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FY 1999: Bangladesh |
VII. INVESTMENT CLIMATE Openness to Foreign Investment The stated policy of the Bangladesh Government (BDG) is to pursue foreign investment actively. It has enacted a number of liberal investment policies to this end. There are no distinctions between foreign and domestic private investors regarding investment incentives or export and import policies. Incentives for investors, which the BDG hails as the most liberal in Asia, include 100% ownership in most sectors; tax holidays; reduced import duties on capital machinery and spares; duty-free imports for 100% exporters; and tax exemptions on technology remittance fees, on interest on foreign loans, and on capital gains by portfolio investors. There are few performance requirements, and these do not generally present a problem for foreign investors. Trade has been liberalized and duties reduced. Customs bonded warehouses assist exporters. Free repatriation of profits is allowed, and the taka is almost fully convertible on the current account. No prior approval is required for foreign direct investment except registration with the Board of Investment. The BDG places advertisements in international print media promoting Bangladesh for foreign investment and has arranged official and private trade delegations to Asian, European and North American cities. For many years, foreign investors took little heed of these incentives. In the last several years, however, there has been a sharp increase in investment in the oil and gas, energy, and telecommunications sectors. The Embassy estimates over 200 foreign firms have invested in Bangladesh, of which 26 operated prior to independence in 1971. Revised national accounts show that between FY92 and FY98, gross domestic investment has hovered around 20 to 22 percent. Over 80 percent of total investment is construction related, a pattern which has remained stable over the last five years. The gross domestic savings rate has remained at 15 to 16 percent of GDP for the past five years, according to revised figures, but reached an estimated 17 percent in FY98. The gross national savings rate has been close to 20 percent since FY94. Some of the difficulty in attracting foreign investment is Bangladesh's image as an impoverished and undeveloped country subject to frequent and devastating natural disasters. The second major hindrance to increased foreign investment is poor implementation of the new, liberal investment policies. Foreigners often find that the implementing ministries still require licenses and permissions that were supposedly done away with. Added to these difficulties are such problems as slow government decisionmaking, corruption, labor militancy, a sometimes uncertain law and order situation, poor infrastructure, inadequate commercial laws and courts, and policy instability (i.e., policies being altered at the behest of special interests). It is true, however, that many foreign firms, once established, have had favorable experiences and are earning impressive profits in Bangladesh. Major laws affecting foreign investment are the Foreign Private Investment Act of 1980, the Industrial Policy of 1991, the Bangladesh Export Processing Zones Authority Act of 1980, and the Companies Act, 1994. Bangladesh has signed bilateral investment treaties with 11 countries, including the United States (see below). In addition, foreign investors are also affected by regulations of the Bangladesh Bank (central bank), the National Board of Revenue (for taxation and customs matters), and others. Although discrimination against foreign investors is not widespread, some discriminatory policies and regulations exist. For example, manufacturing and import controls imposed by the national drug policy and the Drugs (Control) Ordinance of 1982 discriminate against foreign drug companies. In addition, imported products must pay a 60 percent advertising surcharge for television spots. BDG authority for dealing with foreign investment proposals is fragmented. The Board of Investment (BOI), frequently touted as a one-stop shop for all investors, is only set up to register investors in industrial projects outside the export processing zones (EPZ's) and assist them with tax treatment, land acquisition, utility hook-ups, and incorporation. The corresponding EPZ authority is the Bangladesh Export Processing Zones Authority. Registration with BOI is necessary to obtain benefits such as importing machinery at concessionary duty rates or importing items on the "restricted list." In 1994, BOI began using a greatly shortened form and providing registration automatically. The BOI also administers the approval of foreign loans and technology remittances on behalf of the Bangladesh Bank. Investments in power, mineral resources, and telecommunications must be approved by the corresponding BDG utilities and ministries, while garment makers must seek production allocations for quota exports to North America from the Export Promotion Bureau in the Ministry of Commerce. Although privatization is a critical part of the BDG's stated economic reform policy, privatization has not seen sufficient progress to attract many foreign investors. Work permits for expatriates other than chief executives are often restricted, directly contrary to the 1991 Industrial Policy, with re-entry visas limited to two to three entries. Right to Private Ownership and Establishment Officially, five sectors are reserved for government investment only. These are: 1. Arms, ammunition, defense equipment, and machinery 2. Production of nuclear energy 3. Security printing and minting 4. Forestry in the reserved forest areas Air transportation (except air cargo and domestic air transportation) and railways Industrial activity is still dominated by inefficient public sector enterprises, which stifle the potential for greater economic performance. The BDG's privatization efforts have been watched closely as a barometer of the official attitude towards the private sector. Although on paper the BDG has sold off a significant number of companies and shares, including about 38% of the country's jute milling capacity, 70% in textiles, 12% in sugar and food, 10% in chemicals, and 4% in steel and engineering, in practice it has retained control of many firms. Privatized firms in these sectors continue to behave as parastatals and to be heavily regulated; for example, management has not been able to reduce employment rolls. In at least three cases of foreign firms whose joint venture partners were nationalized at independence, the foreign firms have been unable to persuade the government to sell them its shares at fair market value. Privatization has slowed to a virtual standstill, despite the government appointment of a prominent local businessman in late FY97 as Privatization Board Chairman. Unofficially, many sectors are reserved at least in part for the government. Although occasionally the BDG has given way to the private sector, such as for wheat and fertilizer imports and fertilizer distribution, parastatals have often stifled private sector initiatives and undermined legal and policy reforms. Protection of Property Rights The Bangladeshi legal system recognizes and enforces secured interests in property, both chattel and real. The concept of mortgages exists. A recognized system of recording security interests exists through the court system. Foreign investors have access to the legal system in order to protect and facilitate acquisition and disposition of property rights. Disputes involving land and property are common. The legal system is subject to corruption and overburdened. Foreign investors should operate with extreme care and work with established law offices and businesses when dealing with property issues. Bangladesh is a member of the World Intellectual Property Organization (WIPO), and adhered to the Paris Convention on Intellectual Property in 1991. Its intellectual property laws are outdated and enforcement is weak. The Government is currently examining drafts of Patent and Designs and Trademarks Acts which are supposed to bring them into conformity with the World Trade Organization's Trade Related Aspects of Intellectual Property Rights (TRIPS) Agreement. Bangladesh has 10 years from January 1, 1995 to implement TRIPS. Foreign Trade Zones Under the Bangladesh Export Processing Zones Authority Act of 1980, the BDG established an export processing zone (EPZ) in Chittagong in 1983. Another EPZ has been set up near Dhaka. One hundred percent foreign-owned investments, joint ventures and 100% Bangladeshi-owned companies are all permitted to operate and enjoy equal treatment in the EPZs. In FY97, the BDG decided to permit privately-owned and managed EPZs. Korean developers have been working on creating an EPZ in Chittagong since that time, but no construction has taken place. Eighty-three companies were operating in the Chittagong EPZ as of May 1998, representing an investment of about $ 219.5 million and directly employing over 47,000 people. As of May 1998, 32 companies with a total investment of $77.5 million were operating in the Dhaka EPZ, employing over 23,000 people. Due to increased demand by investors, the BDG has doubled the capacity of the Dhaka EPZ, near Dhaka airport. Investors seem generally satisfied. Four U.S. firms are currently operating in the Chittagong EPZ, including one garment factory and three specialized textile manufacturers; there are also five U.S.-Bangladeshi joint venture industries. Foreign investment in the EPZs also hails from Japan, South Korea, Hong Kong, Singapore, the United Kingdom, Sweden, the Netherlands, Thailand, and Pakistan. Industries range from garments and textiles to electronics, sporting goods, steel chains, and services (including equipment leasing and container repairs and handling). Performance Requirements/Incentives The BDG prefers manufacturing which uses local inputs and has shifted its preference for high technology products to more labor-intensive industries. Ready-made garment manufacturers are encouraged, but not required, to use a minimum of 15% locally produced fabric. However, at present nearly all manufacturers are unable to source local fabric of sufficient quality to do so. Similarly, garment manufacturers are encouraged to achieve a total local value added content of their garments of 30% or higher. The 1991 Industrial Policy states it is "mandatory to pack food materials, sugar, cement, fertilizer, etc. in jute bags." However, this is also not being followed in practice because of inadequate supplies. In order to qualify for incentives available only to exporters, such as zero or reduced duties on imported machinery and spare parts, a company must establish that it exports 60% or more of its output. Other incentives available to firms establishing themselves as exporters are bonded warehouse facilities and tax holidays of ten years or more. Regulatory System: Laws and Procedures Starting from a position of extreme over-regulation, the trend roughly since 1989 has been a gradual decrease of governmental obstruction of private business. Many regulatory changes have not yet been politically possible to implement. Although some civil servants and ministers have displayed genuine commitment, reforms face broad-based resistance from many groups in the economy including influential members of the business community. The official chambers of commerce include manufacturers in protected industries and well-connected commission agents pursuing government contracts. Chambers call for a greater voice for the private sector in government decisions and for privatization, but at the same time they support protectionism and subsidies for their industries. Policy and regulations in Bangladesh are often not clear, consistent, or publicized. Generally, the civil service, businesses, professionals, trade unions and political parties have vested interests in a system in which confidentiality is used as an excuse for lack of transparency, and in which patron-client relationships are the norm. Businesses must always return to civil servants to get action, and may not receive any, even with the support of higher political levels. Traditionally, the BDG's poorly paid civil servants have regarded business people as exploitative and regard themselves as having a near monopoly on economic acumen and patriotism. Civil servants do recognize that there is greater scrutiny of their acts (and risk to their careers from illegal activity) under a democratically-elected, civilian government. Even so, accounts from domestic and some foreign investors of solicitation of bribes by public officials and politicians continue to be too numerous to dismiss. Bangladesh's donors have come to regard public administration reforms as central to overall economic reform. In practice, BDG laws and regulations and their implementation do not reduce distortions or impediments to investment, but create them. Unhelpful treatment of businesses by some BDG officials, coupled with other negatives in the investment climate, raise start-up and operational costs, add to risk, and tend to counteract the BDG's praiseworthy investment incentives. In this regard, business people agree that Customs and Excise personnel are particularly troublesome. Businesses spend a great deal of time and money dealing with Customs. One common tangle concerns tariff schedules, which Customs uses to determine the value of goods unless pre-inspected, regardless of the invoiced amounts, to which it then applies published rates of duty. The schedule is changed every three months or so, without advance notice. Changes apply while goods are in transit. Corruption Bangladesh has a reputation for having widespread corruption in business dealings. A 1996 report by Transparency International listed Bangladesh as the fourth most corrupt nation in the world (after Nigeria, Pakistan and Kenya), based on surveys of international business executives. Local and foreign business persons often report their experiences with petty corruption, such as paying extra "fees" for obtaining government services (post office boxes, telephone lines, licenses, customs clearance). Complaints of higher level corruption in the fair awarding of public and private tenders are frequently heard, as are allegations of insider trading in the stock market. Such reports of corruption are hard to verify but are too numerous to ignore, and should be taken into account by those considering doing business in Bangladesh. An Anti-Corruption Bureau exists to combat corruption; it is not always seen as being free from political pressure when determining against whom corruption cases should be brought. Labor Bangladesh has a population of 127 million people. The formal sector in Bangladesh has an estimated 4.8 million workers, with 1.4 million (30%) employed in public enterprises. The total labor force is estimated at 60 million, comprised of 40 million agricultural jobs (growing at one percent a year) and 20 million non-agricultural jobs (growing at six percent a year). Low official unemployment statistics obscure a huge and growing under-employment problem in Bangladesh. Bangladesh's comparative advantage in cheap labor for manufacturing is partially offset by low productivity, due to low skills, poor management, and inefficient infrastructure and machinery. Technically trained personnel often seek and find employment in the Middle East at substantially higher wages than they would receive in Bangladesh. Over the past eighteen years, more than 1.25 million Bangladeshis have worked overseas, officially bringing in over seven billion dollars in foreign exchange. Those remittances have become an important source of foreign exchange in recent years. Foreign managers report that Bangladeshi workers generally respond well to training. All employers are expected to comply with the government's labor laws, which specify employment conditions, working hours, wage levels, leave policies, health and sanitary conditions, and compensation for injured workers. Freedom of association and the right to join unions is guaranteed in the Bangladesh Constitution. The right to form a union, subject to government approval, is also guaranteed. However, unions are not yet permitted to form in the export processing zones. Approximately 3.5% of Bangladesh's work force is unionized. Labor unions remain strongest in the jute, textile, and transportation sectors. Bangladesh's labor unions, most of which are associated with political parties, have a reputation for militancy. In early 1995, clashes between jute mill labor groups and the police resulted in numerous injuries and a few deaths. Violence and the threat of violence by trade unions have produced wage increases in excess of productivity increases, raising unit labor costs. Worker layoffs, or the mere threat of reductions-in-force, can be expected to cause some of the most serious and confrontational labor disputes. Labor disputes do not necessarily need to be heard before a legal court. Many companies have found it effective to resolve issues before a Labor Tribunal. Labor in private sector enterprises is mostly not unionized and comparatively more productive. Productivity in Bangladesh has been affected by hartals (general strikes) called by political parties and movements, which take their toll in downtime by intimidating people from leaving their homes. There were 7 hartals called by the opposition in FY98, as well as numerous local strikes. On July 4, 1995, Bangladesh's garment exporters association signed a memorandum of understanding (MOU) with the United Nations Children's Fund (UNICEF) and the International Labor Organization (ILO) under which child labor in the ready-made garment industry was eliminated, and children who formerly labored in the factories provided with education. Implementation of the MOU continues. ILO-assisted monitoring teams now find few child laborers during random visits to garment factories. Efficient Capital Markets and Portfolio Investment Foreign investors have access to local credit markets, but many seek financing offshore. If they finance locally, it is usually with a foreign bank branch. The private sector can also receive financing from two leasing companies and by issuing shares or debentures on the Dhaka Stock Exchange (DSE) or the Chittagong Stock Exchange (CSE). (All CSE-listed shares are also listed on the larger and older DSE.) Among the world's smallest share markets, the privately owned Dhaka Stock Exchange and Chittagong Stock Exchange list 212 companies. On an average day, shares of around 130 companies are traded. Trading was dormant until 1993. There was a large surge in the stock market in the summer and fall of 1996, but the market crashed late in the year and has yet to recover. For much of FY98 the market has remained at historic or near-historic lows. As of October 1998, total market capitalization of listed companies surpassed $ 1.393 billion. Foreign portfolio investment, never more than $200 million, has virtually disappeared. Daily trading often surpasses $ 500,000. However, overall share market growth is severely limited by the small number of available shares of the active issues. The Government approved the entry of 11 investment banks in FY98. Both the CSE (July 1998) and the DSE (August 1998) have started automatic trading services. The Asian Development Bank has approved a loan of $80 million for the further development of the capital market. The BDG's Securities and Exchange Commission (SEC) was formed in 1993 to regulate the DSE and protect investors. On September 28, 1997, the SEC imposed new restrictions on the involvement of foreign investors in the Bangladesh capital market. The new guidelines stipulate that 10% of primary issues are reserved for non-resident Bangladeshis (NRB). Major foreign investors have protested these measures. Foreign investors point out that this measure exacerbates the Bangladesh market's greatest drawback: the difficulty of buying or selling in volume over a reasonably short period. The SEC and the Institute of Chartered Accountants of Bangladesh have just begun the task of rigorously enforcing reporting and audit requirements and bringing those requirements up to international standards. The country's single credit rating agency, Credit Rating Information and Services (FAX: 880-2-835214), provides credit rating information to international standards. In the spring of 1997 the SEC filed charges against 37 stockbrokers for manipulation of the market during the 1996 rise and boom. Among the charged are two American citizens of Bangladeshi heritage who had registered their trading company using their Bangladeshi citizenship. As of October 1998 no case had come to trial. The Embassy recommends that U.S. citizens, especially those who also hold Bangladeshi citizenship, exercise caution in their legal dealings. Conversion and Transfer Policies The taka is almost fully convertible for current account transactions, but not for capital account transactions. As of October 1998, the BDG's foreign exchange reserves stood at about $ 1.7 billion. Foreign exchange is generally available for permissible private sector transactions. The taka was devalued by 6.1% over the course of FY98, usually in increments of around 1 percent. To offset anticipated emergency food imports made necessary by the floods of August/September 1998, the Government received approval in the fall of 1998 for emergency balance of payments assistance (in the form of loans) from the IMF and World Bank. The Foreign Investment Act guarantees the right of repatriation of invested capital, profits, capital gains, post-tax dividends, and approved royalties and fees. Bangladesh Bank exchange control regulations and the United States-Bangladesh Bilateral Investment Treaty (entered into force July 23, 1989) provide similar investment transfer guarantees. In practice, foreign firms are able to repatriate funds without much difficulty, provided the appropriate documentation is in order. Foreign firms in joint ventures, which are only able to remit profits in the form of dividends, also report no difficulties. However, in some cases, foreign firms' profit remittances have been delayed for over one year pending tax clearance from the National Board of Revenue. Where tax disputes are causing the delay, firms may have to choose between timely profit remittance and sacrificing legitimate positions on tax issues. According to the Foreign Private Investment Act of 1980,' there is no specific restriction on repatriation of capital gains. BOI also issues passbooks limiting repatriation of royalties and other technology transfer fees. However, no permission is required for remitting fees amounting to less than 6% of sales. Expropriation and Compensation In the years immediately following independence in 1971, widespread nationalization resulted in government ownership of over 90% of fixed assets in the modern manufacturing sector, as well as all banking and insurance interests, except those in foreign (but non-Pakistani) hands. All domestically-owned cotton textiles, jute, and sugar manufacturing units, none of which was owned by foreigners, were placed under government control. Since then, the Foreign Investment Act of 1980 has forbidden nationalization or expropriation without adequate compensation. There have been no instances of expropriation of foreign property since the Foreign Investment Act was passed. Dispute Settlement Underlying other impediments to investment in Bangladesh is a weak legal system in which the enforceability of contracts is in doubt. Ten years or more can pass between bringing a court case and executing a judgment. With no interest charged on judgments, there is no penalty for delaying proceedings. It is widely acknowledged that in the lower courts where cases are first brought, corruption is a serious problem. Articles 115 and 116 of the Constitution allow the head of government to control and discipline judges, including Supreme Court justices. Legislation to make the judiciary independent is pending. Nevertheless, the Supreme Court has retained a reputation for fairness and competence. This has meant that at least at the appellate level the outcome of commercial cases is determined by merit. There has been only one investment dispute, still ongoing, over the past few years involving U.S. investors or contractors in the Bangladeshi courts. In the event of arbitration, although Bangladesh is a signatory of the International Convention for the Settlement of Disputes (ICSID), it has not yet acceded to the U.N. Convention for the Enforcement of Foreign Arbitral Awards. A provision in the United States-Bangladesh Bilateral Investment Treaty gives procedures for referring unresolvable investment disputes to ICSID for third-party settlement. In any case, the ability of the Bangladeshi judicial system to enforce its own awards is weak, and there is no reason to think enforcement of foreign judgments would be stronger. Most laws affecting investment in Bangladesh are many years old and need to be overhauled. Many of these laws have been amended in recent years in an attempt to update them. However, some drafts of new legislation produced by ad hoc government committees are more than 10 years old and final reviews have not been conducted. Resource constraints in the Law Ministry are a major problem. The insolvency laws, which apply mainly to individual insolvency, are not being used because of a web of falsified assets and uncollectable cross-indebtedness supporting insolvent banks and companies. A new Bankruptcy Act was enacted in FY97 but remains to be tested; bankruptcy courts have been created. Although land, whether for purchase or lease, is often critical for investment and as security for loans, antiquated real property laws guarantee chaos. Land registration records are untrustworthy and unreliable. Parties avoid registering mortgages, liens, and encumbrances because certain stamp duties and charges have been set at high levels. Instruments take effect from the date of execution, not the date of registration, so a bona fide purchaser can never be certain of title. It should be noted that one way companies have dealt with legal issues is by including a clause in arbitration agreements that allows for one of the parties to bring a dispute before another nation's court. This practice is allowed under Bangladeshi law. The Bangladesh Export Promotion Bureau has been helpful in assisting in dispute settlement of export-related transactions, but its powers are limited. Dispute settlement is also hampered by shortcomings in accounting practices and the registration of real property. With the exception of those conducted by a few internationally affiliated accounting firms, audits of balance sheets and profit and loss statements often follow clients' instructions and fail to conform to international standards. Documents affecting title to real property are often not registered, complicating transfer of ownership and collateralization. Political Violence There have been no incidents over the past few years of politically directed damage to foreign projects or installations, and violence targeted against business concerns has been isolated and criminal in nature. Programs called by political parties such as general strikes and blockades mostly affect businesses by keeping workers away with the threat of violence and blocking transport, resulting in significant productivity losses. Vehicles and other property are at risk from vandalism or arson during such programs, and looting of shops has occurred. The perception of a general deterioration of law and order, due largely to corruption and politically-sponsored thuggery, is a matter of widespread concern among Bangladeshis and has dampened domestic investment. Bilateral Investment Agreements The Foreign Investment Act includes a guarantee of national treatment. National treatment is also provided in bilateral investment treaties for the promotion and protection of foreign investment. Treaties have been concluded with 14 countries: the United States, Belgium, China, France, Germany, Italy, Malaysia, the Netherlands, Pakistan, Romania, South Korea, Thailand, Turkey, and the United Kingdom,. The United States-Bangladesh Bilateral Investment Treaty, signed on March 12, 1986, entered into force on July 23, 1989. Bangladesh has concluded tax treaties, assuring investors of fair treatment and the reduction or elimination of double taxation, with some countries, and generally adheres to the principal of national treatment with respect to tax policies. Separate bilateral agreements for the avoidance of double taxation have been signed with several nations including: Britain, Canada, Sweden, Singapore, South Korea, Sri Lanka, Pakistan, France, Malaysia, Japan, Germany, and Italy. In September 1991, a bilateral tax treaty was signed with the United States but has not yet entered into force, as specific areas of taxation are still being negotiated between the Bangladeshi and US governments. OPIC and Other Insurance Programs The United States Overseas Private Investment Corporation provides insurance coverage for some U.S. firms currently doing business in Bangladesh. In recent years, BDG authorities have been cooperative in approving requests for OPIC insurance. Bangladesh is a member of the Multilateral Investment Guarantee Agency. OPIC and BDG signed an updated bilateral agreement in May 1998. Capital Outflow Policy Beginning in fiscal year 1992, the Bangladesh Bank introduced measures to relax existing controls on the use of foreign exchange, especially on the current account. However, as of June 1998, the BDG continues to discourage capital outflow. Bangladeshi investments abroad require case-by-case approval by various government agencies and the Bangladesh Bank. Cases are more likely to be favorably considered if it can be shown that the investment will contribute directly to the export of goods, services or labor from Bangladesh--areas with potential for generating additional foreign exchange earnings. Major Foreign Investors The following is a list of major foreign direct investments in Bangladesh: U.S. Companies: --AES Transpower, power generation (projected) --American Express Bank, banking --American Life Insurance Company (American International Group), life insurance --Citibank, N.A., banking --Coastal Energy, power generation --Enron, energy development (projected) --Halliburton/Brown & Root, gas production/energy services --IBM World Trade Corporation, computer hardware and software --Louis Berger International, Inc., engineering and construction consultant --Mobil (LPG, lubricants facility (due on line in 1999) --New England Power Company (NEPC a consortium of El Paso, Ogden, Wartsila; projected) --Occidental Petroleum, oil & gas exploration and development --Okland Oil, oil exploration --Rhone-Poulenc Rorer (Bangladesh) Ltd., pharmaceuticals (France/U.S.) --Procter & Gamble (Bangladesh) Ltd., consumer products --Smith Cogeneration/Thermo Ecotek, power generation (projected) --United Meridian International, oil/gas exploration --Unocal (energy development) Third Country Companies --APL Private Company Limited (NOL), shipping (Singapore) --Karnaphuli Fertilizer Company Limited (KAFCO), manufacture of urea and ammonia, 54% held collectively by Chiyoda, Marubeni and IPM (Japan), Haldor Topsoe A/S (Denmark), Stamicarbon (Netherlands), and Commonwealth Development Corporation (U.K.) --Olympic-MI Bangladesh Ltd., manufacture of electric tools, fishing, and golf equipment (Japan) --Bangladesh Tobacco Ltd., manufacture of cigarettes, BAT Ltd. (U.K.) --Lever Brothers Bangladesh, manufacture of soaps, detergents, toiletries, and glycerin, Unilever Group (U.K.) --Bata Shoe Co. Ltd., manufacture of footwear, Bata (Canada) --Youngone Co. Ltd., manufacture of sportswear and garment accessories (South Korea) --Dada Bangladesh Ltd., manufacture of headgear (South Korea) --Bangladesh Oxygen Ltd., manufacture of dry ice, welding electrodes, industrial and medical gases, British Oxygen Ltd. (U.K.) --James Finlay & Co., tea estates, P & O Containers (U.K.) --Duncan Brothers (Bangladesh) Ltd., tea estates, Lawrie Group (U.K.) --Glaxo Bangladesh, manufacture of pharmaceuticals and related products, Glaxo Group Ltd. (U.K.) --Reckitt & Colman, manufacture of pharmaceuticals and related products, Reckitt & Colman (U.K.) --Berger Paints Bangladesh Ltd., manufacture of paint products, Berger Group (U.K.) --Novartis (Bangladesh) Ltd., manufacture of pharmaceuticals and related products (Switzerland) --Siemens Bangladesh Ltd., manufacture of telecommunications equipment (Germany) --AKZO-Nobel, chemicals (Netherlands) --Nestle Bangladesh Ltd., manufacture of food products (60% Switzerland) --Standard Chartered Bank, commercial banking (U.K.) --ANZ Grindlays Bank, commercial banking (Australia/U.K.) --Banque Indosuez, commercial banking (France) --Hong Kong Shanghai Bank, commercial banking (U.K.) --Societe Generale, commercial banking (France) --Hanil Bank, commercial banking (South Korea) --State Bank of India, commercial banking (India) --Habib Bank, commercial banking (Pakistan) --Industrial Promotion and Development Company of Bangladesh, holding company (U.K. joint venture) --International Development Leasing Company of Bangladesh, leasing (Korea/U.K. joint venture) --Singer Bangladesh Limited, manufacture of sewing machines, consumer electronics, lighting products and appliances (Canada) --Saudi-Bangladesh Industrial Investment & Agriculture Investment Company Ltd., holding company (Saudi Arabia joint venture) --Kader Synthetic Fibers Ltd., manufacture of synthetic yarn (Saudi Arabia, Netherlands joint venture) --Tamijuddin Textile Mills Ltd., manufacture of textiles (Netherlands joint venture) --The General Electric Company of Bangladesh, manufacture of fans, GEC Ltd. (U.K.) --Burroughs Wellcome & Company (Bangladesh) Ltd., manufacture of pharmaceuticals, Burroughs & Wellcome Ltd. (U.K.) --Hoechst Pharmaceutical, manufacture of pharmaceuticals, Hoechst (Germany) --Bangal Fisheries Ltd., deep-sea fishing and processing, (Japan joint venture) --Ahmed and Hakodate, deep-sea fishing (Japan joint venture) --Cosmo Food Ltd., seafood processing (Japan joint venture) --Cairn Energy, oil exploration and development (U.K., with Shell)[end of document]
Note* International Copyright, United States Government, 1998 (or other year of first publication). All rights under foreign copyright laws are reserved. All portions of this publication are protected against any type or form of reproduction, communications to the public and the preparation of adaptations, arrangement and alterations outside the United States. U. S. copyright is not asserted under the U.S. Copyright Law, Title 17, United States Code.