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[🇧🇩] The U.S.A.---A Strategic Partner of Bangladesh

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India, US both need a stable Bangladesh

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VISUAL: FATIMA JAHAN ENA

Before returning to Bangladesh and assuming the mantle of leading the interim government, Nobel Laureate Prof Muhammad Yunus, in an interview with India's NDTV, stated that if Bangladesh becomes unstable, it will affect West Bengal, Myanmar, and the entire northeast India.

Now, West Bengal is bogged down in protests over a horrific case of rape and murder, with Chief Minister Mamata Banerjee declaring that she is "ready to resign." The state of Manipur is on red alert as recent drone and rocket attacks have triggered a fresh wave of ethnic violence. Meanwhile, "Myanmar is plumbing the depths of the human rights abyss," according to James Rodehaver, United Nations human rights chief of the Myanmar team. If the situation in the Bay of Bengal does not seem like a powder keg ready to explode, one must be truly blind.

However, the recent visit of a US delegation to Bangladesh offers some hope that the world is concerned with the evolving situation in the region. By the time this column is published, a bilateral meeting will have taken place between Chief Adviser Prof Yunus and US President Joe Biden on the sidelines of the UN General Assembly. On September 15, the inter-agency US delegation that met with the chief adviser included Brent Neiman, assistant secretary for the Department of Treasury; Donald Lu, assistant secretary of state for the Bureau of South and Central Asian Affairs; Änjali Kaur, USAID deputy assistant administrator for Asia; and Brendan Lynch, assistant US trade representative.

During the visit, USAID signed a development agreement worth over $200 million with the interim government to support Bangladesh in advancing development, strengthening governance, expanding trade, and creating greater opportunities for the Bangladeshi people to build a brighter and more prosperous future. From 2021 to 2026, USAID has committed nearly $1 billion in support.

Sources in the finance ministry indicate that the Asian Development Bank (ADB) may provide $900 million in budgetary support to Bangladesh by March 2025. Earlier this month, the interim government also requested $1 billion from the World Bank for the energy and power sector, along with another $1 billion for banking sector reforms. This is part of a broader effort to secure $8 billion from multilateral lenders and development partners to replenish the country's foreign exchange reserves and stabilise the economy.

One of Prof Yunus's key strengths is his appeal in the West, which is likely a significant factor in the potential inflow of foreign currency to support the interim government. These developments are critical at a time when Bangladesh is experiencing significant internal unrest. There are speculations that many forces, both within and outside the country, are actively working to discredit the government in any way possible, whether through inciting violence by exploiting religious sentiments, dividing the population with bad-faith identity politics, or organising misinformation campaigns to obscure the truth and paint the nation in the worst possible light.

The Yunus-Biden bilateral meeting, as well as the recent visit by the US delegation underscore the country's commitment to supporting Bangladesh's development and political stability under the interim government. By signing a development agreement through USAID and subsequently holding a bilateral meeting, the US has made it clear that it recognises the strategic importance of Bangladesh. Washington's backing, however, isn't just economic; it's also a strategic signal to regional powers that the situation in Bangladesh is of global concern. This development aligns with US interests in South Asia, particularly regarding regional stability, which is a cornerstone of its broader Indo-Pacific strategy.

Regardless of the nature of international involvement, the ultimate responsibility for the stability of a nation lies with its own people. While geostrategic partners like the US and India can offer financial support and diplomatic engagement, it is up to the people of Bangladesh to ensure that their nation remains stable.

India, as Bangladesh's closest neighbour, also has a vital role to play in ensuring that its own security interests align with Bangladesh's stability. Prime Minister Narendra Modi's government must ensure that extremist voices within India do not agitate the situation across the border. For instance, recent remarks by Indian Defence Minister Rajnath Singh and the militaristic language and posturing by other political actors do not bode well for diplomatic de-escalation and mutual cooperation. Indian policymakers should exercise caution so that domestic issues are not exploited to create friction between the two countries.

More importantly, India must adopt a balanced approach, combining diplomatic engagement with Bangladesh and ensuring that no internal forces within India undermine efforts for stability. Given the ethnic and religious diversity in India's northeast region and Bangladesh's proximity, any instability in Bangladesh will most definitely spill over, affecting not only West Bengal but also states like Assam and Tripura. It's in India's own security interest to support the interim government in Dhaka, providing assistance where possible to counter both external and internal threats.

Regardless of the nature of international involvement, the ultimate responsibility for the stability of a nation lies with its own people. While geostrategic partners like the US and India can offer financial support and diplomatic engagement, it is up to the people of Bangladesh to ensure that their nation remains stable. Some questions have already been raised about the competence of the interim government and its lack of urgency. This is not a good sign. It will need to navigate each new political challenge promptly and carefully, ensuring that democratic institutions remain functional and that extremist groups are not able to exploit any governance vacuums. It should also pave the way for an election that is free, fair and inclusive, which in itself is a daunting task.

In these unstable times, civil society and the media, in particular, will need to step up their activities drastically, countering the ongoing waves of misinformation campaigns and holding the reality on the ground for all of the world to see. The youth, intellectuals, business communities and political parties have a significant part to play in ensuring that polarisation does not destabilise the country further. This is a critical moment for Bangladesh; the future rests in the hands of the Bangladeshi people. The people who came out on the streets and gave their lives to dethrone an autocrat must now step up again and resist divisive forces. This is the only way to remake Bangladesh into a more prosperous and peaceful nation.

Zillur Rahman is executive director at the Centre for Governance Studies (CGS) and a television talk show host.​
 

Dhaka-Washington relations to be given focus during foreign secy’s visit
Raheed Ejaz
Dhaka
Published: 04 Oct 2024, 14: 53

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Flags of USA and Bangladesh File photo

The foreign secretary’s upcoming visit to the US will focus on further advancing Dhaka-Washington relations. There will also be discussions on future relations following the top level meeting between the two countries. Diplomatic sources in Dhaka and Washington disclosed this.

US President Joe Biden met chief advisor of Bangladesh's interim government Dr. Muhammad Yunus on the sidelines during the United Nations General Assembly (UNGA). Biden, in that rare meeting held breaching long-time practice, assured of providing all sorts of assistance to the Bangladesh government under the leadership of Dr. Muhammad Yunus.

US Secretary of State Antony Blinken met Muhammad Yunus afterwards.

Diplomatic sources say the Dhaka-Washington relations will move forward on the basis of those two meetings. Foreign secretary Md Jasim Uddin will leave for the US on 7 October to discuss the specific issues of cooperation between the two countries. He will be in Washington from 10-12 October. Before that, he will attend the UNGA to be held in New York.

Foreign ministry officials say during his three-day visit, the foreign secretary is scheduled to meet US acting under secretary for political affairs John Bass; under secretary of state for civilian security, democracy, and human rights Uzra Zeya; deputy assistant secretary of defence for South and Southeast Asia Lindsey Ford and assistant US trade representative for South and Central Asia Brendan Lynch. Apart from these, preparations are underway to hold a meeting with senior officials of the finance, revenue and labour departments of the US. US assistant secretary of state for South and Central Asian affairs Donald Lu is also expected to be present in this meeting.

This will be the third round of meetings between the two countries at different levels, including top level meetings, since the interim government took over on 8 August.

Earlier, on 15 September, a top-level US delegation visited Dhaka. After the US President Joe Biden and Secretary of State Antony Blinken met the chief adviser Dr. Yunus in the last week of September.

Speaking regarding his upcoming US visit, foreign secretary Md Jasim Uddin told Prothom Alo that there had been a qualitative change in terms of bilateral relations between Bangladesh and the US amid a changed context. The meeting between the US president and the chief adviser on the sidelines of the UNGA is a reflection of that. There will be discussions on how to further enhance cooperation between the two countries on the basis of the top level meetings held between the two countries late September during his upcoming visit to Washington.

The foreign ministry officials informed this correspondent that the progress of the talks between the two countries that have been held since the new government took over will be important in the upcoming visit of the foreign secretary. Overall, there will be talks on various issues, including reform at different sectors, economy, trade, investment, labour and human rights, good governance, preventing terrorism, defence, health, climate change and the Rohingya crisis.

According to diplomatic sources, the US secretary of state has mentioned that corruption is the main barrier for the US as the highest foreign investor to Bangladesh. The US is interested in helping Bangladesh on the basis of its experience to eradicate corruption.

The US secretary of state also mentioned the US importers’ concern with the prevailing law and order situation in Bangladesh in absence of the police. He stressed on good relations between the owners and workers to draw more investment and extend businesses.

Speaking to Prothom Alo, Michael Kugelman, South Asia Institute director at The Wilson Center, a Washington-based policy research institute, said, “Washington has a good impression about Dr. Yunus. So the US administration will be comfortable about advancing relations between the two countries.”

“The visit of the top level US delegation was a message from Washington that they will stand by Dhaka in all aspects – developments, humanitarian assistance and reform. That message was quite sincere and realistic which further strengthened through the meeting between Biden and Dr. Yunus,” he added.

*This report appeared on the print and online versions of Prothom Alo and has been rewritten in English by Ashish Basu​
 

Foreign secy to visit US October 7-14
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Jashim Uddin

Foreign Secretary Md Jashim Uddin is scheduled to make an official visit to the United States on October 7-14 to hold a series of meetings as the two sides eye stronger relations in diverse areas.

This is going to be his first official visit abroad since appointment. Jashim will have meetings with senior officials of the US government, a diplomatic source told UNB, adding that he would visit both Washington and New York.​
 

US values Bangladesh as a partner in Indo-Pacific region: Uzra Zeya

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Photo: Collected

Under Secretary of State for Civilian Security, Democracy, and Human Rights Uzra Zeya has said the US values Bangladesh as a "partner" in the Indo-Pacific region and their "strong collaboration" as their leading partner on Rohingya response and number one source of Foreign Direct Investment (FDI).

She shared a brief message on X, formerly known as Twitter, on Saturday as she had a meeting with Foreign Secretary Md Jashim Uddin in Washington on October 11.

"Vital discussion with Foreign Secretary Uddin on US-Bangladesh humanitarian cooperation, accountability and democratic institutions, and support for labor rights," she posted.

The foreign secretary and under-secretar had "fruitful discussions" on the reforms of the democratic institutions and upholding of democratic values, accountability of human rights violations, humanitarian response and sustainable solutions of the Rohingya crisis, and labour rights issues, etc, according to the Ministry of Foreign Affairs in Dhaka.

He also had a "productive meeting" with US Deputy Secretary of State Richard Verma at the State Department, affirming renewal of commitment to deepen and expand bilateral ties, strengthen collaboration on areas of mutual interest.

Their discussions focused on the US technical and financial support to reform initiatives of the interim government and addressing challenges, Rohingya issue, labour law reforms etc.

The foreign secretary had a separate meeting with acting US Under Secretary for Political Affairs John Bass and discussed ways to deepen bilateral collaboration building on the momentum in the Bangladesh-US relationship and to advance impactful cooperation in priority areas.

He also had discussions on diverse issues at a meeting with US Special Assistant to the President and Senior Director for South Asia Lindsey W Ford at the White House.

They covered interim government's reform agenda, democratic transition, economic and security issues, regional stability, Rohingya crisis, labour law etc.

Foreign Secretary Jashim Uddin met Brendan Lynch, assistant USTR for South and Central Asia and discussed mutual cooperation to diversify export, DFQF access of RMGs produced from cotton imported from US, simplification of registration and reduction of registration fees for pharmaceutical products, labour law reforms, and access to US International Development Finance Cooperation (DFC).

A lunch meeting between the foreign secretary and key officials focussed on a wide range of issues of mutual interests.

US officials include Assistant Secretary Ambassador Donald Lu, Acting Assistant Secretary Marta C Youth, Deputy Assistant Secretary Nicole Chulick, Deputy Assistant Secretary Monica Ager Jacobsen, as well as Director Alla P Kamins.

The foreign secretary visited New York before his tour to Washington and is scheduled to leave Washington on October 14.​
 

US reaffirms strong support for Bangladesh
Diplomatic Correspondent
Dhaka
Published: 12 Oct 2024, 10: 57

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Foreign secretary Jashim Uddin holds a key meeting with acting under secretary of state for political affairs John Bass on 10 October, 2024.John Bass' X handle

The United States has reiterated its assurance for strong cooperation with Bangladesh on democratic reforms and economic restructuring, emphasising the importance of Dhaka-Washington collaboration for the security and prosperity of South Asia.

The issues came up as foreign secretary Jashim Uddin, who is now on an official trip to Washington, held meetings with different US officials. Some of them also shared the meeting outcomes on the social media platform X (formerly Twitter).

After reaching there Wednesday night, the foreign secretary held a key meeting with the acting under secretary of state for political affairs, John Bass, on the following day. Later, he was supposed to meet with Lindsey W Ford, senior director for South Asia at the US national security council; Richard R Verma, deputy secretary of state; and Brendan Lynch, assistant US trade representative.

The foreign secretary attended a luncheon with senior officials from the US state department, including assistant secretary of state for South and Central Asia, Donald Lu.

Sharing a still of his meeting with the foreign secretary, John Bass wrote on X, “Appreciated meeting today with Bangladesh’s foreign secretary Uddin to discuss our partnership on shared economic and counterterrorism goals. We discussed the vital importance of US-Bangladesh cooperation for regional security and prosperity.”

Deputy secretary of state Richard R Verma wrote, “Pleased to meet with Bangladesh’s foreign secretary Jashim Uddin to reaffirm the United States’ support for democratic reforms, stability, and strengthening of Bangladesh’s economy.”

Meanwhile, Marta Costanzo Youth, acting assistant secretary for the bureau of population, refugees, and migration, attended a lunch hosted by the Bangladesh chargé d' affaires in Washington, DM Salahuddin Mahmud, in honor of the foreign secretary.

After the event, Youth wrote on X, "Great meeting with Bangladesh foreign secretary Jashim Uddin. The US and Bangladesh have been partners on the Rohingya response from the beginning. The US is committed to continuing to support the response and encourage other donors to do more.”

Earlier, the US president, Joe Biden, had a rare meeting with the chief advisor to Bangladesh’s interim government, Dr Muhammad Yunus, on the sideline of the United Nations General Assembly. He assured of strong US support for democratic reforms and economic restructuring in Bangladesh.

Later, the US secretary of state, Antony Blinken, also met with the interim government chief and discussed bilateral cooperation in detail. Prior to these meetings, a high-level US delegation visited Bangladesh on 15 September. The foreign secretary’s US trip came in continuation of the diplomatic engagement.​
 

মার্কিন ব্যবসায়ীদের বাংলাদেশে আরও বিনিয়োগের আহ্বান প্রধান উপদেষ্টার
‘আপনার দায়িত্ব গ্রহণের পর থেকে আমেরিকান কোম্পানিগুলোর বাংলাদেশে আগ্রহ অনেক বেড়েছে।’

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মার্কিন ব্যবসায়ীদের বাংলাদেশে আরও বিনিয়োগের আহ্বান জানিয়েছেন প্রধান উপদেষ্টা ড. মুহাম্মদ ইউনূস।

তিনি বলেন, অন্তর্বর্তী সরকার বিদেশি বিনিয়োগ আকর্ষণ এবং দেশের ব্যবসায়িক পরিবেশ উন্নয়নে বিভিন্ন পদক্ষেপ নিয়েছে।

ঢাকায় মঙ্গলবার রাষ্ট্রীয় অতিথি ভবন যমুনায় তিনি একটি মার্কিন ব্যবসায়ী প্রতিনিধি দলকে বলেন, 'আপনারা সঠিক সময়ে এ দেশে এসেছেন।'

এক্সিলারেট এনার্জির প্রধান নির্বাহী কর্মকর্তা (সিইও) এবং ইউএস-বাংলাদেশ বিজনেস কাউন্সিলের চেয়ারম্যান স্টিভেন কোবোসের নেতৃত্বে মার্কিন ব্যবসায়ী প্রতিনিধি দল এদিন প্রধান উপদেষ্টার সঙ্গে সাক্ষাৎ করেন।

অন্তর্বর্তী সরকারের নেতৃত্ব গ্রহণ করায় প্রধান উপদেষ্টার প্রশংসা করে স্টিভেন কোবোস বলেন, এটি বাংলাদেশে ব্যবসায় আস্থা বাড়াবে।

তিনি বলেন, 'আপনার দায়িত্ব গ্রহণের পর থেকে আমেরিকান কোম্পানিগুলোর বাংলাদেশে আগ্রহ অনেক বেড়েছে।'

কোবোস আরও জানান, ইউএস-বাংলাদেশ বিজনেস কাউন্সিলের সদস্যসহ শীর্ষস্থানীয় মার্কিন কোম্পানিগুলো দক্ষিণ এশিয়ার এই দেশে ব্যবসার সম্ভাবনা নিয়ে অনেক আগ্রহী।

তার কোম্পানি বাংলাদেশের জ্বালানি খাতে এবং কার্বন নিঃসরণ হ্রাসে আরও বিনিয়োগের পরিকল্পনা করছে, বলেন কোবোস।

তিনি বলেন, কোম্পানিটি দেশে তরলীকৃত প্রাকৃতিক গ্যাস (এলএনজি) সরবরাহ বৃদ্ধি করতে চায়। বর্তমানে এক্সিলারেট বাংলাদেশের দুটি অফশোর ফ্লোটিং স্টোরেজ এবং রিগ্যাসিফিকেশন ইউনিটে (এফএসআরইউ) বিনিয়োগ করেছে, যা প্রতিদিন এক দশমিক এক বিলিয়ন ঘনফুট গ্যাস সরবরাহ করে। দেশের দৈনিক গ্যাস সরবরাহের প্রায় ৩৪ শতাংশ এখান থেকে আসে।

সম্প্রতি মার্কিন যুক্তরাষ্ট্র সফরকালে প্রধান উপদেষ্টা ইউএস-বাংলাদেশ বিজনেস কাউন্সিলের একটি অনুষ্ঠানে বক্তব্য রাখেন। সেখানে এই সংগঠনের ৫০ জন সদস্য উপস্থিত ছিলেন, যার মধ্যে কিছু শীর্ষস্থানীয় আমেরিকান বহুজাতিক কোম্পানিও ছিল। ড. ইউনূস উপস্থিত মার্কিন ব্যবসায়ীদের বাংলাদেশে বিনিয়োগের আমন্ত্রণ জানান।

সাক্ষাৎকালে স্টিভেন কোবোসের সঙ্গে প্রতিনিধি দলে ঢাকায় যুক্তরাষ্ট্রের সাবেক রাষ্ট্রদূত পিটার হাসসহ এক্সিলারেট এনার্জির উচ্চপদস্থ কর্মকর্তারা ছিলেন। পিটার সম্প্রতি এক্সিলারেট এনার্জিতে স্ট্র্যাটেজিক অ্যাডভাইজার হিসেবে যোগ দিয়েছেন। এ ছাড়া, প্রতিনিধি দলে কোম্পানিটির ভাইস প্রেসিডেন্ট ডেরেক ওয়ং ও র‌্যামন ওয়াংডি এবং বাংলাদেশের আবাসিক ব্যবস্থাপক হাবিব ভূঁইয়া উপস্থিত ছিলেন।

সাক্ষাৎকালে প্রধান উপদেষ্টার এসডিজি বিষয়ক মুখ্য সমন্বয়ক লামিয়া মোরশেদ, বাংলাদেশ বিনিয়োগ উন্নয়ন কর্তৃপক্ষের (বিডা) নির্বাহী চেয়ারম্যান আশিক চৌধুরী ও জ্বালানি সচিব সাইফুল ইসলাম উপস্থিত ছিলেন।​
 

Strained relations with US improved a lot: foreign adviser

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Photo: BSS

Bangladesh's strained relations with the United States have been improved under the present interim government, Foreign Affairs Adviser Md Touhid Hossain said yesterday.

There were some unnecessary strains with the US during the last government, especially towards the end of its tenure.

However, since the interim government assumed the office, the situation has improved a lot, he told reporters at a briefing at the foreign ministry yesterday afternoon.

The foreign adviser said during the ousted Awami League government's last tenure, tensions between Dhaka and Washington had been heightened unnecessarily.

He focused on Bangladesh's relationship with the US and emphasised on maintaining good relations with all countries.

"Our policy is to foster positive relations with everyone. The previous strain with the US was a deviation from this policy, but now we have been able to correct it," he said.​
 

US reaffirms commitment to women’s economic growth in Bangladesh

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Star Digital Graphics

The US has reaffirmed its commitment to women's economic empowerment and fostering economic growth that is both gender-inclusive and provides opportunities to religious and other minorities across Bangladesh.

US Embassy Chargé d'Affaires Megan Bouldin made this comment as she presided over an event celebrating 90 aspiring women entrepreneurs on their completion of the Academy for Women Entrepreneurs (AWE) programme in partenership with BRAC University's Center for Entrepreneurship Development in the capital today.

The ceremony celebrated the achievements of 78 exceptional women entrepreneurs from across Bangladesh -- including Sylhet, Cumilla, Barishal, Khagrachari, Jashore, Chattogram, and Dhaka -- who successfully completed the second cohort of the US government-funded AWE Program, says a US embassy statement.

Congratulating the women, Bouldin said, the women were paving the way for future generations of women entrepreneurs and proving that women have a critical role to play in Bangladesh's economic development.

During the ceremony, six top business pitch winners from the latest cohort were awarded for their outstanding business proposals

Chargé d'Affaires Bouldin also announced an additional $30,000 grant to fund a business pitch competition among 140 participants from all AWE cohorts.

"We are thrilled to announce this funding, which will allow women from all cohorts to compete for multiple $5,000 awards to support their entrepreneurial ventures," Bouldin added.

The event featured a mini-fair and exhibition where participants showcased and sold their products, demonstrating the entrepreneurial skills they developed through the programme.​
 

The Gen Z factor in geopolitics and the Bangladesh-US dynamics

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VISUAL: SALMAN SAKIB SHAHRYAR

In his victory speech following the US presidential election last month, President-elect Donald Trump began by thanking his supporters and highlighting the unwavering support of his family, especially his youngest son, Barron Trump. Barron, who stood by his father's side during the speech, was acknowledged as a source of strength throughout the campaign, particularly his silent role in shaping the podcast strategy for the Trump campaign during the election. Barron masterminded the well-crafted campaign's digital presence, utilising podcasts as a key platform to engage with tech-savvy voters, with his calm presence offering a softening contrast to the fiery rhetoric of the election. This draws an interesting parallel to developments in Bangladesh, and both offer a glimpse into a future where youth-driven values can guide the direction of politics and trade.

The argument that those belonging to Generation Z, or Gen Z, is too immature to take on higher roles, overtaking more experienced generations, overlooks the fact that maturity and leadership are not solely defined by age or years of experience, but by fresh perspectives and the ability to address current challenges. Rather than criticising Gen Z for stepping into leading roles, it is more productive to guide them through the complexities of the future. By fostering intergenerational collaboration, older generations can equip Gen Z with the tools they need to lead effectively in an ever-evolving global landscape, navigating the nuances of decision-making, diplomacy, and long-term strategy. For instance, Gen Z in Bangladesh must grasp the complexities of global trade, including the influence of major powers like the US, China, Russia and the EU, each with its own economic priorities and strategies.

Gen Z should keep in mind that the US cannot afford to overlook a partner like Bangladesh given the country's pivotal position in South Asia's economic landscape. Bangladesh's geopolitical location along the Bay of Bengal places it at the crossroads of vital maritime routes and in close proximity to other major players, including India and China. Supporting Bangladesh's economic stability aligns with the US Indo-Pacific Strategy, offering a counterbalance to China's Belt and Road Initiative (BRI) and reducing excessive reliance on Beijing in an increasingly contested region. By understanding these complexities, Gen Z leaders can advocate for policies that not only drive growth locally, but also position Bangladesh as a bridge between aforesaid larger powers. Likewise, they must actively participate in international forums, harnessing its geopolitical influence to negotiate better trade terms, attract foreign green investments, and secure support on critical climate issues, especially given Bangladesh's vulnerability.

For the US, missing out on Bangladesh as a partner would mean yielding influence in South Asia to China and Russia, potentially limiting its own access to the rapidly growing South Asian market and diminishing regional strategic foothold. Conversely, by leveraging the Indo-Pacific Strategy and EU Global Gateway together with the potential BRICS and ASEAN alignment, Bangladesh can pursue a more autonomous development path that safeguards its economic interests and strategic flexibility. This multi-aligned approach empowers Bangladesh to tap into a variety of global resources, strengthening its economy while asserting its role as a key player in the geopolitical and economic order of Asia.

Gen Z should recognise that Bangladesh's growing maturity opens new opportunities for deeper US engagement given a renewed Trump presidency. No longer just a partner for development assistance or low-cost manufacturing, Bangladesh is increasingly a sophisticated strategic ally ready to foster a forward-looking relationship based on mutual economic growth and matured strategic alignment. Expanding trade and investment in emerging sectors, supporting the diversification of Bangladesh's economy, and increasing trade preferences could not only secure US interests in Asia, but also ensure that Bangladesh remains resilient in a region of growing strategic significance.

Bangladesh's growing role as a soft power leader within the Muslim world is a significant asset that enhances its strategic appeal to the US, especially amid shifting global alliances. As the world's third largest Muslim-majority country, Bangladesh is well-positioned to influence and engage with other Muslim-majority nations with a rich history of promoting religious tolerance and social stability. This moderate stance of the country offers a model that can resonate in regions susceptible to extremism, making it a potentially valuable partner for the US in promoting win-win stability across the Muslim world. For the US, which has often struggled to engage with Muslim-majority countries in ways that align with both security interests and values, Bangladesh's leadership in the Muslim world offers a resourceful bridge.

A second Trump administration would have an opportunity to engage with Bangladesh as it aims to establish more accountable governance free from the undue influence of neighbouring powers. Bangladesh is currently navigating complex challenges, including political reforms, economic stabilisation, and curbing external pressures. Recent steps taken by the interim government to introduce reforms in various crucial sectors signal a desire for a more transparent and autonomous leadership, making it an ideal time for the US to support Bangladesh's ambitions for a stable and sovereign future. Furthermore, by addressing the root causes of regional crises, such as border tensions, refugee pressures and political interference, Trump could advance a cooperative framework that supports Bangladesh's national sovereignty. Moreover, the Yunus effect for Bangladesh stands as a powerful equation linking the US and Bangladesh through shared values of economic development, entrepreneurship, and social responsibility.

The role of a well-informed Gen Z in shaping Bangladesh-US trade relations through a growing demand for stability, sovereignty, and sustainability will only strengthen them, positioning them as a key catalyst for transformative change in future global trade dynamics.

Dr Iftekhar Ul Karim is assistant professor at BRAC Business School, BRAC University.​
 

US remains top country in credit card spending by Bangladeshis

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The USA has been the top country in terms of international spending by Bangladeshi cardholders for the fifth consecutive month until November.

The North American country replaced India in July last year when Bangladesh faced deadly student protests over public job quotas, which subsequently toppled the Sheikh Hasina government in early August.

Since then, it has remained the top country for international spending by Bangladesh's credit cardholders, according to the Bangladesh Bank's (BB) monthly report on domestic and international usage of credit cards.

In November 2024, the USA accounted for 15.87 percent of the total Tk 431 crore spent by holders of Bangladesh's credit cards in foreign countries.

Spending in India, where thousands of Bangladeshi people visit for medical treatment, business, and tourism, was the second-highest in terms of international spending through credit cards in November. In October, spending through credit cards issued by banks in Bangladesh was the second highest in Thailand.

The central bank reported that overall transactions through credit cards in domestic and international markets declined in November compared to the previous month.

Transactions within Bangladesh fell by 2.55 percent to Tk 2,793 crore in November from Tk 2,866 crore in October.

Similarly, transactions outside the country stood at Tk 431 crore in November, down 13.5 percent from the previous month, according to the Bangladesh Bank, which prepared the report using data from 44 banks and one non-banking financial institution.

The data indicates a mixed spending pattern across different sectors.

Domestic spending at department stores fell to Tk 1,333 crore in November from Tk 1,400 crore a month ago. The Bangladesh Bank also noted that cash withdrawals and transportation expenses experienced slight increases.

Internationally, department stores continued to dominate spending, contributing to 29 percent of total transactions abroad.

Based on the data, it can be concluded that Bangladeshi credit cardholders conducted approximately 2.13 times more transactions outside the country compared to foreign nationals within Bangladesh in November 2024, the Bangladesh Bank reported.​
 

American investor Ray Dalio meets Yunus in Davos
Published :
Jan 24, 2025 22:56
Updated :
Jan 24, 2025 22:56

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American investor Ray Dalio has met Chief Advisor Muhammad Yunus in Switzerland’s Davos.

Dalio, the founder of Marino Management and Dalio Family Office, held the meeting on Friday on the sidelines of the World Economic Forum, or WEF, Annual Meeting 2025.

Aamer Alireza, chairman of the executive committee of the Xenel Group (Red Sea Gateway Terminal Company) also met the interim prime minister, according to Chief Advisor’s Deputy Press Secretary Md Abul Kalam Azad Majumdar.

Yunus arrived in Switzerland on Tuesday and is set to attend seven events on Friday, the final day of his visit, reports bdnews24.com.

During his visit, he attended a Bangladesh-focused dialogue and held meetings with business leaders and heads of international organisations.

The chief advisor is expected to return to Bangladesh on Saturday.​
 

Future of US aid in Bangladesh
MA Hossain 26 January, 2025, 00:00

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New Age

THE decision by US President Donald Trump to suspend foreign aid for 90 days, announced on the very night of his second term inauguration, has raised concerns across the globe. For countries like Bangladesh, where US assistance is crucial in development efforts, this move warrants careful examination. Stakeholders, development partners, and analysts are now assessing the potential implications, not just for Bangladesh, but for global stability and progress.

Since Bangladesh’s independence, the United States has been a critical development partner, contributing to sectors like food security, health, governance, education, and environmental sustainability. According to USAID, Bangladesh hosts one of Asia’s largest US development programmes, highlighting its strategic importance in South Asia. This partnership has not just been about funding but about fostering progress that benefits millions of lives.

In recent years, US aid has played a transformative role in addressing the Rohingya crisis, which has burdened Bangladesh with the care of nearly one million refugees. With over $2.5 billion in humanitarian assistance since 2017, the US has been the largest donor to this cause. This aid has not only supported Rohingya refugees but also benefitted host communities in Cox’s Bazar, a region facing immense socio-economic strain. Without sustained US support, the question looms: how will this crisis — already a monumental task — be managed?

Beyond humanitarian assistance, US aid fuels critical development projects. In 2023 alone, Bangladesh received $490 million from the US, supporting initiatives across various sectors. This aid is indispensable for a country aiming to transition to upper-middle-income status by 2031. The suspension of such aid raises immediate concerns about the fate of ongoing projects and the future of critical programmes. For instance, how will the Rohingya crisis be managed without sustained US support? Who will fill the vacuum if US funding is curtailed?

The executive order directing the suspension of US foreign aid marks a seismic shift in American foreign policy. According to the White House, this reassessment aims to ensure that US foreign aid aligns with national interests, prioritising safety, strength, and prosperity for Americans. Secretary of state Marco Rubio encapsulated this approach by asking, ‘Does it make the US safer? Does it make the US stronger? Does it make the US more prosperous?’ The implication is clear: aid programmes that fail to directly benefit the US could face cuts or termination.

This marks a departure from the traditional view of foreign aid as a tool for global stability, poverty alleviation, and diplomatic goodwill. Instead, it places US interests above multilateral or humanitarian considerations, signalling a retreat from global leadership. While some Americans might see this as a pragmatic move, its long-term ramifications — both for global stability and US strategic interests — are troubling.

The US decision to withdraw from the World Health Organisation adds another layer of uncertainty. The WHO has been a vital partner in combating health challenges in Bangladesh, including the Covid-19 pandemic. Reduced funding for the organisation could weaken its capacity to support developing countries, leaving Bangladesh vulnerable to public health crises. Moreover, the broader implications are equally troubling. US aid has been instrumental in fostering democracy, promoting gender equality, and enhancing climate resilience in Bangladesh. Any disruption to these programmes could derail progress and undermine the country’s development trajectory.

This is not just a Bangladesh issue; it’s a global one. For decades, the United States has been the largest provider of foreign aid, using its resources to address global challenges, from poverty to pandemics. This leadership role has helped maintain a semblance of balance in an increasingly fragmented world. However, the shift in US policy threatens to upend this dynamic. Countries in Africa, Asia, and Latin America that rely heavily on US assistance could face severe setbacks. The potential weakening of multilateral institutions like the WHO could exacerbate global inequalities, leaving vulnerable populations without access to essential services.

Moreover, the US decision could embolden other nations to adopt a similarly insular approach, undermining international cooperation. In an era where global challenges — climate change, pandemics, and migration — require collective action, the withdrawal of US leadership could have dire consequences.

President Trump’s executive order is rooted in the argument that US aid programmes must align with American interests. While this is a legitimate consideration, it’s worth questioning whether such a narrow definition of ‘interest’ serves the US or the world in the long run. Foreign aid is not merely an act of altruism; it’s a strategic investment. By addressing poverty, instability, and crises abroad, the US reduces the risk of conflicts, migration, and security threats that could spill over into its borders. In regions like South Asia, where geopolitical tensions run high, US aid plays a stabilising role, fostering goodwill and strengthening alliances.

For Bangladesh, the US has been more than just a donor — it has been a partner in progress. This partnership is built on shared interests, from economic growth to regional stability. It would be short-sighted to undermine these gains in the name of immediate national benefits. Bangladesh, too, must take this opportunity to reflect. It should engage in diplomatic efforts to emphasise the mutual benefits of continued US aid. Highlighting Bangladesh’s strategic importance as a partner in South Asia could help secure support for critical programs. While the US aid suspension poses significant challenges, it also serves as a wake-up call to diversify its sources of aid and investment. Reliance on a single donor is risky, and strengthening ties with other nations and multilateral organisations could provide a buffer against potential aid cuts. Moreover, Bangladesh must accelerate efforts to achieve self-reliance. By fostering economic growth, improving governance, and investing in human capital, the country can reduce its dependence on foreign aid and chart its own course towards prosperity.

At the same time, the US must recognise that its global leadership role comes with responsibilities. By prioritising short-term gains over long-term stability, it risks losing the trust and goodwill of its partners. In an interconnected world, true strength lies not in isolation, but in collaboration. The withdrawal of US aid, if mishandled, could lead to a domino effect of reduced international cooperation, jeopardising progress made over decades.

In the face of uncertainty, Bangladesh must adopt a proactive approach. Diplomatic efforts should be redoubled to emphasise the mutual benefits of continued U.S. aid. Highlighting Bangladesh’s strategic importance as a partner in South Asia could help secure support for critical programmes. Additionally, policymakers must prioritise resilience and innovation to navigate these uncertain times.

The suspension of US aid forces us to question whether nations can truly afford to prioritise insular interests at the expense of global stability. For Bangladesh, the path ahead is fraught with challenges. But with resilience, strategic diplomacy, and a commitment to self-reliance, it can navigate this uncertain terrain and continue its journey towards a brighter future.

MA Hossain is a political and defence analyst based in Bangladesh.​
 

US global aid cut to affect Bangladeshi projects, Rohingyas exempted

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As part of global funding suspension in line with US President Donald Trump's new policy, the US aid agency has directed all the implementing partner in Bangladesh to immediately stop, cease, and suspend any work of the USAID-funded projects.

However, the move excludes aid support for the Rohingya community sheltered in Bangladesh.

"This letter serves as a directive to all USAID/Bangladesh Implementing Partners to immediately stop, cease, and/or suspend any work performed under your respective USAID/Bangladesh contract, task order, grant, cooperative agreement, or other acquisition or assistance instrument," says a letter issued by Richard B Aaron, director for the Office of Acquisition & Assistance of USAID yesterday.

Contacted, the US embassy in Dhaka today said it has no comments, but referred the Trump administration's executive order issued by the White House on January 20.

A diplomatic source has confirmed to The Daily Star of issuing of the letter.

The executive order by the White House has issues a 90-day pause in the US foreign development assistance.

"It is the policy of United States that no further United States foreign assistance shall be disbursed in a manner that is not fully aligned with the foreign policy of the President of the United States,"

There are now over 100 projects being implemented with USAID funds of over $200 million in the areas of health, agriculture, environment, good governance, democracy promotion, among others.

The US government provided Bangladesh about $490 million in 2023 for the development sector. In September last year, the USAID committed to provide $202.25 million in aid as part of the Development Objective Grant Agreement (DOAG).

The letter said the partners shall take all reasonable steps to minimise the incurrence of costs allocable to their awards and not resume work under their awards until notification has been received in writing from the contracting/agreement officer that this award stop work order or suspension has been cancelled.

It also asked the implementing partners to send a certification that they have completely ceased the activities concerned.

The letter also said that the USAID anticipates many questions concerning the notification that it will follow up with further guidance as soon as available.

A diplomatic source said the emergency food and other assistance may not be affected by the US policy.

Meanwhile, Chief Adviser Prof Muhammad Yunus in a statement expressed his gratitude to President Donald Trump for exempting life-saving food and nutrition support for the displaced Rohingya sheltered in Bangladesh from the US aid freeze.

"Officials of the US Embassy in Dhaka visited High Representative Dr Khalilur Rahman this afternoon and informed him about this exemption," said the CA's press wing in a statement.​
 

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