Rise in extreme poverty

The recent rise in poverty and extreme poverty rates in Bangladesh is a matter of deep concern. Findings from a survey conducted by the Power and Participation Research Center (PPRC) present not only a troubling picture of the current economic reality but also expose long-standing weaknesses in economic policymaking and implementation.

According to the survey, the national poverty rate has increased from 18.7 per cent to nearly 28 per cent over the past three years, while extreme poverty has risen from 5.6 per cent to 9.35 per cent. Alarmingly, around 18 per cent of families are now at risk of falling below the poverty line. These figures represent more than statistics; they reflect the daily struggles, uncertainty, and deprivation faced by millions of citizens.

Bangladesh was once widely praised for its success in poverty reduction. The international community acknowledged the country's progress through sustained decline in extreme poverty and initiatives promoting financial inclusion. However, recent trends indicate a worrying reversal.

Despite the gravity of the situation, official narratives continue to emphasise that the macroeconomy remains stable. While macroeconomic indicators are important, their benefits are not being reflected in the everyday lives of ordinary people. A strong macroeconomy loses its meaning if the microeconomic realities of households continue to deteriorate.

The employment situation further compounds the crisis. Many young graduates remain unemployed due to sluggish investment and insufficient job creation in industry and business sectors.

Addressing poverty requires more than highlighting GDP growth. Policies must focus on reducing income inequality, ensuring food security, expanding employment opportunities, and increasing investment in essential services such as education and healthcare. Strengthening targeted social safety-net programmes is equally crucial to improving the living standards of low-income populations.

Economic success should ultimately be measured by improvement in people's socio-economic wellbeing. The realities faced by citizens cannot be concealed behind convenient statistics. What Bangladesh urgently needs is a coordinated, multi-sectoral policy response to curb rising poverty and inequality. The sooner such measures are implemented, the better for the nation's future.

MD. Noor Hamza Peash

LL.B. Student

World University of Bangladesh