Indian companies plan to invest close to $100 million in a variety of projects in Bangladesh.
According to a report of The Hindu’s Business Line, a number of Indian and Bangladeshi companies signed joint venture agreements for projects in sectors such as limousine services, manufacturing three-wheelers and software development during road shows held in Chennai and Mumbai recently.
The private sector initiative comes even as the Indian government is doing its bit to bolster relations between the two countries.
Foreign Secretary Ranjan Mathai had said earlier this year that Indian trade and industry had told the Government that it sees Bangladesh as a “very, very important partner”, and it would like to take forward plans for investment, trade and joint ventures between the two countries.
In March, senior officials of the Ministry of External Affairs had said that in the last six months or so 38 Indian investments had been finalised with the Board of Investments in Bangladesh worth about $183 million.
Major Indian companies such as Bharti Airtel, Tata Motors, Sun Pharma, Asian Paints, Marico, Godrej, Venky’s Hatcheries, Parle Products, Forbes and Marshall had invested in Bangladesh in the recent past.
Further, according to the Indian High Commission in Dhaka, 16 projects worth around $795 million out of the $800 million Line of Credit which was signed between the two countries in 2010 have been identified.
These include projects for supply of locomotives, tank wagons, flat wagons and brake wagons to Bangladesh railway.
Besides India has disbursed $150 million of its $ 200 million promised grant that Bangladesh said would use in the self-financed Padma bridge project.
A recent media survey commissioned by Hindu and CNN-IBN TV channel showed Indians trust Bangladesh the most (48%) amongst all foreign countries with Russia following a close second (46%) .