Exclusive interview: Syed Nasim Manzur
Govt benefits when businesses stay out of politics
Syed Nasim Manzur is the managing director of Apex Footwear. He joined Apex as a management trainee at the age of 22. Step by step, he has risen through the ranks to become the head of the company. He spoke to Prothom Alo about various issues, including the country's business, trade, investment, politics, education and advice for aspiring entrepreneurs. Sujoy Mohajan took the interview.
How are you?
Syed Nasim Manzur: In a word, concerned.
Why are you concerned?
Syed Nasim Manzur: Thinking about the overall situation in the country. I see a lot of potential, and there are still many opportunities to do a lot of things. But considering the direction we are heading and the pace at which we are moving, the areas of potential seem to be nothing more than imagination or hope. That is why I am concerned.
At what age did you join the business?
Syed Nasim Manzur: I joined Apex Footwear in 1990 at the age of 22. I started as a management trainee. My first assignment at the beginning of my career was to oversee the construction of the first export-oriented factory.
What kinds of challenges did you face while working at that time? Do you still face those same problems?
Syed Nasim Manzur: From 1990 to 2026, it has been 36 years. There have been many changes in the country, society and workplace. In the 1990s, we used to think about a particular kind of market and products. Now, we have developed the capacity to manufacture products of much higher quality and meet market requirements. On the other hand, the power crisis that I witnessed back then still exists. At that time, high bank interest rates were a major obstacle to doing business, and that problem persists. A lot has changed over these 36 years, but some old problems are recurring.
Have the old problems remained unchanged, or are they returning in new forms?
Syed Nasim Manzur: In the 1990s, infrastructure was inadequate compared to the size of the economy. Infrastructure has improved considerably since then, but now I see similar deficiencies in an economy worth nearly US$450 billion. By this time, we should not even be talking about deficiencies.
A few days ago, I was talking to a Chinese investor. They have invested in a new bag factory in Bangladesh. They asked me why factories in our country need generators to operate. I tried to explain it to them. Then I asked them in return when they had last experienced power outage (locally called load-shedding) in their country. The investor said he could not remember when they had last experienced load-shedding in the past 25 years. This is truly a very painful matter.
My second experience is that when we obtained a gas connection for our factory, we bought a gas generator from a very renowned international brand for nearly Tk 40 million, with great expectations. But because we did not get gas, it was never used, not even for a single day. It remained unused at the factory in brand-new condition. Eventually, we sold it at a very low price.
The main inputs for any manufacturing factory are human resources, electricity and gas. We have human resources, but the shortages of electricity and gas are concerning me.
Between 1990 and 2026, which area of business has seen the most improvement?
Syed Nasim Manzur: People's capabilities. For 36 years, I have seen that our people's ability to get any job done and bounce back in any situation is something that very few countries in the world possess. Despite various limitations, we are producing day and night, making shipments and meeting export deadlines. All this is possible because of people's capabilities.
As a businessperson and a citizen, what concerns you most during this period?
Syed Nasim Manzur: The lack of security. Over the past two years, we have felt a lack of discipline and security. Roads are blocked at the drop of a hat, and mob violence takes place. The rule of law has collapsed. This is now a matter of great concern for us. I was not this concerned about it before.
People are our asset. But these same people have now become a cause for concern for us. We now want to take the law into our own hands. After taking the law into our own hands, there are no legal consequences. So, what is most needed at this moment is to establish the rule of law in an exemplary manner for everyone, irrespective of political affiliation.
You spoke about concerns and anxieties. What is the way out of this?
Syed Nasim Manzur: First, we have to decide what we want to do immediately. We want to do many things. But, according to our capabilities, we have to prioritise the most urgent tasks. For example, we must first fix Dhaka's traffic system. Action must be taken against illegal movement and unauthorised vehicles.
When investors make investment decisions, the condition of a country's roads and highways tells them how the country is functioning. Besides, we have learned that the government has formed a deregulation committee. I see this as a timely and urgent initiative.
We need visible results in some areas right now. That will restore confidence. The government must take urgent decisions regarding gas supply. We know there is a gas shortage. But the government must decide where, how and to what extent the available gas will be used. We cannot run our factories withposit
You have mentioned some steps the government should take in the short term. What should it do in the medium term?
Syed Nasim Manzur: We need to fix the institutions. We have to build the right, capable and long-term workforce in institutions such as Bangladesh Petroleum Exploration and Production Company (Bapex) and Tariff Commission. These institutions cannot function properly if people are simply replaced every two years in accordance with government rules.
We can find qualified and skilled people from various private-sector industries. If we bring them in and reform these institutions, we will be able to move towards good governance. Trying to digitise institutions or improve their standards by appointing the wrong people will yield no results.
What do you think the government should do in the long term?
Syed Nasim Manzur: The government's first long-term initiative must be to establish an effective education system and improve the quality of education. Every now and then, we are conducting various experiments with the education system. This is causing more harm.
The education system must be modern and relevant to the needs of society and the economy, as well as suited to the times. We are now operating within an education system that produces more degree holders but not capable people.
On the one hand, we have so many educated unemployed people; on the other, we have to recruit foreign nationals. Why do we hire foreigners? Because we cannot find skilled people in the country. So, how do we bridge this gap between education and the workplace?
Our education system should have provisions for producing skilled workers based on market demand through courses lasting six, nine or 12 months. Only then will we be able to develop skilled people for both the domestic and international job markets.
Why have we failed to build a practical and up-to-date education system even after all these years?
Syed Nasim Manzur: This is a national failure. I would say that education should not be politicised at all. If politicians and the bureaucracy make all the decisions about the education system, there will be no positive results.
Everyone in the country is connected to education. That is why discussions about the education system must involve everyone. Those who teach, those who receive education, the government and those in society who work on education must all be brought together.
We must think about the health sector in the same way. We often lament our low productivity. One reason for low productivity at the factory level is the lack of good health and physical fitness.
We are seeing nutritional deficiencies among people, particularly women and children. This has now become a major concern for us. Therefore, we must make the healthcare system standardised and accessible to everyone.
Do you mean that we must rise above politics and make decisions on national issues, including education and health, based on national consensus?
Syed Nasim Manzur: Absolutely. That is what we must do. Because, ultimately, you and I have to compete, both locally and globally, and will continue to do so. If we cannot develop a skilled workforce, we will not be able to survive the competition.
We often talk about the benefits of the demographic dividend. But if we cannot turn our population into an asset, this advantage will become a burden. The demographic dividend that we are talking about now will come to an end in 20 to 25 years. What will happen then?
So, to prevent our population from becoming a burden instead of a human resource, we must take an integrated approach based on three pillars: education, health and good governance.
Let us return to business and trade. When you joined the business 36 years ago, you saw certain prospects. Do you still see those prospects today?
Syed Nasim Manzur: I see far greater potential now than I did in the 1990s. Despite many unmet expectations and hardships, we have made considerable progress. However, we have not reached where we were supposed to be. We have many problems, but despite all that, our enormous population remains our greatest potential. We must make the best possible use of this population and ensure maximum benefits.
Investment in the country has stagnated. Employment in the manufacturing sector is declining, while the service sector is expanding, but it offers limited employment opportunities. So, how can we make use of our population?
Syed Nasim Manzur: We will not be able to make much progress in the long run without the manufacturing sector. China has lifted people out of extreme poverty and brought the country to its present state by utilising the manufacturing sector. We must follow the same path.
To strengthen this sector, we must ensure electricity and energy supplies, as well as access to financing. In our country, people are more interested in the service sector than in manufacturing. This is because we have failed to make the manufacturing sector competitive. It is possible to make profits much faster by investing in the service sector than in industry or manufacturing. On the other hand, employment will not increase significantly without the manufacturing sector.
Therefore, if we want to expand the manufacturing sector and enhance its capacity, we must reduce the cost of doing business.
Why is there no new investment? Why has investment remained stagnant for so long?
Syed Nasim Manzur: New investment will come only when existing investors do well. This is true for both domestic and foreign investors.
Who will new investors talk to when they arrive? Obviously, they will talk to the government. They will want to know what policies are in place for investment and what incentives are available. Then they will assess the market themselves. They will want to know what existing industrialists have to say and how their businesses are doing.
The more positive the stories of existing industries and entrepreneurs are, the easier it will be to attract new investment. Therefore, the government should make the business environment easier and free of problems for existing investors.
For decades, you have been talking about barriers to investment, such as the cost of doing business, bureaucratic complications, harassment, high interest rates and corruption. Why have these problems still not been resolved?
Syed Nasim Manzur: Due to a lack of political will. The bureaucracy and politics have become deeply intertwined. There should have been a clear separation between the two. We have also politicised the bureaucracy. Decisions about who will be appointed to which position and how long they will remain there are made on political considerations.
Another issue is that there are very few examples of exemplary punishment when any illegal activity or corruption is proven within the bureaucracy. This needs to change. Establishing accountability is essential.
Over the past few decades, we have seen a culture of businesspeople and entrepreneurs becoming politicians or seeking benefits from political parties. What is your view on this?
Syed Nasim Manzur: Unfortunately, businesspeople have also failed to stay out of politics. If a business is based on whether it will receive the favour of the ruling party, that business will not be sustainable.
Take, for example, business groups in Bangladesh that we can consider role models, such as the Ispahani Group. They have been doing business in this country for a long time. They have not needed to take political shelter to run a successful business. Do they not face political pressure? Of course, they do. Perhaps they deal with it in their own way.
Yes, political pressure may come when doing business here. But I think it is wrong to say that businesspeople or entrepreneurs must therefore get involved in politics.
In different countries around the world, businesspeople leave their businesses when they enter politics. Here, the mindset that we will do business and politics at the same time is the biggest problem.
What should be done to keep business organisations free from direct political influence?
Syed Nasim Manzur: I think this also requires a political decision. The government stands to benefit more if business organisations are kept out of politics.
The country's apex trade body, the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), must be developed into a politically neutral organisation. Businesspeople should be able to raise their problems there and present them to the government in the interests of both themselves and the country.
We businesspeople certainly want to get out of the situation in which the FBCCI functions like an extension of the government. As far as I know, work is now underway towards this goal. I hope those expectations will be fulfilled.