Environment for market-based economy

Ahmed Showkat MasudbrOur country started its journey for achieving the goals of a market-oriented economy since more than two decades back. But what is going on in our country in the course of this journey requires more attention from the side of government. In the past, we had gone through feudalism. After that, we have seen some trading capitalists emerging and later dominating the economic scene. Most of such, 'capitalists' were engaged in trade. The country's main employment sector was agriculture. brNow, the country's economy has gradually been transforming itself into a service-oriented and industrial one. A good number of big business houses are there who are engaged in both trade and manufacturing. The number of exportable items has increased. However, more dependence on garment sector is not a good sign. In the recent past, our main export item was jute. But those days are over. Pharmaceuticals, leather goods, frozen foods, tea etc., are there to make us hopeful about the future. All these sectors are creating employment opportunities, besides earning foreign currency. Information technology has been able to attract government's attention, though it has been a belated one.brWorldwide economic slow-down has created pressure on almost all countries. Natural calamity, oil price-hike etc., have created a negative impact on our country's economic growth. Foreign remittance and export earnings have been playing a pivotal role in helping us avert any major economic shock. However, we have still a large number of unemployed people in the country. Small peasants, day-labourers and rickshawpullers can hardly meet their needs. The unemployed workforce is always prepared to sell their only capital -- that is -- labour power. But the question is, who will purchase their labour power What is the fate of working people who are working in different sectors The questions arise, because a negligible per cent of our total population are the owners of the country's wealth. If that is the situation, how can we be able to create an environment where a market-oriented economy, in its true sense, will be able to work Unacceptable inequalities of wealth will never be able to create a congenial environment for fostering the growth of a competitive market-oriented economy. brIn this situation, appropriate and effective government intervention is necessary. Fiscal measures like increase of tax net, efficient and dedicated tax officials etc., have to be there. In times of high inflation and unemployment, proper use of monetary tools is necessary. However, only such measures will not suffice for promoting a market-oriented economy. Much more thing will need to be. br(The writer is a banker)