Experts and business leaders highlighted the potential of digitalizing trade in Bangladesh to boost the economy by expanding global trade networks and reducing financing barriers for small and medium enterprises.

They emphasized that digitalizing international shipping documents could potentially generate annual growth of $30-$40 billion in global trade.

The discussion took place at a roundtable organized by the International Chamber of Commerce, Bangladesh at Hotel Sheraton in the city.

Effective digitalization, they suggested, could ensure transparency and traceability, fostering a more trustworthy ecosystem.

This, in turn, would facilitate monitoring and incentivizing environmental, social, and governance factors in global trade and supply chains.

Asian Development Bank country director Edimon Ginting stressed the need for common standards and protocols to enhance interoperability among supply chain players.

He also underscored the importance of updating legislation to support the use and enforceability of key trade documents.

Rupa Chanda, director of the trade, investment, and innovation division at UNESCAP, emphasized that digital trade was crucial for enhancing efficiency and sustainability not only in Bangladesh but also globally.

She noted Bangladesh’s potential to reduce trade costs by 11-12 per cent and increase exports by $0.6 billion through embracing digital trade processes.

Pamela Mar, managing director of the Digital Standards Initiative at ICC, highlighted Bangladesh’s early adoption of electronic commerce models and practices.

She advocated for amending existing legislation to further align with digital trade advancements rather than starting anew.

Prime Minister’s private industry and investment adviser Salman Fazlur Rahman emphasized the importance of building a “Digital Bangladesh” and strengthening its digital infrastructure.

He noted that international trade depended not only on Bangladesh but also on its counterparts, urging reforms in national trading practices.

Salman identified protectionism and non-tariff barriers under the guise of standardization as significant challenges affecting global trade, particularly for Bangladesh.

He highlighted the rise of such barriers in large economies like the United States and Europe despite the era of globalization.

Mahbubur Rahman, president of ICC Bangladesh, echoed the benefits of digitalization, citing a McKinsey study that projected significant global trade growth and environmental benefits through the adoption of electronic bills of lading.

He proposed forming a national committee to collaborate with ICC DSI in developing appropriate rules for digitizing international trade in Bangladesh.

AK Azad, vice-president of ICC Bangladesh, emphasized the role of digitalization in reducing operational costs and enhancing trade efficiency, crucial as Bangladesh aims to become a middle-income country by 2026.

The roundtable was sponsored by ADB TSCFP, the US Department of State, and ITFC of the Islamic Development Bank, with Standard Chartered Bank serving as the knowledge partner.