Page 19 - IBT December 2020
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Dhaka to evaluate
the impact of RCEP
Global schemes
price carbon The Ministry of Commerce has formed a committee
to review the impact of the Regional Comprehensive
emission Economic Partnership (RCEP) – the world's largest
free trade agreement – on Bangladesh's export
Faced with the challenge of converting trade, as well as its impact if Bangladesh were to be
pledges to slash planet-warming emissions included in the agreement. The nine-member body
into policies, some of the world’s biggest includes officials from the ministry, the Bangladesh
economies are turning to the same tool: a Trade and Tariff Commission, the Export Promotion
carbon price. Globally, about 22% of global Bureau, and the Bangladesh Foreign Trade Institute,
emissions are covered by the 46 national and with Md Shahidul Islam, additional secretary of the
32 sub-national carbon pricing schemes ministry (FTA), the convener. Based on the
operating today or in the planning stage, recommendations of this committee, the Ministry of
according to the World Bank. Carbon pricing Commerce will decide whether to join the RCEP
can come in the form of a tax or under an signed among five nations, led by China.
emissions trading, or cap-and-trade, a The committee will analyze the impact of the
scheme where companies or countries face a agreement with ASEAN and the RCEP by preparing
carbon limit. China, European Union, and presenting a report on Bangladesh's
Kazakhstan, Mexico, New Zealand, Quebec, involvement and impact with regional trade
and the United States have been identified agreements, according to the meeting minutes. In
as some of the major carbon emissions addition, it will formulate a proposal to enhance the
trading systems (ETS) around the world. capacity of the Ministry of Commerce to sign
bilateral and regional trade agreements.
Aid commitments by development partners
have seen a sharp fall although the
disbursement of foreign funding has risen – a
trend which has been apparent since the
beginning of the current fiscal year 2020-21. In
the July-October period of FY21, the
commitment to fresh loans and grants from
development partners reduced by 45%. But, the
release of foreign funding increased by 19.35%
over the same period of the Fiscal Year
Foreign Funding 2019-20. According to an updated report by the
Economic Relations Department, in the first
being disbursed without four months of FY21, the development partners
pledged a total of $1,233.47 million. Of this,
commitment $1,040.87 million would be financed through
debt and $192.6 million through grants.
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