Right sizing government for middle-income Bangladesh

It is a fact that no society throughout history has ever obtained a high level of economic affluence without a government. Where governments did not exist, anarchy reigned and little wealth was accumulated by productive economic activity. After governments took...

Newspaper owners as editors

The Prime Minister made a statement last month that it is not good for journalism when owners of newspapers become editors of their publications while inaugurating the 31-storey Bangabandhu Media Complex at the National Press Club. In April this year,...

Economic cooperation for countries in the South of the globe

The countries in the Asia Pacific region which are marked as the countries in the South of the globe are striving to end poverty and hunger to achieve sustainable development and promote faster economic growth with equity. The UN adopted...

A story of unrealised potentials

India is the closest neighbour of Bangladesh. It can, therefore, be logically expected that there would be close economic interactions between these two countries. There are multiple channels through which economic interactions between countries are mediated. Arguably the most important...

Replacing LC system with cash import better option

Foreign trade and foreign exchange play very important roles in the economy of a country. Bangladesh, with an open economy and small domestic resource base, depends largely on the external sector for her economic development. Due to domestic resource constraints...

Tackling administrative graft: Some recommendations

Various studies and researches have demonstrated that the policies, strategies and action-plans for curbing administrative corruption in the service-delivery sectors of Bangladesh should take into cognizance the divergences and differences in the perceptions, attitude and beliefs of service-recipients and service-providers...

The liquidity glut: Risks and remedies

Bad loans. Weak balance sheets. Political interference. Inadequate risk-management practices. Lack of customised financial products. Yes, this is the interminable list of problems long plaguing the banking sector in Bangladesh. And in more recent times, that list has a new...

A Nobel for Contract Theory

If I had to sum up in two words what earned Oliver Hart and Bengt Holmstrom the 2016 Nobel Prize in economics, the answer is "contract theory". Contracts are much more important in our day to day lives than we...

Rethinking poverty: Alleviation or elimination?

The bad news in poverty continues to stalk every country at the turn of the new millennium; the question is one of degrees. The good news is, fight against it has been winning grounds in most of the countries if...

China alone remains good sailor in bidding course

None else than China is offering 'suitable' proposals for selling vessels to Bangladesh Shipping Corporation (BSC), officials said, which implies a walkover. Presently, at least six project proposals--all from China--on procurement of vessels by the BSC are under negotiations, they...

Marginal prosperity

Bangladesh's ranking deteriorated in this year's Global Prosperity Index, prepared by the London-based Legatum Institute. In 2015, the country ranked 103rd among 142 countries. This year, the ranking is 114th among 149 nations. But a slip by 11 steps in...

Trade deficit doubles

Trade deficit more than doubled in the first quarter of the current fiscal mainly as the value of country's imports far outstripped its export earnings, officials said. The trade gap widened by nearly 111 per cent or US$1.24 billion to...

Housing project for public servants in the offing

The government is set to build high-rise buildings for its officials and employees in a bid to address their existing housing problem, officials said. As part of the move, a recent meeting on building houses for public servants has suggested...

Govt moves to bring foreign cos in bourses

The government has initiated a move to motivate the foreign companies operating in the country to be listed in the bourses. The Ministry of Finance (MoF) would sit sometime next week with all the agencies and stakeholders concerned to devise...

Gas moratorium fuels demand for costly LPG

Demand for liquefied petroleum gas (LPG) is growing fast following its growing use in rural areas as an alternative to firewood and government moratorium on natural gas connection. Sector-insiders say a wide demand-supply gap fuels the LPG prices, and the...

The cost of doing business increasing

The cost of doing business index of 2016 put Bangladesh in the lowest rung of ranking. In 2015, the country's position was 172, which slipped to 174 in 2016 out of 189 economies.  The ranking of Bangladesh in starting a...

Introducing a pro-taxpayer revenue regime

Establishing a pro-taxpayer environment in an emerging economy like Bangladesh, where tax-GDP ratio is hovering at around 10-11 point, requires a very close review of existing rules and regulations one by one, if not word for word. If these regulations...

Income inequality threatens fight against extreme poverty

The World Bank (WB) said extreme poverty has been falling steadily around the world. But eliminating poverty by 2030 could be stymied by unequal distribution of the gains of economic growth. The WB report titled 'Poverty and Shared Prosperity' has...

IMF to review macroeconomic situation, banks\' performance

The International Monetary Fund (IMF) will soon review Bangladesh's overall macroeconomic situation along with banking-sector performances. An IMF staff mission is scheduled to arrive in the capital next week for the appraisal, sources said. "The mission is expected to exchange...

Problems arise, as both BBA, RHD work out plans

Fresh complexities have arisen over implementation of the proposed Dhaka-Chittagong Expressway Project, following the government's policy shift from its original plan of constructing the superhighway on the country's prime corridor. Sources said the complexities have surfaced after the Prime Minister...

Malaysian PM risks backlash at home after deals with China

Malaysian Prime Minister Najib Razak is facing grumblings back home that he is "selling off" his country after returning from China with about $34 billion worth of deals, which could help lift the economy ahead of elections. The concerns emerge...

Rampal controversies: Onus lies with the government to dispel doubts

The Rampal Power Plant has kicked off lot of controversies in society. Environmentalist groups and some political parties are opposing the project and organising demonstrations as mark of their protest. The proposed 1320-megawatt coal-fired power plant under a joint partnership...

SMEs face business start-up challenges

As per cost of doing business index, Bangladesh slipped 6.0 points from the year 2015 in case of starting a business, while  many countries have been moving ahead much faster by simplifying business start-up processes. In order to see more...

Forming a new Election Commission

The tenure of the present Election Commission (EC) expires on February 08, 2017. The Law Minister has said that the government is considering to set up the new EC through a search committee. So, the government should take the initiative...

Access to food versus availability of food

More often than not, we tend to be confused over access to and availability of food. One is mistakenly taken to represent the other, particularly by the politicians in their race to win popular votes. Perhaps, Amartya Sen, the Nobel...

FBI Director\'s strange letters and the outcome of US presidential election

Hillary Clinton was running away with the presidential election - and with the momentum also the Senate - until FBI Director James Comey decided to throw a bombshell on the campaign of the former First Lady. On Friday, October 28,...

SBC seeks mandatory insuring of public assets

The Sadharan Bima Corporation (SBC) has sought mandatory insuring of public property with the state-owned insurance firm under provision of the existing law to prevent massive premium flight. Officials said the corporation has made the plea to the government in...

BB buys $1.82b from banks in July-Oct

The central bank has directly purchased US$1.82 billion from the commercial banks in the first four months of the current fiscal year (FY), 2016-17, to help keep the inter-bank foreign exchange (forex) market stable. The amount was slightly lower than...

B\'desh-Myanmar commerce secy level meeting begins Wednesday

A two-day commerce secretary level meeting between Bangladesh and Myanmar will begin from Wednesday in the capital where the signing of preferential trading arrangement and settlement of trade disputes will prominently come up for discussion, officials said. Reviewing the implementation...

Regulator goes for direct litigation in tribunal

The regulator moves to pave the way for direct filing of stock-related cases with the special tribunal on bourses to avert delays in trial. To 'expatiate' tribunal jurisdiction, officials said, the Bangladesh Securities and Exchange Commission (BSEC) has finalised a...