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General Agreement between the Government of Canada and the Government of the People's Republic of Bangladesh concerning Development Cooperation [1986] CATSer 8 (23 January 1986)

E101071 - CTS 1986 No. 3

GENERAL AGREEMENT BETWEEN THE GOVERNMENT OF CANADA AND THE GOVERNMENT OF THE PEOPLE’S REPUBLIC OF BANGLADESH CONCERNING DEVELOPMENT COOPERATION

The Government of Canada and the Government of the People’s Republic of Bangladesh (hereinafter referred to as “the Government of Bangladesh”), wishing to strengthen the cordial relations existing between the two countries and moved by the desire to develop mutual cooperation in conformity with the objectives and priorities of economic and social development of Bangladesh, have agreed to the following:

ARTICLE I

The Government of Canada and the Government of Bangladesh will promote a programme of development cooperation between their two countries, which programme will consist of:

(a) the provision of expert missions to Bangladesh in order to identify, analyse, appraise and evaluate development projects;

(b) the provision of scholarships to citizens of Bangladesh for training in Canada, Bangladesh or a third country;

(c) the provision of Canadian experts, instructors and technicians to provide services in Bangladesh through individuals, institutions or firms contracted by the Government of Canada;

(d) the provision of equipment, materials, goods and services needed for the successful execution of development cooperation projects in Bangladesh;

(e) the preparation of studies and projects designed to contribute to the economic and social development of Bangladesh; and

(f) any other form of assistance which may be mutually agreed upon.

ARTICLE II

1. In pursuance of the objectives of this Agreement, the Government of Canada and the Government of Bangladesh may conclude subsidiary arrangements or loan agreements in respect of specific projects involving one or several components of the programme described in Article I.

2. These subsidiary arrangements or loan agreements shall make specific reference to this Agreement.

3. Unless stated otherwise, subsidiary arrangements concerning contributions from the Government of Canada shall be considered as administrative arrangements.

4. Loan agreements shall be the subject of formal agreements between the Contracting Parties and shall bind them under international law.

ARTICLE III

Unless otherwise indicated, the Government of Canada shall assume the responsibilities described in Annex “A” and the Government of Bangladesh shall assume the responsibilities described in Annex “B” in respect of any specific project established under a subsidiary arrangement or loan agreement. The Annexes “A” and “B” shall be integral parts of this Agreement.

ARTICLE IV

For the purposes of this Agreement:

(a) “Canadian firms” means Canadian or other non-Bangladesh firms or institutions engaged in any project established under a subsidiary arrangement or loan agreement;

(b) “Canadian personnel” means Canadians or non-Bangladeshi or other non-­permanent residents of Bangladesh working in that country on any project established under a subsidiary arrangement or loan agreement; and

(c) “dependents” means

(i) the spouse of a member of the Canadian personnel, as described in the Regulations of the Government of Canada respecting Technical Assistance to Developing Countries,

(ii) a child of the member of the Canadian personnel or his spouse who is:

(A) under twenty-one years of age and dependant on the member of the Canadian personnel or his spouse for support, or

(B) twenty-one years of age or older and dependant on the member of the Canadian personnel or his spouse for support by reason of a mental or physical incapacity,

but not including a child from a previous marriage who does not normally reside with the member of the Canadian personnel or his spouse.

ARTICLE V

The Government of Bangladesh shall indemnify and save harmless the Government of Canada, Canadian firms and Canadian personnel from civil liability for acts done or omitted to be done in the performance of their duties except where such acts result from gross negligence or wilful misconduct.

ARTICLE VI

The Government of Bangladesh shall facilitate the repatriation of Canadian personnel and of their dependants in cases where, in the opinion of the Government of Canada or the Government of Bangladesh, the life or safety of said personnel and of their dependants are endangered as a result of events inside or outside Bangladesh.

ARTICLE VII

The Government of Bangladesh shall exempt Canadian firms and Canadian personnel, including their dependants, from all types of resident tax, local taxes, income tax or any other type of taxes, levies or charges of any kind on income received from sources outside Bangladesh, from Canadian aid funds or on the value of goods and services received from the Government of Bangladesh as provided for in this Agreement or any subsidiary arrangement or loan agreement, as well as from the obligation to present any income tax declaration in relation to these exemptions.

ARTICLE VIII

The Government of Bangladesh shall extend to Canadian personnel and their dependants the exemptions, concessions, privileges and other benefits mentioned in the Government of Bangladesh Notifications Numbers SRO 88-L/85/906 and SRO 89-L/85/907 of 13 February 1985, SRO 2/84/CUS of 03 June 1984 and SRO 1/84/CUS of 31 May 1984. The Government of Bangladesh shall notify the Government of Canada in writing of any change in the foregoing Notifications and shall seek the Government of Canada’s agreement to apply such changes to Canadian firms and Canadian personnel as covered under the present Agreement through an exchange of letters which shall form part of the present Agreement.

Canadian personnel and their dependants shall be accorded no lesser benefits, privileges and exemptions than those provided to other non-Bangladeshi nationals employed in the People’s Republic of Bangladesh under any other bilateral agreements or arrangements for development cooperation.

ARTICLE IX

The Government of Bangladesh shall exempt Canadian firms and Canadian personnel from import duties, customs tariffs, purchase tax and all other duties, taxes, charges or levies on technical and professional equipment and materials used for the execution of projects subject to the condition that these articles will be re-­exported on completion of the project or sold with prior permission of the National Board of Revenue and on payment of customs duty and sales tax by the Canadian firm or the Canadian personnel concerned.

ARTICLE X

The Government of Bangladesh shall not use or permit to be used any funds provided by the Government of Canada under any subsidiary arrangement or loan agreement for the payment of taxes, import duties, customs tariffs, inspection fees or storage charges or any other levies, duties, fees or charges on funds, equipment, products, materials including spare parts and accessories and any other goods or services imported into Bangladesh for, or related to, the execution of projects established under any subsidiary arrangement or loan agreement.

ARTICLE XI

The Government of Bangladesh shall grant Canadian firms and Canadian personnel and their dependants freedom from currency exchange restrictions in respect of the re-exportation of their funds brought in or received from sources outside Bangladesh. In addition, authority shall be granted for the exportation of funds realized from the sale of goods originally imported by Canadian firms and Canadian personnel where such goods have been disposed of according to Bangladeshi laws and regulations.

ARTICLE XII

The Government of Bangladesh agrees to extend the privileges and exemptions referred to in Article VII, VIII, IX, X, XI and paragraph (13) of Article I of Annex “B” to development assistance projects established by Canadian non-governmental institutions or organizations working in Bangladesh and to their Canadian personnel and their dependants.

A Canadian non-governmental institution or organization means a Canadian non-governmental institution or organization which is funded in whole or in part by the Government of Canada and governed by a contribution agreement between the Canadian non-government institution or organization and the Government of Canada.

Canadian personnel of the Canadian non-governmental institution or organization means Canadians or non-Bangladeshi or other non-permanent residents of Bangladesh working in that country on any development assistance project established under a contribution agreement.

Dependants of Canadian personnel of the Canadian non-governmental institution or organization shall have the same meaning as given in Article IV of this Agreement.

These contribution agreements shall be transmitted to the Government of Bangladesh by the Canadian non-governmental institution or organization upon the request of the institution or organization for the privileges and exemptions set out in Article VII, VIII, IX, X, XI and paragraph (13) of Article I of Annex “B”.

ARTICLE XIII

The Government of Bangladesh shall inform Canadian firms and Canadian personnel of the local laws and regulations which may concern them in the performance of their duties.

ARTICLE XIV

Differences which may arise in the interpretation and implementation of the provisions of this Agreement, or of any subsidiary arrangements or loan agreements, shall be settled by means of negotiations between the Government of Canada and the Government of Bangladesh or in any other manner mutually agreed upon by the Contracting Parties.

ARTICLE XV

This Agreement may be amended by the Contracting Parties through an exchange of notes.

ARTICLE XVI

This Agreement terminates any previous General Agreement made between Canada and Bangladesh. It shall enter into force on signature, with effect from December 14, 1985 and shall remain in force until terminated by either party on six (6) months notice in writing to the other party. The responsibilities of the Government of Canada and the Government of Bangladesh with regard to projects being carried out by virtue of subsidiary arrangements or loans agreements entered into pursuant to Article II of this Agreement and begun prior to the receipt of the termination notice referred to above shall continue until completion of such projects as if the present Agreement remained in force in respect of and for the whole duration of each such project.

IN WITNESS WHEREOF, the undersigned, being duly authorized by their respective Governments, have signed this Agreement.

DONE in duplicate at Dhaka, this 23rd day of January, 1986, in the English, French and Bangla languages, each version being equally authentic.

Anthony G. Vincent

FOR THE GOVERNMENT OF CANADA

Khurshid Anwar

FOR THE GOVERNMENT OF THE PEOPLE'S REPUBLIC OF BANGLADESH

ANNEX “A”

RESPONSIBILITIES OF THE GOVERNMENT OF CANADA

I. Unless otherwise indicated in subsidiary arrangements or loan agreements, the Government of Canada, acting through the Canadian International Development Agency, shall finance the following expenditures based on the rates authorized in its regulations:

(A) Expenditures related to Bangladeshi scholarship holders:

(1) registration and tuition fees, books, supplies, or material required;

(2) a living allowance;

(3) medical and hospital expenses;

(4) economy class fares for travel by air or any other approved means of transport, in compliance with the requirements of the scholarship program.

(B) Expenditures related to Canadian personnel:

(1) their salaries, fees, allowances and other benefits;

(2) their travel expenses and those of their dependants between their normal place of residence in Canada and the place of residence in Bangladesh;

(3) the cost of shipping, between their normal place of residence in Canada and the place of residence in Bangladesh, their personal and household effects, those of their dependants, and the professional and technical material required by said personnel for the execution of their duties;

(4) the cost of their temporary accommodation, and that of their dependants, from the time of arrival in Bangladesh until such time as permanent accommodation is occupied by said personnel and their dependants;

(5) the difference, if any, up to such amounts as may be approved from time to time by the Canadian International Development Agency, between the actual cost of furnished accommodation, excluding utility costs, for Canadian personnel and their dependants, and the allowance provided by the Government of Bangladesh in accordance with paragraph I(1) of Annex “B” of this Agreement;

(6) the cost of transportation, including travel allowance where applicable, of Canadian personnel travelling on official project business within Bangladesh.

(C) Expenditures related to certain projects:

(1) the cost of engineers, agriculturalists, architects and other services required for the execution of projects;

(2) the cost of providing equipment, materials, supplies and other goods and of the transportation of same to the port of entry in Bangladesh;

(3) the cost of inspection in Canada, freight and other shipping charges of all equipment, products, materials, supplies, goods, spare parts, accessories and consumables provided by the Government of Canada.

II. Contracts for the purchase of goods or commissioning of services financed by the Government of Canada and required for the execution of individual projects shall be signed by the Government of Canada or one of its agencies. However, it may be provided in any subsidiary arrangements entered into pursuant to the present Agreement that such contracts may be signed by the Government of Bangladesh or one of its agencies in accord with the terms and conditions specified in said subsidiary arrangements.

III. The Government of Canada shall submit to the Government of Bangladesh, for approval, the nomination of Canadian firms and Canadian personnel for assignment of ninety (90) days or more in Bangladesh.

IV. The Government of Canada shall provide the Government of Bangladesh in a timely manner with the names of the Canadian personnel and their dependants entitled to the rights and privileges set forth in this Agreement or in any subsidiary arrangement or loan agreement.

ANNEX B

RESPONSIBILITIES OF THE GOVERNMENT OF BANGLADESH

I. Unless otherwise indicated in subsidiary arrangements or loan agreements, the Government of Bangladesh shall provide or pay for, in regard to any member of the Canadian personnel who is under contract with CIDA or who is seconded to CIDA by his employer for services in Bangladesh:

(1) an allowance toward the cost of furnished accommodation for said personnel and their dependants equivalent

(a) to the amount paid by the Government of Bangladesh to the counterpart Bangladeshi personnel that is or could be seconded or attached to the project; or

(b) to the maximum amount which, under its appropriate regulations, the Government of Bangladesh may pay for accommodation costs of development assistance personnel.

The amount and method of payment of such allowance shall be determined in subsidiary arrangements or loan agreements;

(2) office accommodation including furnishings, telephone, office supplies, post office supplies, and other supplies, services and facilities necessary in order for them to carry out their assignments effectively. Entry and access to these facilities must be available at all times during locally established working hours. Office space should be assigned to them in the same or contiguous offices, as far as practicable, of their Bangladeshi colleagues to ease communications and promote cooperation;

(3) administrative support including administrative and clerical staff, qualified drivers for vehicles if and when required, translators and cost of printing translations if and when required, and other support personnel deemed necessary for the effective achievement of the assignment;

(4) necessary information, within ten (10) days of arrival of Canadian personnel, with regard to local laws and regulations which may affect the work of the Canadian firms and Canadian personnel;

(5) access to reports, records, maps, aerial photographs, statistics and other information, excepting classified or restricted documents, related to projects and required to assist Canadian personnel in the performance of their duties;

(6) all permits, licenses, pass-books and other such documents including costs related thereto, required to enable Canadian firms or Canadian personnel to carry out their respective responsibilities in Bangladesh;

(7) permission to use all means of communications such as high frequency radio transmitters and receivers approved for use in Bangladesh and telephone and telegraph networks, depending on the needs of programmes and projects;

(8) the recruiting and seconding of counterparts to Canadian personnel as required for projects;

(9) tax exemption certificate in the event of such document being required by Canadian personnel for themselves or their dependants while arranging leave for any reason outside Bangladesh;

(10) prompt clearance and expeditious transhipment through customs, within twenty-one (21) days of the notification of the arrival at the port of entry, of:

(a) the personal, professional and technical effects of Canadian firms, Canadian personnel and of their dependants; and

(b) all necessary equipment, materials, products, supplies, goods, spare parts, accessories and consumables provided, furnished or supplied by the Government of Canada and imported into Bangladesh for the execution of projects established under any subsidiary arrangement or loan agreement;

(11) the prompt inland transportation of all equipment, products, supplies, materials and goods required for the execution of projects from the port of entry in Bangladesh to the project sites including, where necessary, the obtaining of priority by Bangladeshi forwarding and transportation agents;

(12) demurrage and storage of equipment, products, supplies, materials and goods when they are held on board or at customs and measures required to protect these articles against natural elements, theft, fire and any other danger;

(13) all necessary visas, pass-books and all import or export permits, as the case may be, for the Canadian personnel and their dependants for equipment, materials, supplies or goods required for the execution of projects, the professional and technical equipment and the personal effects of Canadian personnel and their dependants;

(14) any official assistance which may be required for the purpose of facilitating the travel of Canadian personnel in the performance of their duties in Bangladesh;

(15) permission for Canadian personnel to open personal external bank accounts and for Canadian firms to open project external bank accounts;

(16) the issuance of a Bangladeshi driver’s license to Canadian personnel and their dependants without the requirement to undergo the normal testing procedures, provided a valid Canadian driver’s license is produced;

(17) all other necessary measures to facilitate the execution of projects; and

(18) non-diplomatic multiple-entry visas to Canadian personnel and their dependants for the duration of the assignment.

II. The Government of Bangladesh shall, within thirty (30) days of the receipt of the nomination by the Government of Canada of the Canadian firms and the Canadian personnel for assignment in Bangladesh, indicate its approval of said Canadian firms and Canadian personnel. If no objection is received by the Government of Canada during this thirty (30) day period, the Government of Bangladesh shall be deemed to have accepted such nomination.

III. It is understood that Canadian personnel on assignment of six (6) months or more shall be entitled to annual leave during the course of their assignment.

IV. The Government of Bangladesh shall ensure that employment shall be guaranteed for a period at least equivalent to the duration of their Canadian-sponsored training programme to scholarship holders from Bangladesh upon their return to Bangladesh following completion of their Canadian-sponsored programmes of study, where such scholarship holders are employed in the public sector. Annual reports on the positions held by returned scholars for five (5) years or until they leave the public sector, whichever is less, following completion of their Canadian-sponsored programmes of study shall be provided to the Government of Canada by the Government of Bangladesh.

V. The Government of Bangladesh shall bond all training award holders, where such scholarship holders are employed in the public sector, at a level commensurate with the cost of training. This shall be done prior to their departure to ensure their return to Bangladesh on completion of their Canadian-sponsored programme of study and to encourage Canada-sponsored trainees to remain in the service of the Government of Bangladesh for a period at least equivalent to the duration of their Canadian-sponsored training programme, and shall ensure that such bonds are enforced.

VI. The Government of Bangladesh shall give access to Canadian personnel and their dependants to medical care and hospitalization in Bangladesh in accordance with those standards granted to officials of the Government of Bangladesh.