The path of holding national election will be hindered if the economic and institutional reforms are not ensured, he says

TDS Desk:

The government should move forward to hold the next general election after ensuring the country’s economic and institutional reforms, said Debapriya Bhattacharya, chief of white paper preparation panel on the state of the economy.

The path of holding the national election will be hindered if the economic and institutional reforms are not ensured, he said while addressing a programme organised by Centre for Government Studies in Dhaka on Saturday.

The pace of both institutional and electoral reforms will be impacted if the economy does not achieve stability, he said.

Debapriya, an eminent economist and civil society representative, also underscored the need for bringing immediate economic stability in the country by creating job opportunities for unemployed groups.

“If anyone believes that we can move forward solely with institutional and electoral reforms, leaving the current fragile economic issues unaddressed, then we will make a mistake,” he said at the programme titled ‘Dialogue for Democratic Reconstruction.’

Those currently in power need to understand where their attention is required,” he said, adding, “We must ensure workers’ wage and fair prices of agricultural goods for the sake of economic stability.”

UNB Adds: The Centre for Governance Studies (CGS) hosted the informative dialogue session to discuss the reform related to economic policies, including the banking sector and external loans at the Bangladesh Institute of International and Strategic Studies (BIISS) Auditorium.

CGS Executive Director Zillur Rahman moderated the event.

The speakers included Munira Khan (Chair, CGS), D. Rashed Al Mahmud Titumir (economist), Parvez Karim Abbasi (East West University), Prof Sayema Haque Bidisha (DU Pro-VC), Shahidul Islam Zahid (Professor, DU), Abdul Awal Mintoo (former FBCCI President), Anwar-ul Alam Chowdhury (BCI President), Muhammad Abdul Mazid (Chairman, Social Development Foundation), Md Jashim Uddin (former FBCCI President), Shahedul Islam Helal (former BCI President), Asif Ibrahim (FBCCI Committee Chair), Abdul Haque (Barvida President), Sabur Khan (DIU Chairman), Prasenjit Chakma (Chief Consultant, Padeco Co Ltd), Mir Nasir Hossain (former FBCCI President), MS Shekil Chowdhury (Centre for Non-Resident Bangladeshis), Dr M Abu Eusuf (DU), Suprova Suvha Zaman (DU student), Sadik Mahbub Islam (DU alumnus), and Saleh Ahmed (political analyst).

Zillur Rahman observed that the term ‘reform’ has long been part of Bangladesh’s national vocabulary, and once a disparaged concept, it has resurfaced with prominence after the mass uprising. People are now seeking change, as many institutions are not functioning as intended, he added.

Chief Adviser Prof Yunus outlined several areas of reform, which have served as a foundation for these dialogue events.

Debapriya said the current government is unique, emerging from a mass uprising only months ago.

While many are criticising the government and offering recommendations, few question why these suggestions were not implemented by those previously in power.

A crucial question, he argued, is why those responsible for employment creation and job growth over the last 15 years have fallen short.

“The state’s institutional dysfunction, distorted statistics and legal system manipulation for political gain all require scrutiny. Although the government has attempted to control commodity prices, results remain limited, though action is ongoing,” he said.

Munira Khan talked about corruption, noting that it would be less problematic if illicit funds remained within Bangladesh. However, a significant amount of these funds is laundered abroad, a trend that must be halted.

Rashed Titumir addressed rising prices, noting that Bangladesh is a substantial importer of food.

Although past narratives blamed external factors for price hikes, particularly oil affecting fertiliser costs, he questioned why importers have not engaged in dialogue with the government.

He also asked why a comprehensive social welfare system, using the National ID system, has not yet been implemented.

Titumir questioned why the previous government’s budget framework is still being followed, despite insufficient industrialisation. Bangladesh could leverage Professor Yunus’s international reputation to attract industry but has yet to take full advantage of this.

Parvez Karim Abbasi stated that Bangladesh’s economic recovery prospects for the next few years remain slim. He argued that the prior government mismanaged rather than misgoverned the economy, leaving Bangladesh to bear the cost.

While US imports of Bangladesh RMG have increased, exports to the US have declined, partly due to Indian competition and lobbying efforts portraying Bangladesh as unstable.

With international debt continuing to rise, Abbasi stressed that addressing corruption and retrieving laundered money, though popular topics, require political will and unity, especially as significant reforms are nearly impossible under an unelected government.

Abdul Awal Mintoo explained that only 5% of the workforce enters government jobs, leaving the private sector as the primary employer.

He pointed out that investment, crucial for job creation, depends on a stable socio-political environment. But, he said, Bangladesh’s low savings rate hampers investment.

Mintoo argued that political and economic issues are intertwined, and without political stability, economic recovery will remain out of reach.

Asif Ibrahim highlighted that Bangladeshi youths often feel excluded from the political process, as many have never voted. Survey data indicates that young people view a lack of transparency, accountability and vested interests as detrimental to the economy.

Ibrahim proposed a job registration system and a youth credit card programme to facilitate access to loans and employment, and called for a commission to monitor essential commodity prices, as well as long-term private-sector financing mechanisms.

Prasenjit Chakma suggested that digital platforms could disrupt market syndicates by linking producers directly with consumers, and called for affirmative action and tax incentives to support Aboriginal communities and SMEs.

Mir Nasir argued that development must include the masses to have lasting benefits, and pointed out that Bangladesh has not yet capitalised on its demographic dividend, and education policy should encourage productivity beyond Dhaka.

He also said the country’s reliance on banks as the sole finance mechanism and the resulting trust deficit in business.