Dhaka, Kuala Lumpur aim to conclude all Free Trade Agreement negotiations by 2027
Enhanced collab telecom, energy, infrastructure, ports and logistics, halal industry, agro-processing, education, digital economy, semiconductors, and smart manufacturing were encouraged by the prime ministers of both countries
Bangladesh and Malaysia have agreed to accelerate negotiations on a bilateral Free Trade Agreement (FTA) with the goal of concluding the pact by 2027, marking a major step in deepening both the economic and diplomatic ties between the nations.
The commitment was announced in a joint statement issued following comprehensive bilateral talks between Prime Minister Tarique Rahman and his Malaysian counterpart Anwar Ibrahim at the Perdana Putra Building in the administrative capital of Putrajaya today (22 June).
The high-level meeting marks Tarique Rahman's first official bilateral engagement with a foreign head of government since taking office in February this year.
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During the talks, the two leaders welcomed the progress toward commencing negotiations on the Malaysia-Bangladesh Free Trade Agreement (MBFTA).
They reaffirmed their commitment to advancing discussions for a comprehensive, forward-looking, and mutually beneficial agreement that reflects contemporary global trading practices.
Highlighting that Bangladesh remains Malaysia's second-largest trading partner in South Asia, both sides pledged to facilitate greater two-way trade and investment flows.
The leaders also noted the progress in establishing the Malaysia-Bangladesh Joint Business Council, which will serve as a structured platform for private-sector dialogue to identify new business opportunities.
They encouraged enhanced collaboration in a wide range of priority sectors, including telecommunications, energy, infrastructure, ports and logistics, the halal industry, agro-processing, education, digital economy, semiconductors, and smart manufacturing.
Invest in oil and gas
To boost investment, the two countries agreed to strengthen cooperation among government agencies, investment promotion bodies, and industry groups through technology transfer, capacity building, and strategic partnerships.
In the energy sector, Bangladesh invited Malaysian companies to invest in oil and gas exploration in the Bay of Bengal, mineral extraction, and renewable energy projects, while agreeing to strengthen cooperation under an existing Memorandum of Understanding (MoU) on liquefied natural gas (LNG) supply and infrastructure.
Closer cooperation was also pledged in emerging sectors such as artificial intelligence, fintech, cybersecurity, and semiconductor development, with Bangladesh proposing a bilateral talent cooperation framework to upskill engineering graduates.
Addressing a joint press conference after the meetings, Prime Minister Tarique Rahman urged Malaysia to open its labour market for Bangladeshi workers as soon as possible and recruit more personnel.
Regularisation and repatriation of Bangladeshis
He emphasised that the recruitment process should be transparent, fair, and affordable, reducing intermediaries to lower costs for workers.
He also raised issues relating to the regularisation of irregular workers and the repatriation of detained Bangladeshis.
Furthermore, Tarique Rahman expressed deep concern for the Rohingya people sheltered in Bangladesh and thanked Malaysia for its continued support for their safe, dignified, and sustainable repatriation to Myanmar.
On regional cooperation, he noted that Bangladesh is seeking closer engagement with the Association of Southeast Asian Nations (Asean) to become a Sectoral Dialogue Partner and is highly interested in joining the Regional Comprehensive Economic Partnership (RCEP), appreciating Malaysia's support for these integration efforts.
He also thanked Malaysia for supporting Bangladesh's candidature for the presidency of the 81st Session of the United Nations General Assembly.
Following the bilateral talks, an MoU on cultural cooperation was signed in the presence of both prime ministers.
Additionally, an instrument on cooperation in research and capacity building in counter-terrorism and a bilateral investment-related document were exchanged by the foreign ministers of the two countries.
Recalling historical ties, Tarique Rahman referenced his father, late president Ziaur Rahman's visit to Malaysia in April 1979, which laid the foundation for labour cooperation, and his mother, late prime minister Khaleda Zia's visit in 1993, which further deepened bilateral friendship.
Tarique Rahman expressed gratitude to Anwar Ibrahim for the warm welcome accorded to him and his delegation during this maiden two-day overseas visit.
