BACK GROUND -------------------- The planned industrial mega city has got approval and registration for its implementation from the concerned authority of the government of the country of its location, in August 18, 1996 bearing registration No. 96100 30-H of BOI. This global mega city has been planned to be sited within the south Asia, where it have been found that Bangladesh is the most suitable place to locate the planned city. This country has got favorable foreign investment policy, which is growing as more liberal day by day. Government of this country has made a promise by its “Act. No. XI of 1980 that “they shall accord fair and equitable treatment: to foreign private investment which shall enjoy full protection and security in Bangladesh.” They also declare that “foreign private investment shall be accorded the same treatment with regard to indemnification, compensation, restitution, or other settlement as is accorded by investment by the citizens of Bangladesh." Moreover, they enacted that "Foreign private investment shall not be expropriated or nationalized or be subject to any measures having effect of expropriation or nationalization except for a public purpose against adequate compensation which shall be paid expeditiously and be freely transferable. " In addition they guarantee that "the transfer of capital and the returns from it and in the event of liquidation of industrial undertaking having such investment of the proceeds from such liquidation is guaranteed." This country has got bilateral agreement for avoidance of double taxation with: Belgium, Canada, China, Denmark, French, Germany, India, Italy, Japan, Malaysia, Pakistan, Poland, Romania, Singapore, South Korea, Sri-Lanka, Sweden, Thailand, The Netherlands, and United Kingdom including Northern Ireland, U.S.A, Iran, Philippines, Turkey and Indonesia. Negotiations are going on with: Qatar, Australia, Nepal, Cyprus, Norway, Finland and Spain. This country has got "investment treaty" for promotion and protection of investment with: Belgium, China, France, Germany, Iran, Italy, Japan, Malaysia, Pakistan, Philippines, Poland, Republic of Korea, Romania, Switzerland, Thailand, The Netherlands, Turkey, United Kingdom, U.S.A and Indonesia. Negotiations are going on with: India, Hungary, Oman, Moldavia, Denmark, Egypt, Australia, Mauritius and Uzbekistan. Bangladesh is signatory to MIGA (Multilateral Investment Guarantee Agency), OPIC (Overseas private Investment Corporation) of USA, ICSID (International Center for Settlement of Investment Disputes), and a member of WIPO (word Intellectual property organization). Here, adequate protection is available for intellectual property rights, such as patents, designs & trade marks and copy right. It is well known that Bangladesh is a member of the "Word Trade Organization." The local currency" Bangladesh Taka is convertible for current external transaction through banks in Bangladesh, authorized to deal in foreign exchange, without prior approval of the "Bangladesh Bank" (Central Bank). Sale proceeds, including capital gains on non-resident portfolio investment also are remitted abroad without prior approval of the central Bank. Citizenship is available by investing a minimum of U.S. $ 500,000(five hundred thousand) or, by transferring U.S. $ 1,000,000 (one million) to any recognized financial institution (non-repatriated). Also, permanent resident ship by investing non-repatriated fund of U.S. $ 75,000(seventy five thousand) only Here, bank rate is± 8(eight) percent, foreign exchange reserve is more or less than 16(sixteen) billion, GDP at current price is more than U.S$ 200 (two hundred) billion, GDP growth rate at constant price is about 7 (seven) percent, inflation rate is less than 9 (nine) percent, investment rate is more than 18 (eighteen) percent of GDP, national savings – rate is more than 14 (fourteen) percent of GDP, export is more than U.S. $ 28 (twenty eight) billion per year and import is more than US $ 35 (thirty five) billion per year. Population of the country is ±170 (one hundred seventy) million with annual growth rate 1.7 (one point seven) percent and the area of land is 147,570 (one hundred forty seven thousand five hundred seventy) square km. Budget for development of infrastructure including city facilities and mass-transit systems have been estimated as EURO-60 (sixty) billion, where as cost of utility plants including transmission and distribution have been estimated as EURO 44 billion and construction of spider lines express highways & Railways have been estimated as EURO - 50bn, where as cost of development of deep sea port facilities have been estimated as EURO 40bn, cost of the Airport have been estimated as EURO-10bn. Cost of the project land (including all expenses) have been estimated as EURO 22 (twenty two) billion. Total cost of project have been estimated as EURO 226 (two hundred twenty six) billion including cost of the local and international energy parks and power transmission grids: cost of which have been estimate as U.S. $= 24 (twenty four) billion, to be sited outside the city. Love city Ltd. can generate sales during infrastructure construction period and after development. Sales are the main source of fund for its ultimate development. This city in its operational stage shall generate sales of utility & services more or less than EURO 38 (thirty eight) billion net per year. Love City Ltd. expect that many more agreements would be signed for BOO, BOOT, BOT for generation, transmission & distribution of power, treatment of : water, waste water, effluent, sewerage & solid waste, installation and operation of mass-transit systems, deep sea port, airport & entertainment parks. Sponsor’s of the project need to raise fund through sales: to implement the planned city with complete infrastructure. Beside sales: loans from very special financial institutions and long term buyer’s credit will be source of cash flow in the initial stage of the development. US$ 22.0 (twenty two) billion power generations and distribution long term loan plus E.P.C.C. agreement have been executed by the city building company in the mean time. Bridge financing by specialized financial institutions shall cover equity participation in the initial stage. Moreover, the company can offer its stock to local, regional and international stock markets: through formation of its sector wise subsidiaries with overseas investors & operators. Therefore, sponsors of the planned project expect its implementation within the scheduled period. You will found this city crowed with trade, investment & inhabitants by the year 2020. The undersigned welcome cooperation of all concerned for mutual business benefit. Thank you very much for your interest in Love city. Mirza Rezaul Alam Managing Director Love City Ltd, 18-08-2013
Posted on: Sun, 08 Sep 2013 19:14:39 +0000
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