Realtors against including city corporations for construction approval

The government’s move to include city corporations in the approval process for construction in Dhaka directly contradicts its effort to improve the ease of doing business in Bangladesh, according to various realtors.

This is because such a decision would create new crises in the housing industry, where the government is striving to create an orderly system and business-friendly environment for new entrepreneurs, who play a strong role in the country’s development.

“So, this decision seems contrary to the government’s initiative as it would create more hassles in the construction sector,” said Alamgir Shamsul Alamin (Kajal), president of the Real Estate and Housing Association of Bangladesh.

The sector accounts for about 15 per cent of Bangladesh’s gross domestic product.

Kajal made these comments while addressing a press conference at the Pan Pacific Sonargaon Dhaka today.

Up until 2019, there was a provision in the Dhaka Building Construction Act 2008, requiring developers to obtain clearance from the city corporations to erect any structure with more than 10 storeys.

But in order to expedite the construction of high-rise buildings in the capital, the approval process was then simplified to include just three organisations: Rajdhani Unnayan Kartripakkha (Rajuk), Bangladesh Fire Service and Civil Defence, and the Civil Aviation Authority.

“But I came to know through the media that the construction of any building, not just multi-storied ones, may soon require prior approval from city corporations,” Kajal said.

During a meeting on February 6, Md Tazul Islam, minister of Local Government, Rural Development and Cooperatives, informed the mayors of Dhaka and Chattogram that individuals and organisations would have to seek permission from the city corporations, alongside the Rajuk, to build structures in Dhaka.

This means that developers would require prior approval from either the Dhaka North City Corporation or Dhaka South City Corporation depending on where the construction would take place.