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Businesses on Sunday said that the Arbitration Act should be reviewed for quick dispute settlement to promote ease of doing business so that foreign investors become confident to invest more in Bangladesh.
At a seminar on revisiting Arbitration Act 2001 for promoting FDI in Bangladesh, arranged by the Dhaka Chamber of Commerce and Industry at its auditorium in capital Dhaka, they said that an efficient dispute resolution system was the key to promoting compliance culture which promotes foreign direct investment.
Law minister Anisul Huq was present as chief guest while British high commissioner to Bangladesh Robert Chatterton Dickson was present as special guest.
DCCI president Md Sameer Sattar said that in order to further promote the ongoing growth and success of the country’s business climate, it was essential to reform the Arbitration Act as the first step towards addressing such challenges existing in our legal atmosphere.
‘With a rapid FDI stream in Bangladesh, the number of commercial disputes has risen significantly over the past few decades. As a result, arbitration has emerged as the pre-eminent mode of dispute resolution in recent times,’ he said.
Anisul Huq said that a timeframe should be set for arbitration proceedings and agreed to revisit the Arbitration Act 2001.
The alternative dispute resolution mechanism was introduced to ensure a faster access to justice, he said.
The government is committed to making best possible business-friendly rules and regulations, he said and urged the business community to use the ADR.
Dickson said that foreign direct investment was vital for growth of any developing economy.
‘At the post-graduation, Bangladesh will compete with other middle-income countries like Vietnam, Indonesia and Malaysia,’ he said.
Dickson said, ‘Sound and enforceable commercial laws, an affordable commercial dispute resolution system is vital to enabling open economies to create the opportunities of the foreign investors that are needed to propel continued economic growth of Bangladesh.’
‘We have worked on justice sector reform with Bangladesh for many years and found loopholes in the commercial legal environment which hinders business and investment opportunities in Bangladesh,’ he said.
The absence of specialised commercial courts, the slow pace of digitisation, not enough coverage of commercial law in the curriculum and lack of wider usage of ADR are the main barriers to commercial development, he said.
He suggests reforming commercial laws which can make it easier to enforce contracts and resolve disputes speedily and efficiently.
Bangladesh Supreme Court lawyer Ashraful Hadi presented the keynote paper at the event.
He recommended that the arbitral tribunal should have the same power as any other court.
He also said that the definition of ‘Court’ under the Arbitration Act 2001 should include the High Court in respect of international commercial arbitration.
Besides, the payment method of stamp duty in all aspects should be digitised, he added.
Unilever Bangladesh CEO Zaved Akter and Grameenphone CEO Yasir Azman, among others, spoke at the seminar.
(NA)
