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Revise e-GP system as outsiders grab tenders

JS panels’ chairmen tell finance minister at pre-budget meet, want bank interest slashed


FE Report | March 19, 2018 00:00:00


Chiefs of some parliamentary bodies asked the finance minister with one voice to revise the online procurement system as contractors in their constituencies are failing to get public-works contracts.

The Chairmen of the Parliamentary Standing Committees raised the voice against the e-GP (electronic government procurement) as all the works were being grabbed by outsiders instead of the local contractors in their constituencies.

They raised the issue at a pre-budged meeting for the next financial year (FY), 2018-19, with Finance Minister AMA Muhith at the Planning Commission in Dhaka Sunday.

Chairmen of 15 parliamentary standing committees out of 50 took part in the pre-budget discussion and placed their views about making the budget, last before the next parliament election.

The Ministry of Finance has started consultation with different public-and private-sector bodies for preparing the next national budget.

"Contractors in my areas cannot attain bid for the development works in my constituency due to the e-GP system. However, the firms outside my areas, especially from Dhaka and other areas, are winning the development-works contracts. We have to face question from our local businesses and voters," said Chairman of the Parliamentary Standing Committee on Primary and Mass Education Affairs Md. Motahar Hossain.

He further said due to the online bidding system, small local firms are not being able to participate in the tender. Big firms from other areas like Dhaka, Chittagong are participating in the tender through the e-GP and winning the bids.

"But I do not know them."

Some other chiefs of parliamentary bodies corroborated Mr Hossain's observations on the government's online procurement system as they are also facing the same problem.

The e-GP is electronic procurement system that enables any firms and bidders from anywhere in the country to participate in e-tendering on public works as the government introduced the online procurement by passing the Public Procurement Act with an avowed aim of ensuring transparency and removing irregularities.

Most of the chiefs of the standing committees suggested that the finance minister should take step to expand the tax-net up to upazila and village levels in a bid to increase the country's domestic incomes.

Besides, they also advised the minister to invest more funds in areas lagging behind for cutting poverty and ensuring balanced development across the country.

Mr Motahar Hossain MP called for allowing a number of economic zones in the northern and other deprived regions instead of Chittagong and Dhaka to ensure inclusive growth.

Chairman of the Parliamentary Standing Committee on the Ministry of Power, Energy and Mineral Resources Md. Tajul Islam MP suggested that Mr Muhith prepare national budget for attracting more foreign direct investment (FDI) as the energy-supply situation is much better at this moment.

He demanded cutting down higher rates of bank interest and allowing tax-free import of lights, fans and water-taps with sensor system.

Chairman of the Parliamentary Standing Committee on the Ministry of Environment and Forest Mohammad Hasan Mahmud MP demanded that the bank interest rates be slashed as he said the association of bankers usually increases the rates through a nexus.

Higher interest is an impediment to investment in Bangladesh, he told the meet.

Chairman of the Parliamentary Standing Committee on the Ministry of Food Md. Abdul Wadud (Dara) MP said the budget should focus on dredging the small rivers along with the big ones to ensure smooth water flow as the water is used by the poor farmers for irrigation in farming.

Finance Minster Muhith said the banking sector must follow the spread between deposit-and credit-interest rates.

"I hope they maintain the standard ceiling of the spread and the banks do not raise the interest rates exceeding the standard of it," he replied to newsmen when asked about the demand of the lawmakers on the lending rates.

Replying to the investment offers of China and India for becoming strategic partner of Dhaka Stock Exchange, Mr Muhith said: "The DSE is fishing in troubled waters on the issue. But I do not want to say anything more on the matter."

Chairmen of the Parliamentary Standing Committee on Ministry if Defence Subid Ali Bhuiyan MP, of the Ministry of Youth and Sports Zahid Ahsan Rasel MP, of the Ministry Cultural Affairs Begum Simin Hossain Rimi MP, of the Ministry of Science and Technology Dr. AFM Ruhul Haque MP, and others also spoke at the meeting.

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