"I encourage all of you through your trade and industry associations to be proactive in ensuring the highest level of corporate social responsibility within your industries," she told the monthly luncheon meeting of American Chamber of Commerce in Bangladesh (AmCham) held in the capital.

"Whatever the causes, the incidents of violence highlighted again issues of concern in some factories -- from adequacy and safety of the factories to respect for the rights of workers to reasonable working conditions and payment for their labourers," she said.

Foreign investment can play a major role. And Bangladesh's recent economic growth has attracted significant international attention, Butenis said. "Many of you here today represent international investments in the future of Bangladesh."

Bangladesh must nurture and encourage that interest in both local and foreign investment by creating a positive climate, she said adding that decision-making must be streamlined so that proposed investments do not languish for months or years awaiting government approvals.

Transparency and predictability are equally important. Customs and tax regimes must be administered fairly across industries, the ambassador said noting the sanctity of contracts must be upheld by present and future governments.

Real GDP growth this year is estimated at 6.5 percent or nearly 20 percent better than last year, Butenis said adding that the industry, manufacturing and services sectors are growing rapidly.

There are indeed remarkable achievements but those are not enough. Many estimate that sustained growth of seven to nine percent or more will be needed if Bangladesh hopes to significantly raise the standard of living of its people, she observed.

Achieving that pace of growth will not be easy. Already, the Bangladesh economy is under stress from high fuel and commodity prices and the financial burden caused by the under-pricing of energy products, she said.

Inflation is on the rise. Even more troubling, chronic infrastructure problems are now becoming acute in the face of robust economic growth, the envoy said mentioning that the daily report of power and water shortages is commonplace.

Distribution systems for gas and electricity are under stress. Bottlenecks on the roads and in the ports create transportation delays for the country's major export industries, she said. These problems did not arise overnight, nor will these be easy to solve, she added.

Syed Ershad Ahmed, vice-president of AmCham, said all know that poor governance, confrontational politics, lack of transparency and long-term economic policy have been pushing the country towards uncertain future.

"Everything has become hostage today and the nation wants to get rid of this eroding image," he mentioned.

Judith A Chammas, deputy chief of US mission, A Gafur, executive director of AmCham, and other members of the chamber were present at the meeting.