Expediting the long-pending BIMSTEC Free Trade Area (FTA) agreement is essential to unlock the region’s untapped trade potential, strengthen connectivity and transform the Bay of Bengal into a dynamic hub of economic growth, speakers said at a seminar organised by the Bangladesh Institute of International and Strategic Studies (BIISS) on Monday.
They observed that despite representing nearly 1.8 billion people and possessing enormous economic potential, intra-regional trade among BIMSTEC member states remains far below its capacity due to regulatory fragmentation, incomplete trade agreements and inadequate connectivity. They stressed that Bangladesh, as the current chair of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), has a unique opportunity to inject fresh momentum into the regional grouping.
The seminar brought together policymakers, diplomats, researchers and security analysts, including State Minister for Foreign Affairs Shama Obaed Islam, BIMSTEC Secretary General Indra Mani Pandey, BIISS President Major General (Retd.) A.N.M. Muniruzzaman and Bangladesh Trade and Tariff Commission Member Dr Mahfuz Kabir.
Addressing the seminar as the chief guest, State Minister Shama Obaed said Bangladesh assumed the BIMSTEC chairmanship at a time of profound global uncertainty marked by geopolitical tensions, supply chain disruptions, economic fragmentation, climate change, food and energy insecurity and evolving transnational threats.
“No country can overcome these challenges alone. Effective regional cooperation is therefore not merely desirable; it is indispensable,” she said.
She said the adoption of the Bangkok Vision 2030 and the BIMSTEC Charter had provided the organisation with a stronger institutional foundation, but the priority now should be translating commitments into implementation.
“Our chairmanship will be guided by three principles - implementation, inclusivity over exclusivity, and delivery over declaration,” she said.
Shama Obaed emphasised that Bangladesh’s foreign policy vision of “Bangladesh First” seeks to advance national interests through stronger regional cooperation rather than isolation.
As the lead country for trade, investment and development, including the blue economy, Bangladesh would work closely with member states to build consensus on the BIMSTEC FTA, she said, noting that more than two decades after the framework agreement was signed, its constituent agreements remain unfinished.
Highlighting the economic potential of the Bay of Bengal, she said fisheries, shipping, renewable energy and marine resources should be developed sustainably through scientific cooperation and capacity building.
The state minister also identified transport, energy and digital connectivity as priorities, urging member states to accelerate implementation of the BIMSTEC Master Plan for Transport Connectivity and the proposed coastal shipping agreement.
She further called for stronger regional support to resolve the Rohingya refugee crisis through the creation of sustained international pressure for the safe, voluntary and dignified repatriation of displaced Rohingyas to Myanmar.
Warning that regional prosperity cannot be sustained without peace and security, she advocated deeper cooperation in maritime security, counter-terrorism, law enforcement, disaster management, cyber security and climate resilience.
BIMSTEC Secretary General Indra Mani Pandey said the current global environment of geopolitical uncertainty and weakening multilateral institutions had made regional cooperation more relevant than ever.
“Regional multilateralism provides the way forward,” he said, arguing that smaller regional groupings are often better positioned to develop practical solutions to shared challenges.
Pandey acknowledged that BIMSTEC could have achieved more over the past three decades but maintained that the organisation had made significant institutional progress.
He highlighted ongoing initiatives across agriculture, transport connectivity, disaster management, health, science and technology, culture, tourism, maritime cooperation and security.
According to him, around 60 per cent of the projects under the BIMSTEC Master Plan for Transport Connectivity are already under implementation by member states.
He also pointed to progress in negotiations on the six constituent agreements required to operationalise the BIMSTEC Free Trade Area covering trade in goods, services, investment, customs cooperation, trade facilitation and dispute settlement.
Pandey said Bangladesh is leading efforts to establish a BIMSTEC Chamber of Commerce and Industry, while proposals are also under consideration to create a platform linking investment promotion agencies and strengthening fiscal and monetary policy coordination.
On security cooperation, he noted that BIMSTEC members had already operationalised a convention on counter-terrorism, transnational crime and drug trafficking, while another convention on mutual legal assistance in criminal matters is awaiting ratification by one remaining member state.
The seminar concluded with participants expressing optimism that Bangladesh’s chairmanship could help shift BIMSTEC from a forum focused on declarations to one delivering concrete outcomes in trade, connectivity, blue economy, climate resilience and regional security, thereby strengthening the organisation’s relevance in an increasingly uncertain global order.
BIISS President Major General (Retd.) Muniruzzaman said BIMSTEC had evolved into one of the most promising regional platforms connecting South and Southeast Asia and offered Bangladesh a strategic opportunity to become a regional hub for trade, energy and maritime cooperation.
Projects such as deep-sea ports, regional highways, cross-border electricity trade and digital connectivity could transform Bangladesh into a gateway linking the two regions, creating jobs, attracting investment and enhancing resilience against future global shocks, he observed.
Referring to the South Asian Association for Regional Cooperation (SAARC), he said BIMSTEC should not be viewed as a replacement but rather as a complementary platform.
“While SAARC represents the broader South Asian identity, BIMSTEC provides a more pragmatic framework connecting South and Southeast Asia through the Bay of Bengal,” he said.
He noted that South Asia continues to suffer from one of the world’s lowest levels of intra-regional trade despite geographical proximity, arguing that improved customs procedures, transport corridors, digital commerce and cross-border infrastructure could unlock enormous economic opportunities.
Dr Mahfuz Kabir said the BIMSTEC FTA negotiations had remained stalled primarily because no concrete timeline had been set for concluding the agreement.
“The positive aspect is that member states now share a positive mindset,” he said.
However, he identified regulatory fragmentation, uneven market access and differing national regulations governing goods and services as major obstacles to regional integration.
Describing BIMSTEC as a strategic bridge connecting South Asia, Southeast Asia, the Bay of Bengal and the Andaman Sea, he said the grouping occupies one of the world’s most important east-west shipping corridors and offers significant opportunities through integrated ports, logistics, production networks and regional value chains.
He added that the region’s expanding market, geographical proximity, resource complementarities, shared energy potential and commitment to connectivity provided strong foundations for deeper economic integration.
