Staff Reporter :
Business syndicates remain active across nearly every sector in Bangladesh, significantly impeding structural reform, according to Lutfey Siddiqi, the Chief Adviser’s Special Envoy on International Affairs.
Speaking at the launch of the book “Bangladesh 2030: Pathways to Shared Economic Prosperity” – organised by the Policy Research Institute (PRI) of Bangladesh in collaboration with Nymphea Publication at Sheraton Dhaka – Siddiqi highlighted how informal arrangements between segments of the business community and the government have created systemic obstacles.
“One of the main reasons we have been unable to implement structural reforms is because many within the private sector privately negotiate favourable terms with the government to protect their interests,” Siddiqi stated.
While acknowledging his professional background in the private sector and his pro-business stance, Siddiqi expressed concern over the duplicity of some business leaders. ”
There are those who advocate publicly for reform, yet behind the scenes, they enter into undisclosed agreements with ministries – undermining broader reform efforts,” he said.
Commenting on the government’s recent white paper, he acknowledged that public perception may suggest stalled progress. However, he reassured the audience that the document continues to influence decision-making.
“Although visible outcomes may not be apparent, I and many of my colleagues, including the Chief Adviser, are actively incorporating its recommendations into our daily work.”
The book launch was marked by a broader discussion on the country’s economic challenges and reform prospects.
Sadiq Ahmed, Vice Chairman of PRI and editor of the publication, described the book as a “message of hope” and a roadmap to steer the economy out of its current stagflationary phase towards sustained, inclusive growth. “This vision is grounded not in speculation, but in rigorous analysis,” he emphasised.
Industry leaders echoed calls for urgent reform. Syed Nasim Manzur, President of the Leather and Footwear Manufacturers and Exporters Association of Bangladesh, noted that the last significant tax reform occurred in 2011.
“Excessive tariffs remain a major barrier to doing business,” he said. “If we are to seriously consider entering free trade agreements, reducing tax rates must be prioritised.”
Dr Fahmida Khatun, Executive Director of the Centre for Policy Dialogue, pointed to entrenched vested interests among politicians, business elites, and bureaucrats – both civil and military – that have constrained institutional effectiveness.
“Key bodies such as the central bank, the Anti-Corruption Commission, and the National Board of Revenue have not seen meaningful reform.
The same is true of the judiciary, parliament, and public administration,” she said.
Selim Raihan, Executive Director of the South Asian Network on Economic Modeling, noted that while political parties occasionally express interest in incremental changes, there is a general reluctance to pursue deeper, structural reforms.
“This has been the pattern for over two decades and reflects a broader institutional culture, rather than the position of any one political party,” he concluded.
