IDEAS home Printed from https://ideas.repec.org/h/spr/sprchp/978-981-99-1385-5_4.html
   My bibliography  Save this book chapter

China in Bangladesh: Developing Infrastructure or Deepening Influence

In: Mapping Chinese Investment in South Asia

Author

Listed:
  • Rahul Nath Choudhury

    (Indian Council of World Affairs)

Abstract

Bilateral relationship between Bangladesh and China started with Chinese government recognising Bangladesh in 1975. Since then the relationship between them has flourished and transformed from a normalcy to all weather friends (Uddin & Bhuiyan, 2011). Bangladesh and China developed their relationship considerably through different bilateral cooperation agreements, economic pacts, trade policies, and joint economic and business associations while gradually expanding the areas of cooperations (Quiyum, 2020). Now, both the nations share a very close diplomatic tie in the region. The bilateral diplomatic engagement is supplemented by a large volume of trade and investment flow. Like any other South Asian economy, Chinese investment in Bangladesh has increased exponentially over the last few years. The gross Chinese foreign direct investment (FDI) increased from US$69.73 million in 2015 to US$444.85 million in 2021 (Bank of Bangladesh, 2015, 2021). Noteworthy, China is the largest investor in Bangladesh only after the US. Chinese capital has flown primarily to textiles, power generation, and construction sector. Chinese investment in Bangladesh’s power generation and construction sector are also made under the BRI. China pledged to invest around US$38 billion in the country—the third highest in South Asia, after Pakistan (Bhattacharjee, 2021). In case of trade also, China and Bangladesh share a strong relation though it is highly in favour of China. The bilateral trade increased from US$14.7 billion in 2015 to US$22.25 billion in 2021. China contributes the highest share in Bangladesh’s total import from the world which predominantly consists of textile products, machinery, and refined petroleum products. With this background, this chapter aims to explore the Bangladesh-China relationship from three distinct perspectives, viz. diplomatic and strategic relationship, trade flows, and investment volume. However, central discussion of this chapter will primarily revolve around the Chinese investment in Bangladesh. This chapter will also cover the Chinese investment made in Bangladesh under BRI.

Suggested Citation

  • Rahul Nath Choudhury, 2023. "China in Bangladesh: Developing Infrastructure or Deepening Influence," Springer Books, in: Mapping Chinese Investment in South Asia, chapter 0, pages 65-93, Springer.
    • Handle: RePEc:spr:sprchp:978-981-99-1385-5_4
    DOI: 10.1007/978-981-99-1385-5_4
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:sprchp:978-981-99-1385-5_4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.