Staff Reporter :
A new survey by the Centre for Policy Dialogue (CPD) has revealed that businesses in Bangladesh view inflation, recession, and growing inequality as the most significant economic risks facing the country over the next two years.
The findings, disclosed during a dialogue at the Brac Centre Inn in Dhaka, provide a sobering assessment of the challenges ahead for the nation’s economy.
Conducted between April and July this year, the survey found that 17% of businesses identified corruption as their primary concern for 2024.
Other key challenges include exchange rate volatility, inefficient government bureaucracy, inflation, and restricted access to finance. According to the CPD, these issues are creating a highly uncertain environment for businesses.
CPD Research Director Khondaker Golam Moazzem, presenting the findings, noted that despite Bangladesh’s economic growth, it lags behind regional peers such as Sri Lanka and India in business competitiveness.
He highlighted additional risks identified by businesses, including climate change, illicit economic activities, rising debt, labour shortages, water scarcity, potential asset bubbles, and threats to critical infrastructure.
Beyond economic risks, the report identified unemployment, fuel shortages, and the increasing prevalence of chronic health conditions such as heart disease and diabetes as pressing social concerns.
These issues, the report warned, could exacerbate social instability and undermine the country’s economic resilience.
Professor Lutfey Siddiqi, special envoy for international affairs to the chief adviser, acknowledged the bureaucratic barriers faced by the private sector during the dialogue.
He proposed the formation of a reform commission for the private sector, contingent on formal proposals from trade bodies. Siddiqi assured businesses of the government’s willingness to collaborate and encouraged direct communication, including virtual meetings, to address their concerns.
The event also featured insights from CPD Executive Director Fahmida Khatun, former FBCCI president Abdul Awal Mintoo, and representatives from key trade and industry bodies, including BIDA, FICCI, BKMEA, DCCI, and BTMA.
The CPD emphasised the urgent need for structural reforms and improved governance to address these risks. Without decisive action, the challenges outlined in the report could weaken Bangladesh’s economic competitiveness and hinder sustainable growth.