President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Chandra Prasad Dhakal, has proposed for the establishment of a BIMSTEC Infrastructure Development Fund (BIDF).

Speaking at a session on 'Trade facilitation in BIMSTEC through improved cross-border linkages and trade infrastructure’ at the BIMSTEC Business Summit 2024, being held in New Delhi of India on Wednesday, he stressed on the need for a fund like BIDF.

Dhakal mentioned that a regional infrastructure fund was necessary to help member states avail resources so that they can develop the necessary infrastructure to promote trade facilitation and develop better cross-border linkages, the FNCCI said in a statement Wednesday.

"When all members states of the BIMSTEC region develop then as a region we will have a stronger voice in international forums and we will also be able to collectively bargain with more authority during international meetings," he said.

Dhakal also mentioned that the East-West Highway in Nepal could be utilised for regional connectivity by connecting Bangladesh to the central region of India, as well as link Myanmar and India through the Kaladan project. He added that a railway project could also be developed that runs parallel to the East-West Highway, which will make the movement of people and goods easier.

He also stressed the necessity to develop border infrastructure, such as integrated check posts, to simplify customs procedures within the region. Similarly, he spoke about the need to develop dry ports especially for landlocked countries like Nepal and Bhutan and how connectivity to these ports must be improved to help lower trade costs and enhance overall connectivity.

Dhakal also mentioned about the need for the smooth operation of existing airports for landlocked countries like Nepal and urged all member nations of BIMSTEC to foster discussions around enhancing regional air connectivity.

The FNCCI President added that trade facilitation was the backbone of sustainable development, and we must simplify and harmonise trade procedures among BIMSTEC states to reap the benefits.

He said that by improving our trade processes we will be able to enhance our competitiveness in the global market and while important initiatives have been undertaken in the BIMSTEC region, there is still much to be done. Dhakal encouraged dialogue among all the member states of BIMSTEC to explore solutions.