Bangladesh Launches Chinese Economic Zone Project

Infrastructure development work on the long-awaited Chinese Economic and Industrial Zone (CEIZ) in Chattogram's Anwara is set to begin on Monday, nearly a decade after Bangladesh and China signed an agreement to establish the project.

Officials and business leaders say the project is expected to accelerate industrialisation, attract foreign investment, generate employment and strengthen Chattogram's position as a major manufacturing and logistics hub.

The project is also expected to maximise the use of the Bangabandhu Sheikh Mujibur Rahman Tunnel beneath the Karnaphuli River while driving industrial and urban development on the river's southern bank.

Business leaders have urged the government to ensure investment-friendly policies, reliable gas and power supplies, modern infrastructure and a simplified regulatory framework to attract investors.

Inauguration ceremony

The development work will be formally inaugurated at the proposed project site in Anwara on Monday morning.

Finance Minister Amir Khasru Mahmud Chowdhury, Home Minister Salahuddin Ahmed, Chinese Ambassador to Bangladesh Yao Wen, and Bangladesh Economic Zones Authority (BEZA) Executive Chairman Chowdhury Ashik Mahmud Bin Harun are expected to attend the ceremony.

Project approved after years of delays

The idea of establishing the Chinese economic zone dates back to 2016, when Chinese President Xi Jinping visited Dhaka and the two countries signed a memorandum of understanding.

However, the project remained stalled for years because of various administrative and implementation challenges.

It finally received approval at a meeting of the Executive Committee of the National Economic Council (ECNEC) on 16 June, ahead of Prime Minister Tarique Rahman's visit to China.

The project will be developed on approximately 783 acres of government land in Anwara at an estimated cost of Tk 4,189.46 crore.

The government will provide Tk 1,722 crore, while China will finance Tk 2,467 crore through a loan. The project is scheduled for completion by December 2031.

Modern industrial infrastructure

According to BEZA, the project will include world-class industrial infrastructure, including roads, a multipurpose jetty, gas and electricity connections, a central effluent treatment plant (CETP), water reservoirs and waste management facilities.

Major components include:

A 1,235-metre jetty link road
A 1,181-metre main road
A 20,304-cubic-metre water reservoir
A 4.24 MMCFD gas transmission line and district regulating station
A 25 MLD central effluent treatment plant
A 20,000-tonne-capacity multipurpose jetty
A 60-tonne-per-day solid waste collection station
Nearly 12 kilometres of boundary wall
Two 33/11 kV substations

BEZA estimates the project will create more than 100,000 direct and indirect jobs and attract at least US$500 million in foreign investment.

Business community optimistic

Chittagong Chamber of Commerce and Industry President Amirul Haque described the project as a landmark initiative that could transform the region.

He said the economic zone's proximity to Chattogram Port, Shah Amanat International Airport and the Karnaphuli tunnel would make it one of Bangladesh's most strategically located industrial hubs.

He also stressed the importance of ensuring uninterrupted gas, electricity and water supplies, efficient customs services, minimal bureaucratic hurdles and a stable law-and-order situation to attract foreign investors.

Diversified industrial investment sought

SM Abu Toyeb, President of the International Business Forum Chattogram and a director of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), welcomed the initiative but said Bangladesh must ensure the project attracts high-value industrial investment.

He said investment in sectors such as textiles, chemicals, automotive manufacturing, industrial accessories and heavy industries would deliver greater economic benefits than adding more garment factories alone.

He also said the economic zone could stimulate urbanisation, tourism and employment in southern Chattogram while unlocking the development potential of the Karnaphuli tunnel.

According to BEZA, the zone will host export-oriented industries, including chemicals, automobiles, garments and pharmaceuticals.

The agency describes the project as Bangladesh's first specialised government-to-government (G2G) economic zone. The site is located about 18 kilometres from Chattogram Port and 20 kilometres from Shah Amanat International Airport.