February 18, 2007

Tata’s $3 billion investment: In Bangladesh

On Saturday, India's Tata Group restarts talking with Bangladesh's caretaker government about their $3 billion investment plan to build a slew of industrial projects.

Khaleej Times reported:

"We are exploring the possibility of seeing if we can start off again from where we left last time and come to a good conclusion. I think, the best thing is to wait for some time," S. Manzer Husain, resident director of Tata Group, told after meeting with Foreign Affairs Adviser Iftekhar Ahmed Chowdhury.

Analysts said Tata's wait-and-watch is prompted by the current situation in Bangladesh that is ruled by a caretaker government that is cautiously taking long-pending economic decisions.

It has so far taken the more urgent ones, including awarding a 240 MW power project to Indian public sector Bharat Heavy Electricals Limited (BHEL).

Husain had earlier this month met Adviser in charge of energy, T. Choudhary, who told the media after the meeting that the government was initially taking only short-term proposals