Last updated in May 2016
Germany and Bangladesh share a long tradition of friendly and fruitful bilateral relations. Germany was one of the first European countries recognize Bangladesh’s independence. German reunification was warmly greeted by Bangladesh. Germany is not only respected as a longstanding and reliable ally in the development cooperation but is also seen as a vital trading partner and an important member of the European Union. Germany’s engagement in climate policy and the United Nations is being keenly observed.
Bilateral talks focus on improving social standards in the textile industry, political dialogue between the government and the opposition and the human rights situation in Bangladesh.
Since the creation of Bangladesh, numerous German non-governmental organizations and aid organizations affiliated to the churches in Germany have, together with their local partners, made determined efforts to promote the country’s social and economic development. Thanks to their commitment and a vigorous information campaign in Germany and Bangladesh, many people on both sides are favorably disposed towards and well informed about the other country.
Germany is Bangladesh’s second largest export market after the United States. The volume of bilateral trade is continuously growing, reaching an aggregate EUR 5.24 billion in 2014. Bangladesh exported to Germany goods worth approximately EUR 4.6 billion, while its imports from Germany amounted to only around EUR 0.64 billion. Textiles account for over 90 per cent of German imports from Bangladesh. Other exports to Germany include frozen foods and leather goods. Germany’s main exports to Bangladesh are machinery (52 per cent), chemical products (23 per cent) and electrical goods (8 per cent). German shipping companies have had ships built in Bangladesh for a number of years now.
German companies are investing in Bangladesh, particularly in the textile industry, transport and logistics and building materials sectors.
A bilateral investment promotion and protection agreement has been in force since September 1986 and a double taxation agreement since 1993.
With an annual per capita national income of approximately USD 1,115 (World Bank figures for 2013-2014), Bangladesh is one of the world’s poorest countries and a priority country of German development cooperation. From its creation as a nation in 1971 up to the end of 2015, Bangladesh has received some EUR 2.6 billion in development cooperation from Germany. On top of this is the funding made available by Germany through non-governmental organisations (e.g. church-affiliated institutions and private donors) and multilateral organisations (the European Union, the World Bank, the Asian Development Bank and the UN family).
As part of their long-term bilateral development cooperation, Bangladesh and Germany have agreed on the following three priority areas:
- energy efficiency and renewables
- good governance, the rule of law and human rights
- adapting to climate change in urban areas
At the most recent bilateral intergovernmental negotiations in late 2014, Germany pledged a total of EUR 211 million to implement bilateral projects in Bangladesh.
While government development cooperation concentrates on the above-mentioned priority areas, the numerous German non-governmental organizations active in Bangladesh are focusing their attention on reducing poverty and helping marginalized sections of the country’s rural population.
The Goethe Institute (GI) in Bangladesh is the first stop for all those in the country who are interested in the German language and German culture. The GI branch in Dhaka was opened back in 1961, before Bangladesh gained independence. In recent years, the number of Bangladeshis attending its language courses has steadily increased and now stands at nearly 2,000 per year. The Goethe Institute’s library offers information on German literature, history and politics. The rooftop café and the auditorium are meeting places and forums for young intellectuals, artists and representatives of civil society. The events organized by the Goethe Institute range from exhibitions to musical and literary offerings to film festivals and DJ appearances. Since January 2010, Bangladeshi teachers have been trained as German teachers under Germany’s Schools: Partners for the Future initiative (PASCH). German instruction has been integrated into the curricula at nearly all of the five PASCH schools in Bangladesh and a growing number of students have now had their proficiency in German certified.
To promote academic exchange between Germany and Bangladesh, every year the German Academic Exchange Service (DAAD), the Alexander von Humboldt Foundation and other organisations award numerous scholarships to Bangladeshi students and young scientists and academics. Many Bangladeshi scientists, academics and students have already received part of their training in Germany and more than 200 of them are members of alumni associations and users of the Alumniportal Deutschland network.
In the last 18 months, there has been a tremendous increase in the number of Bangladeshi students applying to study in Germany. In 2015 alone, approximately 500 new Bangladeshi students arrived in Germany to commence their studies.