Political stability and improved law and order are essential to revive the investment climate and keep the economy functioning normally, former president of American Chamber of Commerce in Bangladesh (AmCham) Syed Ershad Ahmed has said.

“The investment climate is not favourable at all at present. We must first restore law and order and political stability,” he said while analysing a World Bank report yesterday (7 October).

Ershad warned that political instability and threats of fresh movements could undermine business, trade and investment at a time when the economy needs to stabilise.

“Let the economy stand first. Everyone should work together to sustain it and allow everything to return to normal,” he said.

He stressed the need to keep business and trade running, saying the government must take decisions calmly and provide investors with assurances that the business environment is stable and conducive to operations.

“If there is no business, from whom will the government collect taxes?” he asked.

Ershad also called for improvements in infrastructure and essential services to attract foreign investment, particularly ensuring reliable electricity and energy supplies and making the country’s ports more efficient.

He said stronger port facilities would help improve Bangladesh’s competitiveness in the global market.

Foreign investment, he added, brings more than capital, as it also introduces new technologies, modern management practices and skills while creating employment opportunities.

“These issues must be given priority in creating a favourable investment environment,” Ershad said.