Gabriel Galípolo, President of Brazil’s central bank, has expressed interest in establishing a trade agreement aimed at enhancing bilateral commercial and economic relations with Bangladesh. 

He conveyed this intention following his first official meeting with Dr. Md Tauhidul Islam, Ambassador of Bangladesh to Brazil.

The Embassy of Bangladesh in Brazil disclosed the development on Saturday (July 26).

The current volume of annual trade between the two countries has exceeded USD 4 billion. However, against the backdrop of recent global economic trends—particularly the United States’ move to impose high tariffs on both nations—the ambassador emphasized the growing necessity of a bilateral trade arrangement.

During the meeting, the ambassador presented a concept paper outlining a possible framework for a trade agreement, with proposals such as reducing mutual tariffs, resolving issues related to the opening of letters of credit (LCs), and expanding bilateral trade and investment. 

In response, President Galípolo agreed that Brazil would soon send Bangladesh a draft Memorandum of Understanding (MoU) for a trade agreement, which will include both the data cited in the concept paper and other relevant details.

This initiative marks a potentially historic opportunity for Bangladesh. As global trade contracts and Bangladesh braces for post-LDC economic challenges, the proactive engagement from Brazil—the largest economy in South America—offers a unique prospect for strengthening the country’s economic standing.

If all goes according to plan, the trade agreement is likely to be signed during the annual Brazil-Bangladesh bilateral meeting scheduled to take place in Dhaka later this year.

SMS/