BB's next half-yearly monetary policy soon
Saturday, 26 June 2010
FE Report
The central bank has started preparation to formulate a growth-supportive monetary policy for the first half of the next fiscal year with the basic objective of curbing the inflationary pressure on the economy, officials said.
"We want to achieve inclusive economic growth through promoting financial inclusion by strengthening different credit programmes in the productive sectors in line with the country's leading economists' recommendations," a senior official of the Bangladesh Bank (BB) told the FE Thursday.
The recommendations of former finance advisers of the caretaker governments, former central bank governors and leading economists and experts came at a first discussion meeting on preparing the new monetary policy, held at a city's hotel Wednesday night with BB Governor Atiur Rahman in the chair.
The central bank will organise second meeting with experts, business leaders and senior bankers on June 29 on the ensuing policy before giving it a final shape.
"We're seeking opinions from stakeholders including trade bodies for adding a new dimension to shaping up the monetary policy stance", he said, adding that the BB would announce the new monetary policy by the second week of the next month for the July-December period of the fiscal 2010-11.
The leading economists suggested that the existing accommodative monetary policy continue for another term to curb inflationary pressures on the economy and generate employments across the country.
They also recommended that monitoring should be strengthened to ensure utilisation of the credit, the BB official added.
The Consumers' Price Index (CPI) inflation increased slightly in March on annual average basis but declined on point-to-point.
The rate of annual average inflation went up by 0.31 percentage point in March this year over that of the previous month mainly because of increase in prices of food items.
The inflation rate moved up to 6.26 per cent in March from 5.95 per cent in the previous month on the annual average basis, according to Bangladesh Bureau of Statistics (BBS) data.
The first-ever monetary policy statement was formally published in January 2006 and the central bank of Bangladesh declared that it would publish it on a half-yearly basis along with a half-yearly policy review.
The central bank has started preparation to formulate a growth-supportive monetary policy for the first half of the next fiscal year with the basic objective of curbing the inflationary pressure on the economy, officials said.
"We want to achieve inclusive economic growth through promoting financial inclusion by strengthening different credit programmes in the productive sectors in line with the country's leading economists' recommendations," a senior official of the Bangladesh Bank (BB) told the FE Thursday.
The recommendations of former finance advisers of the caretaker governments, former central bank governors and leading economists and experts came at a first discussion meeting on preparing the new monetary policy, held at a city's hotel Wednesday night with BB Governor Atiur Rahman in the chair.
The central bank will organise second meeting with experts, business leaders and senior bankers on June 29 on the ensuing policy before giving it a final shape.
"We're seeking opinions from stakeholders including trade bodies for adding a new dimension to shaping up the monetary policy stance", he said, adding that the BB would announce the new monetary policy by the second week of the next month for the July-December period of the fiscal 2010-11.
The leading economists suggested that the existing accommodative monetary policy continue for another term to curb inflationary pressures on the economy and generate employments across the country.
They also recommended that monitoring should be strengthened to ensure utilisation of the credit, the BB official added.
The Consumers' Price Index (CPI) inflation increased slightly in March on annual average basis but declined on point-to-point.
The rate of annual average inflation went up by 0.31 percentage point in March this year over that of the previous month mainly because of increase in prices of food items.
The inflation rate moved up to 6.26 per cent in March from 5.95 per cent in the previous month on the annual average basis, according to Bangladesh Bureau of Statistics (BBS) data.
The first-ever monetary policy statement was formally published in January 2006 and the central bank of Bangladesh declared that it would publish it on a half-yearly basis along with a half-yearly policy review.