Set ‘realistic’ job creation target in Seventh FYP: Economists

Economists suggested the government on Monday to cut the higher job creation target in the upcoming seventh five-year plan (FYP), to be implemented during financial year (FY) 2015-16 and FY 2019-20.
Since the country's investment is not picking up and the structural reforms is still very poor, the higher job creation target, taken in the proposed 7th FYP, is highly ambitious, they opined at a discussion on the FYP in the capital.
The General Economic Division (GED) of the Planning Commission organised the consultation meeting with a number of economists. State Minister for Finance and Planning MA Mannan chaired the programme.
GED has already drafted the 7th FYP, where it projected a total of 3.6 million job creation at home and abroad in next FY. It has projected creation of 4.0 million jobs in the terminal year of the FYP.
BRAC advisor Dr Mahbub Hossain and Prof Abdul Bayes said the employment creation target in the 7th FYP is highly ambitious.
The government should project more realistic job creation target, considering the present structural reforms and the country's economic growth, they opined.
Prof Abdul Bayes suggested GED to focus on quality GDP (gross domestic product) growth, so that income inequality is not expanded.
Dr Mahbub Hossain emphasised agriculture sector development along with the country's industrial growth.
Meanwhile, GED has drastically cut its economic growth target by some 2.0 percentage points to only 8.0 per cent from its double-digit projection in the terminal year of the draft FYP.
GED drafted the 7th FYP in a bid to take the country's economy to a new height, following its Perspective Plan 2010-2021. It will be finalised by June 30.
Officials said GDP growth in the next FY has been trimmed to 7.0 per cent in the Perspective Plan, a 1.3 percentage points lower than the previous target of 8.3 per cent.
Besides, GDP growth has been revised to 7.2 per cent, 7.4 per cent, 7.6 per cent and 8.0 per cent instead of 8.7 per cent, 9.1 per cent, 9.4 per cent and 9.7 per cent in the FY 2017, FY 2018, FY 2019 and FY 2020 respectively.
In the final year of the Perspective Plan, the government targeted a 10 per cent GDP growth. In the latest revision, GED is yet to project any revised growth target for FY 2021, officials said.
In the consultation meeting on Monday GED Member Prof Shamsul Alam presented the macro-economic issues, considered in the 7th FYP.
Economists, including Bangladesh Institute of Development Studies (BIDS) research director Dr. Rushidan Islam Rahman, and senior research fellow Dr. Nazneen Ahmed, also spoke on the occasion.
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