Narinjara News

Bangladesh eager to extend the MoU with Burma

Dhaka, May 19: Since the Memorandum of Understanding between Burma and

Bangladesh has expired on March 18th, Account Trade and Joint Commission

between the two countries have not been able to form, business sources said.

According to the MoU, the Account Trade consists of 24 commodities from Burma

and 44 from Bangladesh.  The financial transactions are to be carried out by

the Burmese Investment and Commercial Bank and Sonali Bank from Bangladesh.

Despite the expiry of the four-year period, the provisions of the MoU have not

been implemented yet.  Hence, Bangladeshi business has urged their government

to reassess the Account Trade between the two countries.

Sine the two countries could not reach the Costal Shipping Line agreement, the

Account Trade has not been able to be implemented.  The Shipping Ministry has

not been able to secure the agreement.

As the MoU has expired, there will be no Trade Fair this year, and the Joint

Trade Commission will not be formed.  Bangladeshi Businesses are eager to see

the renewal of MoU.

A Duty Free Display Centre is reported to be opened in Taknef, the Bangladeshi

town bordering Burma, by next year. This would allow the Burmese Business

people to buy duty free and Bangladesh expected to increase its trade through

the centre.

However, due to the instability of the Burmese currency, ambiguity of the

government control exchange policy, government regulation, and the widespread

corruption, the renewal of the MoU and the Account Trade is facing an uphill

battle, some observers’ remark. #

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