Bilateral treaties, FDI protection act need review: BSEC

block

Business Report :
The country’s all bilateral treaties and foreign investment protection act need to be revised and modernised as soon as possible to avoid the impact of risky clauses, which are detrimental to the interests of Bangladesh, said Bangladesh Securities and Exchange Commission (BSEC) Commissioner Rumana Islam on Sunday.
Ms Islam, also a panel arbitrator at the International Centre for Settlement of Investment Disputes, said the Investment Protection Act 1980 has clauses that have very substantive protection rights to foreign investment, and some of them are highly debatable and very risky for Bangladesh as a host country.
“It is high time that we have a new investment protection act that will actually address the challenge, the dynamics, and the needs of the time,” she said, adding that only Bangladesh can provide protection to foreign investment and the interests of the country.
She was speaking at a seminar at the Bangladesh International Arbitration Centre (BIAC) on ‘Resolving Investment Dispute: Strategies for Successful Outcome and Need for a Robust ADR Framework’ on the occasion of the 13th anniversary of BIAC.
Speaking as the chair at the event, Chairman of BIAC Board Mahbubur Rahman said the directive of Bangladesh Bank to all banks to collaborate with arbitration centres like BIAC will streamline financial dispute resolution and reduce the burden on the courts, benefiting both financial institutions and borrowers.
He said the increasing demand for BIAC’s services reflects the growing acceptance and practice of ADR among commercial organisations and financial institutions in Bangladesh.
“I am confident that this trend will continue and expand,” she said.
Mr Rahman, also president at the International Chamber of Commerce, Bangladesh, said numerous national and international training programmes, seminars, and webinars in collaboration with regional ADR institutions have been instrumental in enhancing the expertise of professionals, including ADR facilitators, practicing lawyers, bankers, corporate and government officials, and representatives of commercial and business organisations.