Bangla regional infrastructure development: China in mind, agreement reached at summit meeting - government

The Japanese government has entered into arrangements to provide new yen loans in order to develop local infrastructure and improve the investment environment in Bangladesh. An agreement is expected to be reached at a meeting between Prime Minister Sanae Takaichi and Prime Minister Rahman scheduled for the 27th. The move is also intended to check China's increasing involvement in South Asia. This was announced by multiple government officials by the 22nd.

Prime Minister of Bangladesh visits Japan on the 26th

Previous aid to Bangladesh has focused on large-scale projects in urban areas, such as the construction of high-speed railways in the capital Dhaka. This time, we will focus on local public infrastructure, with a focus on small-scale businesses such as schools and hospitals.

The number of local Japanese companies increased from 61 in 2005 to 338 in 2025. The expansion of public services is expected to have benefits such as making it easier for Japanese companies to bring their families with them, and is expected to provide further support for expansion into the country.

In order to improve the investment environment, we will support the training of personnel in charge of tasks such as tax breaks and the development of systems to speed up approval procedures. Looking ahead to the entry into force of the Economic Partnership Agreement (EPA) between the two countries.

Bangladesh, which faces the Bay of Bengal, is positioned as a key point for maritime transportation, and China is also working to strengthen relations with the country. President Xi Jinping met with Prime Minister Rahman, who took office in February, in Beijing in June. They agreed to upgrade their friendship.

This is Prime Minister Rahman's first visit to Japan. Prime Minister Takaichi hopes to build a relationship of trust and strengthen cooperation on both the economic and security fronts.