Kamal sees no impact of troubles on economy sans transport sector

Planning Minister AHM Mustafa Kamal came up Wednesday with a new GDP (gross domestic product) growth projection for the current fiscal ranging between 6.5 per cent and 7.0 per cent.
 His projection was much higher than the World Bank's (WB) recent pared-down projection of 5.6 per cent.
"They (WB) made the forecast based on assumption which can't be accurate. Their estimation is not correct. In nine months the growth already has reached 6.5 per cent," Kamal said at a media briefing at his office.
He said the recent political turmoil could make very little impact which may reduce the growth by only 0.1 per cent.
Meanwhile, Finance Minister AMA Muhith said last Monday the GDP growth would be close to 7.0 per cent in fiscal year 2014-15.
The planning minister said some stakeholders said that there had been no economic activities in the country during the last three months. "I must say the statement is incorrect."
He explains his claim: "Export was usual, no factory failed to pay salary to workers. Only transport sector faced some problems, leading to rise in transportation costs."
The minister mentioned that the WB had earlier estimated that the growth would be 6.6 per cent. After three months of political turmoil it has cut the figure down by 1.0 per cent, meaning the growth will go down by 4.0 per cent if there is 12 months' strike.
It's "impossible". In no way the growth could go down below 6.0 per cent, despite continuous hartal, he told the reporters.
The planning minister portrayed a rosy picture of different components of the economy during July-January period of the current fiscal year, terming the achievements impressive.
He said Aus production increased to 2.328 million tonnes this year from 2.326 million tonnes last year while Aman production also increased to 13.190 million tonnes from 13.023 million tonnes of last year.
Jute production has also increased to 1.361 million tonnes from 1.349 million tonnes over the year.
Mr Kamal mentioned that the quantum index of industrial production (large and medium industry) during July-December period of this fiscal attained a 9.38 per cent growth compared to the same period of previous fiscal.
The growth rate for small-scale industries is 10.66 per cent.
He said the tax-revenue collection (by National Board of Revenue) during the July-January period of this fiscal came to Tk 799.787 billion against Tk 686.987 billion during July-February period of last fiscal.
And remittance inflow is continuing to increase and may rise by US$1.0 billion by yearend.
Buoyed by such state of the major macroeconomic indicators, the planning looks to a trillion-taka annual development programme (ADP) for the next fiscal.
Mr Kamal said the government has put some projects on fast track for their quicker implementation. "Next year we may need to implement Tk 2.5 trillion development programme, for which we have to raise implementation capacity."
The minister said construction of Khanjahan Ali airport in Bagerhat will start soon to facilitate investment. Several economic zones will be established in that area where both local and foreign businessmen will invest at a time.
Replying to a query he said a deep-sea port namely 'Paira' will be constructed in Patuakhali and another either near Matarbari or Sonadia island.
To another question he said the government and present system is responsible for creation of black money.
"No black money will be created if we can introduce market-based transaction," he said.
Registration of lands or apartments at market price, instead of government-set rates, also can help reduce black money in the economy.
Mr Kamal urged political parties to shun conformation in economic interest of the country.
Planning Secretary Shafiqul Azam, senior member of General Economics Division Dr Shamsul Alam, secretary-in-charge of Statistics and Informatics Division Kaniz Fatema, and Industries and Energy Division member SM Golam Faruk were among others present.
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