With China’s gross domestic product (GDP) projected to be US$14 trillion in 2020, it is the second largest economy in the world. Economic potential of the BCIM should be exploited through its quick establishment. The Silk Roads are expected to bring vital opportunities for Bangladesh’s goal of becoming a middle-income country by 2021 and a developed country by 2041. It could also impact immensely Bangladesh’s overall socio-economic condition.Īlongside such corridor initiative, there was also an agreement to establish a maritime Silk Route across the Bay of Bengal to link countries in the rims of the bay and the Indian Ocean. With this, expectations are high that implementation of the Silk Route and the economic corridor would usher in a new era of opportunities for this sub-region. It was unveiled by Chinese leader Xi in 2013.
This is a Chinese framework arrangement for organising multinational economic development primarily in Eurasia through two main components – the land-based Silk Road and Maritime Silk Road. Hence, it is necessary to identify and implement the BCIM corridor that could effectively enhance intra-regional trade, stimulate flow of investments, and deepen people-to-people connectivity.ĭuring President Xi Jinping’s visit to Dhaka, Bangladesh and China signed a memorandum of understanding (MoU) confirming Dhaka’s engagement in BRI concept. Studies conducted in Bangladesh suggest that the revival of the Silk Route would lead to a considerable reduction in the lead time, which is a key factor of competitiveness in a rapidly changing world.
Under the Belt and Road Initiative (BRI), China is now working to build an economic land belt that includes countries of the original Silk Road through Central Asia, West Asia, the Middle East and Europe, as well as a maritime road that links China’s port facilities with the African coast, pushing up through the Suez Canal into the Mediterranean. Analysts think such modern-day silk corridor(s) will enhance trade connectivity of the region. Now these routes are being planned for expansion in the new and current context. The ancient silk routes, to mention, once brought prosperity to the people of this region. It transpires that such revival of ancient southern and western silk routes for transporting cargo through the said corridor will significantly reduce costs of movement, besides enhancing regional trade. Regional experts and analysts are now examining the pros and cons of the corridor which is expected to boost trade and investment in the belt. It is an initiative conceptualised for significant gains through sub-regional economic cooperation. The revival of the ancient silk corridors within Bangladesh, China, India and Myanmar (BCIM) is now a hotly debated issue. The trade potential of the corridor stands at $132 billion, according to a study by Research and Information System for Developing Countries in India. With roads, railways, airlines, water routes, telecommunication networks and energy pipelines, the corridor will connect south-western China, eastern and north-eastern India, Myanmar and Bangladesh to form a thriving economic belt.Įxperts say the corridor can give much-needed boost to the intra-regional trade, as the intra-BCIM trade has remained fairly low. The economic corridor will play an important role in maintaining peace and security in the region. It is expected that the corridor will help the four countries economically through connectivity. The figure is not final and will require more in-depth study to reach a final estimation. It will cost about $22 billion to build the proposed Bangladesh, China, India, Myanmar Economic Corridor (BCIM-EC), according to an initial estimate. November 02, 2020: A multi-billion dollar fund is expected to’ be established to pull in resources from various parties to set up a thriving economic belt connecting Bangladesh, China, India and Myanmar.Ībout 55 percent of the fund might come from various multilateral development partners while the rest might be borne by the four governments and the private sector.