On 4-day visit, Hasina seeks to bolster bilateral ties with India
NEW DELHI: On a four-day visit to India beginning Monday, Bangladesh Prime Minister Sheikh Hasina hopes to enhance trade and strategic ties with New Delhi. Given strong political and diplomatic ties, she and her delegation are hoping to achieve a lot from the visit.
After landing in Delhi, Sheikh Hasina first visited the Nizamuddin Dargah. She later met External Affairs Minister S Jaishankar and is expected to meet Prime Minister Narendra Modi and President Draupadi Murmu tomorrow. On the last day of her visit, she will visit the dargah at Ajmer. Her delegation includes Minister of Commerce Tipu Munshi, Railway Minister Md Nurul Islam Sujan and Liberation War Minister AKM Mozammel Haq.
Sources said river water-sharing, long-term supply of fossil fuel from India, removal of anti-dumping duty on jute exports from Bangladesh, enhancing rail, road and waterway connectivity and border security management are some of the issues that are likely to come up for discussion. The last time Sheikh Hasina came to India was in 2019. Bangladesh today is reeling under the impact of Covid, inflation, food crisis and lower job rates. “This visit is critical for Bangladesh and the visiting delegation hopes to resolve some of the economic and political issues,” said a source.
Bilateral trade between Bangladesh and India has been increasing over time. In 2021, the volume was over $ 14 billion. India has provided duty-free market access to Bangladesh under the South Asian Free Trade Area (SAFTA) arrangement, which helped Bangladesh to increase its exports. In 2021, Bangladesh’s export to India was about $2 billion. Sources say Bangladesh’s trade deficit with India is rising, and the country is yet to benefit from India’s large import demand, which it fulfils from the global market.
A joint study by India and Bangladesh has highlighted new means for cooperation through the Comprehensive Economic Partnership Agreement (CEPA). This is expected to help realize opportunities in areas of trade, transport and investment connectivity.
Bangladesh is also hoping to get financial support from India under Lines of Credit arrangement in order to go ahead with developmental projects. India has extended $2 billion worth of assistance under LoC, out of which $1 billion has been disbursed. Development projects cover sectors like railways, roads and transport, power generation, petrochemicals, economic zones and ports and shipping among others. However, Dhaka says that in 2010, India had committed to lending about $ 7.86 billion under three LoCs. The funds disbursal is slow as a result of which the desired result hasn’t been achieved.
ON bangla PM’S Agenda
- Several pacts, including a water-sharing deal for Kushiyara river
- Talks on agreement on the Teesta river water-sharing dispute
- Long-term supply of fossil fuel from India, removal of anti-dumping duty on jute
- Offering prayers at the famous Khwaja Gharib Nawaz Dargah in Ajmer