Banking normalcy issue comes first, reform next

Restoring confidence and normalcy in the banking sector comes first before going for reforms, said Finance and Planning Adviser Dr Salehuddin Ahmed after his maiden meet held Saturday with the top brass under his jurisdiction.
Banking sector virtually remained in disorders as heads rolled in the central bank as the governor and his deputies had to pack their bags amid commotion from lower orders following the fall of the Sheikh Hasina government.
"Firstly, we will work to normalise the operation of the banking sector, then the reforms and other necessary issues will be addressed," he told journalists on his first day in the Finance Ministry office at the secretariat in Dhaka.
The adviser sat with all the secretaries and members of the Finance Ministry and Planning Ministry to talk the way forward and do a reality recheck of financial and development priorities.

Finance Secretary, NBR Chairman, ERD secretary, Planning Secretary, FID Secretary, and Members of the Planning Commission were present at the meeting.
The Finance and Planning Adviser said: "We have taken over during an abnormal situation. Our main concern is law and order. If we fail to restore it, the economy will not run well. So, firstly we are trying to restore the law and order not only in roads also in banks and ports."
Asked about the prevailing macroeconomic challenges and inflationary pressure, he said: "Definitely, there are macro-economic challenges. If the economy stops, it will be a problem. So, we want to bring back the velocity in the economy."
Setting the tone of their interim government, the adviser said: "Eliminating all the difficulties immediately, we will march forward onto a smooth economic road. We do not have intention to be in power for long. We will just ensure a sound economy so that the next generation could get it forward."
He sought cooperation from the media in carrying out a onerous task they are assigned to run the country and do reforms to pave the way for arranging free and fair elections to the dissolved parliament.
"There are some loopholes in bank company act. But the rules and regulations here are international-standard. Those are not followed properly. The regulators who are supposed to obey the laws have breached, and the followers who are also supposed to abide by also defied those," Dr Salehuddin Ahmed, who is in the know for his past stint as governor of the Bangladesh Bank, told the media.
"We will ensure obeying of the rules and regulations by the bankers and businessmen first and then we will go for reforms," he added.
Expressing his confidence to bring back normalcy in the economy, the adviser said he had long experience in the central bank for which it will be easy for him to go forward.
When asked about BB Governor Abdur Rouf Talukdar's resignation, the Finance Adviser acknowledged the exit and said they will take decision after a meeting tomorrow (Sunday).
The Finance and Planning Adviser notes that people have not got benefit of development due to some mistaken policies of the last government.
"The government ran after the GDP growth only. But their benefit has not translated to the mass people."
He said: "Not only the macroeconomic policy, the development strategy and policy were also incorrect of the past government. People do not get benefit of the development. You have seen that the GDP had grown. The growth has happened but the benefits are not transmitted properly to all."
He deplores that "an unequal society" has been established over the years which needs to be remedied. "We will break it out and establish an equal society so that everyone of the people gets benefit of the development," he said.
Replying to journalists, Dr Ahmed said: "The development projects which are taken by the Planning Ministry are needed for the country's development. The ongoing projects will be going on."
Replying about irregularities in development works, he said they will not stop the works but "we will definitely look after those misdeeds".
"You can't stop the works now. For the development you have to continue those. The world is going fast and we have to develop the ICT, infrastructure and other necessary works."
About the NPL and the money laundered abroad, Dr Ahmed said they need to maintain some and need information too. "We will talk to relevant parties and then take necessary actions to bring back the money."
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