Bangladesh PM Sheikh Hasina Asks OECD, UN To Extend Preferential Trade Terms Beyond 2026

Bangladesh prime minister Sheikh Hasina last week urged its economic allies and the Organization for Economic Co-operation and Development (OECD) to extend preferential facilities to Bangladesh for an extended period beyond 2026.

Addressing the Nikkei’s Future of Asia conference, she said that the people of Bangladesh would be deeply appreciative if the proposal would be considered. “We have urged through the UN mechanism to our friends and partners to consider extending preferential facilities to Bangladesh for an extended period beyond 2026,” Hasina was quoted as saying in a pre-recorded speech during Nikkei’s Future of Asia conference.

“We would deeply appreciate it if Japan and other OECD countries do it at least till 2029 to help us to attain the overarching goals of sustainable development by 2030,” she further added.

Bangladesh in November 2021 gained UN recognition to graduate from the LDC (least developed country) category to ‘developing country’ along with Laos and Nepal. The recognition also came at a time when the nation celebrated its 50th anniversary of independence from Pakistan.

“The three countries will graduate from the LDC category after an exceptionally extended preparatory period of five years (the standard period is of three years) to enable them to prepare for graduation while planning for a post-COVID-19 recovery and implementing policies and strategies to reverse the economic and social damage incurred by the COVID-19 shock,” the UN said in a statement at that time.

Hasina further added that Bangladesh is looking for free-trade agreements with several countries while adding that she is open to negotiating FTA and the Comprehensive Economic Partnership Agreement (CEPA) with other countries including Japan.

Bangladesh’s official change in status is expected to happen in 2026 enhancing the country’s image, which despite being poorest at the time of its founding, has set a strong example in reducing poverty. Until 2026, Bangladesh will continue to enjoy the trade benefits as an LDC which are likely to be withdrawn post-2026.

There are 45 nations in the UN’s LDC list. Including Bangladesh, Laos and Nepal, the only other countries to have graduated from the LDC status to developing are – Botswana, Cape Verde, Maldives, Samoa and Equatorial Guinea.

(with inputs from Nikkei Asia)

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