is to expand and diversify with it to establish a
transparent, responsive and accountable government. The government came out with
a concept of “Digital Bangladesh” which will be a long-term investment and run by
the government that act as a facilitator for socioeconomic and human development by
the year 2021 (Hasan, 2014). Besides that, it also uses to develop skilled human
resources which refer to people who are trained, well-educated and capable to work
efficiently (Doyle, 2018). One of the key features of ICT Policy 2009 is Social
Equity, it is to ensure equal opportunity and participation of both genders in building
a better nation through the access to ICTs, which also includes persons with special
needs and also disabilities. Besides that, it is also used for education and research
purposes. ICT can be used to expand the reach and quality of the education to all over
the country and also to ensure basic computer literacy at all education levels.
Furthermore, the policy can strengthen the exports with a robust software. With the
support of Information Technology Enabled Services (ITES) and Information
Technology (IT) manufacturing industry to be on par with domestic and global
demands. As a result, the foreign exchange earnings will rise, and it can attract more
foreign direct investments (FDI) and cut down dependence on imports.
The impact of implementing National ICT Policy 2009 is huge. As Bangladesh has
grown big in the ICT sector. The country has approximately 160 million people in the
market where consumer spending is approx. 130 billion and its growing 6% annually
(Taher, 2017). In 2013, after the telecommunication company launched 3G network
services in Bangladesh, the internet consumption grew 22% by the end of 2014. Out
of the 66.8 million active internet subscribers, 96% of them are mobile users and the
rest is smartphone users (BTRC, 2016). With the growing numbers in utilizing
network service, we can confirm that the republic of Bangladesh is digital savvy
consumers.

The National ICT Policy 2009 of Bangladesh is a success. In 2010, Bangladesh Hi-
Tech Park Authority (BHTPA) was established. The reason for this establishment is
to develop the ICT industry in Bangladesh through the creation, operation,
management and development of the hi-tech park (Husain, 2017). As a result, the
Japanese show interest and invest in the high-tech park in Bangladesh. The joint
venture company, Bangladesh-Japan Information Technology (BJIT) has already
started working in full swing and BHTPA make known that BJIT as a private
software technology park (Fintech, 2018).
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