Local laws need amendment to enforce contracts, resolve disputes quickly: DCCI
Amendments to acts such as the Arbitration Act 2001, the Bankruptcy Act 1997 and the Companies Act 1994 should be made keeping the business sector in mind so that contracts can be enforced more easily in Bangladesh to resolve any commercial disputes quickly.
These would be conducive in harnessing the potentials of both local and foreign investment in Bangladesh, especially amid the current economic challenges, a delegate of the Board of Directors of the DCCI, led by Barrister Sattar, said during a discussion with Private Industry and Investment Adviser to the Prime Minister of Bangladesh Salman Fazlur Rahman at his BIDA office on Tuesday.
DCCI President Barrister Sattar also urged setting up a separate commercial court which may ease the process of contract enforcement, resolve disputes, and reduce the backlog of pending commercial disputes, a press release said.
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The bankruptcy laws also need an overhaul to make those applicable to companies and more business-friendly so that ailing companies can be restructured effectively rather than being pushed to closure through liquidation.
This will also attract FDIs to Bangladesh. Bangladesh can adopt the best international standards from other developed jurisdictions in this regard, he added.
Sattar also emphasised the need for an effective and fully integrated One Stop Service (OSS), preferably throughout the country, for the greater convenience of the existing businesses and upcoming investors, the release added.
Salman F Rahman said due to the adverse effects of the pandemic and the Russia-Ukraine war, the world economy is experiencing a critical time. In such circumstances, FDI and global trade flow can be a great enablers of the desired economic recovery of Bangladesh.
Alongside this, he emphasised the resurgence of local and backward linkage industry through substantial investment.
Regarding Bangladesh Investment Development Authority's OSS, he informed that required developments are underway for a national, effective and interoperable OSS to benefit potential local and foreign investors.
He also underscored the importance of increasing our tax-to-GDP ratio to enhance revenue generation.
DCCI Senior Vice President SM Golam Faruk Alamgir (Arman), Vice President Md Junaed Ibna Ali and members of the Board of Directors of DCCI were also present during the meeting.
