Taka appreciation against dollar ruled out
Wednesday, 12 September 2007
Finance Adviser AB Mirza Azizul Islam Tuesday ruled out appreciation of the taka against the dollar to counter inflationary pressure saying that the move could affect the export sector, report agencies.
Earlier last week, economists and civil society representatives at a discussion on inflation suggested that the government appreciate the taka against the dollar to counter inflationary pressure.
"The appreciation of the taka can help a bit in containing soaring inflation, as the import prices of some essentials may decline," Azizul told the reporters after inaugurating the international roaming facility of state-run mobile phone company, Teletalk, at Radisson Water Garden hotel in the city.
The Adviser said, "But you've to think about the export sector that may face a setback for appreciation of the local currency. It won't be justified to adopt such a policy."
Azizul, however, said that the government had already taken some steps to control the price-hike. The measures include import of essential items through state-run Trading Corporation of Bangladesh (TCB) and introducing open market sale (OMS) of rice, the major staple of the country.
According to the government data, the inflation rate on-point-point basis reached double digits - 10.1 per cent in July. And during the food inflation crossed 12 per cent causing a severe pressure on the consumers, especially the poor.
Replying to a query, the Adviser said that none should compare the inflation rate based on a point-to-point basis. He preferred to count it on an average.
Inaugurating the international roaming and SMS service of Teletalk, he said, the state-owned entity had proved wrong the notion that a government organisation was inefficient in customer services.
Currently, Teletalk provides roaming facility with 288 operators in 184 countries along with international SMS services. This is a 'no use no pay' service without any monthly access fee.
The company is also working on pre-paid roaming, GPRS roaming and SMS roaming services, and will soon commercially launch these services.
Post and Telecommunication Secretary and Teletalk Chairman Khurshid Alam attended the function as the special guest.
Earlier last week, economists and civil society representatives at a discussion on inflation suggested that the government appreciate the taka against the dollar to counter inflationary pressure.
"The appreciation of the taka can help a bit in containing soaring inflation, as the import prices of some essentials may decline," Azizul told the reporters after inaugurating the international roaming facility of state-run mobile phone company, Teletalk, at Radisson Water Garden hotel in the city.
The Adviser said, "But you've to think about the export sector that may face a setback for appreciation of the local currency. It won't be justified to adopt such a policy."
Azizul, however, said that the government had already taken some steps to control the price-hike. The measures include import of essential items through state-run Trading Corporation of Bangladesh (TCB) and introducing open market sale (OMS) of rice, the major staple of the country.
According to the government data, the inflation rate on-point-point basis reached double digits - 10.1 per cent in July. And during the food inflation crossed 12 per cent causing a severe pressure on the consumers, especially the poor.
Replying to a query, the Adviser said that none should compare the inflation rate based on a point-to-point basis. He preferred to count it on an average.
Inaugurating the international roaming and SMS service of Teletalk, he said, the state-owned entity had proved wrong the notion that a government organisation was inefficient in customer services.
Currently, Teletalk provides roaming facility with 288 operators in 184 countries along with international SMS services. This is a 'no use no pay' service without any monthly access fee.
The company is also working on pre-paid roaming, GPRS roaming and SMS roaming services, and will soon commercially launch these services.
Post and Telecommunication Secretary and Teletalk Chairman Khurshid Alam attended the function as the special guest.