Planning Adviser stresses Ctg port's potential as 'strategic trade hub'

Planning Adviser Wahiduddin Mahmud has underscored the potential of Chittagong Port as a strategic hub for trade and commerce for regions, especially for India's northeastern region.

He said the port could facilitate the export of goods from that area while also enabling the import of raw materials, which could be processed in Bangladesh for further export.

However, he revealed that the budget the interim government is going to present soon cannot include aspirational projects people expect as most of the development budget is going to nearly 1,200 inherited projects which could not be abandoned half-done despite their poor feasibility status.

He came up with the comments and observations at a seminar on Economic Corridor and Logistics Development in Bangladesh: Investment Opportunities organized jointly by International Chamber of Commerce- Bangladesh (ICC Bangladesh) and Asian development Bank (ADB) at Hotel Sheraton in the capital.

Speaking as chief guest, he said Chittagong port is an asset and could be utilised not only for the country but for the region as well.

"The northeastern states of India are rich in natural resources like bamboo and cane. These can be exported through Chittagong Port. What's more, those raw materials can be processed in the Chittagong Economic Zone and then exported, benefiting both countries."

However, he cautioned that a conducive geopolitical environment is essential for this vision to materialise.

"Favorable geopolitics foster favorable geo-economics," he remarked, adding that if such conditions are achieved, Bangladesh could assume a highly advantageous position in the region.

"That's why we're planning and undertaking projects centered on Chittagong Port."

The advisor stressed the importance of enhancing internal connectivity before pursuing transnational corridors.

"Improved communication with neighbouring countries is important, but we must first upgrade our domestic infrastructure. That said we cannot afford to waste resources on unviable projects."

Mahmud expressed concern over the current state of the development budget.

"This year's development budget includes around 1,200 projects-98 to 99 percent of which are inherited from the previous government. These projects are consuming our resources, leaving limited room for new initiatives or increased allocations in other sectors."

He noted that many of these projects were flawed and required corrective measures.

"We've restructured some, but if a road is already half-built, we can't just abandon it and redirect the funds to education or health which are hungry for allocation actually. That's why we couldn't take up the kind of new development projects people were expecting from the interim government."

He also criticised the lack of proper scrutiny in past project approvals. Citing the Bus Rapid Transit (BRT) project from Gazipur to Dhaka airport as an example, he said, "The project is reportedly 95-98 per cent complete, but the design was fundamentally flawed. Initially budgeted at Tk 30 billion, it now needs another Tk 30 billion to fix those errors."

Mahmud mentioned other problematic projects, such as the Dhaka-Bhanga expressway built via the Padma Bridge. "It's a world-class road, but it ends in a region with limited onward connectivity. While the Padma Bridge has eased transport across the river, the high construction costs have yet to yield significant private investment in the surrounding areas."

Speaking as chair, President of ICC Bangladesh Mahbubur Rahman said the case for economic corridor development is no longer inspirational. "It is urgent, evidence-based, and actionable."

He stated that if implemented effectively, the corridor could increase the region's combined output from $32 billion in 2020 to $286 billion by 2050 under a business-induced scenario (BIS), and generate up to 71.8 million jobs over the same period.

Mr Rahman emphasised that regulatory reforms, digitised customs processes, and strategic partnerships with regional and multilateral institutions - particularly the ADB - are positioning Bangladesh as a key player in South Asia's evolving trade landscape.

"ICC Bangladesh stands ready to support this agenda," he said, noting the institution's role in bridging the private sector with the global policy community.

He said the economic corridor envisions transforming 14 districts by linking manufacturing hubs in Khulna and Jessore to Sylhet and Mymensingh, covering nearly 34 percent of the national population.

"This is not just about infrastructure - it's about uplifting communities long left behind," he added.

Anisuzzaman Chowdhury, special assistant to the Chief Adviser at the Ministry of Finance, suggested that Bangladesh could draw valuable lessons from the transformative economic journeys of South Korea, the People's Republic of China, and Japan, particularly in their successful transition from poverty to prosperity.

He emphasised the need to synergise both financial and social capital to ensure Bangladesh fully benefits from its LDC graduation.

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