The government will create a private sector advisory council which will advise the interim government on what needs to be done to improve the business ecosystem, said Chowdhury Ashik Mahmud Bin Harun, executive chairman of Bangladesh Investment Development Authority (Bida), on Wednesday.

The new council may be formed in the middle of this year as such councils have been in operation in many countries to advise governments, particularly in Singapore, he said.

He also hinted that there could be a merging of investment promotion agencies, such as Bida, Bangladesh Economic Zones Authority (Beza), Bangladesh Export Processing Zones Authority (Bepza) and Bangladesh Hi-Tech Park Authority, this year in order to improve the business environment.

Harun, also the executive chairman of Beza, said these while he was addressing a group of businesspeople at a discussion on "Policy Alignment to Enhance the Trade and Investment Climate" organised by the Bangladesh German Chamber of Commerce and Industry (BGCCI) at The Westin Dhaka.

Md Anwar Hossain, administrator of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and vice-chairman of Export Promotion Bureau (EPB), said he wanted to automate processes at the EPB so that people need not come to the office and for more accountability.

Simplification of business is very important, he said.

Nearly 75 percent of garment factories fall under the small and medium enterprises category and Bangladeshi garment exporters are far from the target of meeting 30 percent of their energy demand from renewable sources by 2030, he said.

Among the many challenges they face, one is high air freight charges for shipping goods from Bangladesh. For instance, it costs $4 per kilogramme (kg) on the Dhaka-London route, said Hossain.

But the rate is far low, $2.5 per kg, if the goods are shipped from the Kolkata airport, he said.

Vietnam exports $70 billion worth of agricultural products while Bangladesh nearly $1 billion, he said, adding that he wanted to help take agricultural exports to $5 billion by 2030.

In this regard, he asked local exporters to propose solutions.

M Maksud, president of the Bangladesh German Chamber of Commerce and Industry, said Bangladesh was open for business.

Foreign direct investment in Bangladesh has been declining sharply, largely for political uncertainties, macroeconomic pressure, including inflation and energy crisis, and the need for structural reforms, he said.