Official panel asks Dhaka to okay Tatas' project
If approved, this would be the largest ever FDI in the country, sources said.
By PTI |
DHAKA: A high level Committee of Secretaries is understood to have suggested to the Bangladesh Government to go ahead with the project proposed by Indian corporate giant Tatas with an estimated investment of about three billion dollars.
The Committee of Secretaries, headed by Communication secretary Shafiqul Islam, is believed to have submitted a report to Bangladesh's Finance Minister Nizami and said that the proposed project by Tatas can be given the go ahead.
Tatas, India's biggest business conglomerate, had recently decided to indefinitely suspend work on its three billion dollar investment plan in Bangladesh citing frustrating delays in getting government approval for its investment plans.
Tatas' plan presumably included a steel plant with an annual production capacity of 2.4 million tonnes, an urea factory with a one million tonne capacity, a 500 MW coal-fired station and a 1,000 MW gas-fired power plant.
If approved, this would be the largest ever FDI in the country, sources said.
They also said that the Bangladesh Government was not able to give nod to Tatas' project as elections were due in January next year.
This was the reason (election and formation of new government) cited by Tatas for suspending the work on their three billion dollar investment. They had said the company would continue to monitor opportunities here closely.
According to sources, Bangladeshi Government was supposed to have signed a final agreement with Tatas in July itself.
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