Cost of political instability

As Bangladesh approaches elections, political instability and electoral tension are increasingly affecting the business environment. Frequent protests, strikes, and confrontations have disrupted economic activity and weakened investor confidence, slowing trade, industrial productivity and overall business operations.

Major cities, including Dhaka and Chittagong, have been particularly affected. Transportation blockades and security concerns are interrupting supply chains, while export-oriented sectors, especially the readymade garment (RMG) industry, face shipment delays and declining international orders. Investors are becoming cautious, often delaying new projects or reducing capital inflows. Consequently, the stock market and currency have shown heightened volatility.

Consumer spending has also declined due to fears of unrest, directly impacting small businesses, retail, and hospitality sectors. If political instability persists, Bangladesh risks losing competitiveness in regional markets, and long-term economic growth may be compromised.

To address these challenges, constructive political dialogue is essential, alongside law enforcement to ensure public safety and policy support for affected industries. Stable governance will help restore investor confidence and facilitate sustainable business growth.

The nation's economic resilience depends on creating an environment where commerce can thrive without disruption. Only through political stability and cooperative governance can Bangladesh safeguard its development and maintain investor trust.

MD Sarower Kainath

Bachelor in Business Administration

North South University, Dhaka