Bangladesh approves two trade deals with IndiaFebruary 5th, 2009 - 6:37 pm ICT by IANS
Dhaka, Feb 5 (IANS) Bangladesh’s cabinet Thursday unanimously approved two trade deals that are expected to be signed during the visit of Indian External Affairs Minister Pranab Mukherjee.At a special cabinet meeting chaired by Prime Minister Sheikh Hasina, the agreements on development and protection of capital investment under bilateral arrangement were passed.
The joint trade and investment agreement would allow businessmen from the two countries to invest in businesses on both sides of the border.
“The government is ready to sign more such agreements in the interests of the country and people’s welfare,” Sheikh Hasina told reporters after the meeting.
The trade treaty is a three-year bilateral trade agreement. Due to expire in March, it is being renewed after three years.
In 1980, the trade treaty was signed for the first time between the two neighbouring countries and it was renewed in March 2006 allowing India to invest in Bangladesh.
According to the treaty, the two governments agreed to make mutually beneficial arrangement for the use of their waterways, roadways and railways for commerce between the two countries.
The bilateral trade has always been heavily weighed in favour of India. It has accumulated to $one billion.
Mukherjee is scheduled to arrive in Bangladesh Feb 8.