Bangladesh gets greenfield investment worth $376 mn in Jan-Nov 2022

12 Mar '23

2 min read

Pic: Shutterstock

Bangladesh attracted greenfield investment projects worth $376 million during the first eleven months last year—a drop of 59 per cent year on year (YoY), according to a report by the United Nations Conference on Trade and Development (UNCTAD). International project finance deals announced during the period also fell drastically, by 97 per cent to $117 million.

The number of project finance deals fell by 93 per cent, from 14 in 2021 to just one in 2022.

The number of international project finance deals globally was 42 per cent lower last year than in 2019, with a 76 per cent reduction in value.

The number of greenfield project announcements by multinational enterprises decreased by 55 per cent over the same period.

The impact of the ongoing global crises was evident across all types of investment flows, and it is a major concern for least developed countries (LDCs), the UNCTAD report noted. A series of such crises, including floods, energy crises, financial distress and debt, disproportionately affected investment flows to the poorest countries.

Foreign direct investment (FDI) flows to LDCs fell by about 30 per cent during the duration compared to a marginal increase in developing countries as a group.

However, several LDCs are now diversifying their sectors.

The decrease was evident in both greenfield project announcements and international project finance deals, highlighting the challenges that LDCs face in attracting foreign investment, the report added.

Fibre2Fashion News Desk (DS)

More Textiles News - Bangladesh...