Bida’s one-stop service plagued by non-stop negligence

Services rendered by government agencies through a single-window platform to facilitate business remain marred by unscrupulous activities, despite expectations of improvement among entrepreneurs under the interim government.

Although the country has been trying to find new ways to draw investment and boost economic growth over the past decade, the scenario of habitual negligence at government offices has remained virtually unchanged.

Such attitudes have hamstrung the one-stop service (OSS) portal of the Bangladesh Investment Development Authority (Bida), which was launched in February 2019 to help investors implement business projects quicker by centralising delivery of necessary regulatory, compliance and value-added services.

Currently, Bida provides 112 investment services through the OSS from 29 departments, including the Department of Environment (DoE), the Department of Inspection for Factories and Establishments (DIFE), and the Office of the Registrar of Joint Stock Companies and Firms (RJSC).

However, entrepreneurs claim they are unable to avail services from those bodies online, adding that they must physically visit the offices, where they are subject to the whims of officials.

These allegations came up when The Daily Star recently spoke to over 20 businesspeople who applied to avail services from the OSS.

"Before the start of each fiscal year, we apply to renew all licences and other certificates from the DoE, DIFE, and RJSC through Bida's OSS portal. But our staff practically have to rush to the concerned offices to avail services," remarked Eleash Mridha, managing director at Pran Group.

Mridha added that officials insist on queries and factory visits despite the scope to provide services online.

He opined that the system was haphazard, adding that businesses had to waste a lot of time each year. Most opt to appoint a dedicated team to deal with such activities to avoid hassle, he added.

The Pran Group has 30 companies under its umbrella, which are all required to renew necessary documents each year.

Mohammed Amirul Haque, managing director of Premier Cement Mills PLC, alleged that processes related to licence renewal or clearance cannot be obtained from the RJSC, DoE or DIFE unless some "speed money" is paid.

Haque, also chairman of Seacom Group, which has 25 companies under its umbrella, said he employs at least 50 employees to deal with government agencies.

He added that he must spend Tk 25 lakh in bribes each year just to renew a trade licence, alleging that files do not move from one desk to another at government offices unless undue benefits are provided.

A top official of Chattogram-based conglomerate PHP Family echoed the same, adding that they hired consulting firms to deal with business-centric government services to avoid hassle.

According to him, there is no alternative to providing such bribes when it comes to running a business in Bangladesh.

"It is an open secret," the official lamented.

Riad Mahmud, managing director and chief executive officer at National Polymer Group, said government services are almost never provided online, although applications may be submitted virtually in some cases.

"The services are only provided after my staff visits their offices," he stated, adding that they have to pass extra costs incurred from bribes on to consumers, which increases the cost of products.

Humayun Rashid, managing director and CEO of Energypac Power Generation Ltd, said getting services online is a far cry.

"To get services, you must arrange a visit to the factory by plane or helicopter for the officials as well as provide other undue benefits."

He alleged that government officials make excuses and hint that underhanded dealings are mandatory to get services.

However, Syed Nasim Manzur, a former president of the Metropolitan Chamber of Commerce and Industry, said businesses should avail online services through the OSS, opining that it is a good platform.

Manzur, also managing director of Apex Footwear Ltd, said his firm has been availing services through the OSS for the past few years.

Jibon Krishna Saha Roy, director (OSS and regulatory reform) at Bida, said corporate houses never file allegations regarding bottlenecks or harassment in obtaining or renewing licences or certificates.

"If they do not file an allegation, how will Bida cooperate with them?"

He added that investors who face such problems in any office should inform Bida so action can be taken.

Ferdaus Ara Begum, CEO of Business Initiative Leading Development, said the reluctance to change shown by some government officials is concerning, especially as they hinder business and investment.

Zirka Amin, a programmer of RJSC who deals with complaints raised by service-seeking companies, said most firms do not know how to get seamless services.

That's why they hire lawyers or chartered accountants at a high cost, she said.

"On the other hand, many of those who want to do it themselves make mistakes. So, they do it through brokers. While doing these things, they spend money," she added.

However, she said there is an opportunity to identify problems and correct them by contacting the appropriate authorities.