Poverty Reduction Strategy Bostwana Backyard

Electricity is the key determinant of economic growth and socio-economic development of acountry. Bangladesh electricity market is vast. The country’s recent economic growth is over6%and the electricity growth rate more than10%per year. Being populous and developingcountry electricity plays a significant role in the country’s economy. But the country’sgeneration plants have been unable to meet system demand over the past decade. To meet thegrowing demand of electricity and to support the economic growth, Bangladesh has paid highattention to develop the country’s power sector through involvement of domestic and overseasinvestment, especially Chinese investment in this sector. Another The China’s electricity markethas already been developed. The outward FDI has played a vital role in developing the China’spower sector. Now the China is the second largest energy and power consumer in the world. Thecountry is also playing a significant role in the global economy through its outward investment.As such the objectives of the paper are to observe the scenario of Bangladesh’s power marketand the investment opportunities for the Chinese investors in power sector of Bangladesh. Thestudy will also figure out the challenges which the Chinese investors may face in investing to theBangladesh’s power market. In chapter three of the study, the detail overview of the electricityand economic conditions of the both countries have been analyzed. The chapter four of the studyexamines the opportunities and potentiality of the power sector of Bangladesh to achieve theChinese investment. In chapter five, it is pointed out some major problems of the power sector ofBangladesh and challenges which the investors may face. The study found that although thepower sector of Bangladesh has some problems but it can be a potential investment source forthe Chinese investors in terms of market policy liberalization and market demand criteria. At theend of this paper there are some recommendations and suggestions have been made in terms ofovercoming the problems and challenges in the power sector of Bangladesh.