Staff Reporter :
Bangladesh Chamber of Industries (BCI) President Anwar-Ul-Alam Chowdhury (Parvez) on Saturday said we have been facing numerous challenges, including the shock of taka devaluation, rising energy costs, and high inflation as well as Supply chain disruption for long. But we did not see the government to take business friendly policy yet.
He made this remarks at a program organized by the BCI at its office in Dhaka.
The business community has been frustrated over the activities of the interim government, he claimed.
He highlighted that the government should protect industries to create employment and boost the country economy as well as bringing foreign direct investment (FDI). Besides, business people don’t feel comfortable on current situation of law and orders.
“The FDI will not come in the country if local businesses are not felt comfortable to do business here. Three matters like proper energy supply, banking or financial sector and human resources are crucial for manufacturing sector. But we don’t get full support here,” he added.
Anwar-ul Alam stated that the interim government and political parties are concerned over the country’s economic and business situation amid critical situation. They are focusing other issues. As result, business people have to face a lot of challenges.
Business operating cost increased to 30 percent in two years
Anwar-ul Alam, also chairman of Evince Group, claimed that the government’s all steps pushes cost of doing business in the country. if inflation is high, demand already decreases, Besides there is no energy supply, again prices are high, meanwhile interest rate is high, L/C opening is difficult, because of Foreign Currency Shortage and due to Bangladesh Bank’s Contraction Policy. Meanwhile ADP implementation is only 12.29 percent in the last five months July-November.
“Due to this, production dropped by 30-40 percent in some cases like Cement sector 45percent again Demand in the market is low. Business operating cost has increased to 30percent compared to last two years while dollor devaluation 41.17percent, Bank Interest 15-16 percent. Transport Cost-50percent, Freight cost 40-50percent increase.
And, we see private sector credit growth gradually decreasing like July – 10.13 percent August-9.86 September – 4.30 percent October – 8.30 percent November – 7.66percent, Capital Machinery L/C opening drop 25percent July-December,” he informed.
