IMF’s conditions not possible to fulfill
Staff Reporter :
Claiming the country’s foreign currency reserve is in a good position, Finance Minister AHM Mustafa Kamal on Tuesday said that it would not be possible to achieve the foreign currency reserve target set by the International Monetary Fund (IMF).
He also doesn’t see any reason for imposing any sanction on the country as Bangladesh has not committed any wrongdoing for this.
The main challenge of the new government will lie in maintaining economic stability, Kamal said while talking with journalists at his office at Secretariat in the capital on Tuesday.
He said, “It will not be possible to achieve the foreign currency reserve target set by the International Monetary Fund (IMF).
It will be possible to double the current expatriate income.
Even amid the volatile situation, the country’s reserve is now $25 to 26 billion. We will not let it fall below $30 billion this year. It is possible.”
About the possible sanctions on the Bangladesh economy, he said, “There is no justification for imposing sanctions on the country. However, if such measures are forcibly taken, Bangladesh will be compelled to respond with similar action.”
Regarding the main challenge of the country, he said the new government will lie in maintaining economic stability.
“To achieve this goal, the government must unlock the potential sectors of the economy.
There should be a significant focus on enhancing revenue collection as a key priority,” the minister added.
He also highlighted numerous untapped opportunities for advancing Bangladesh’s economy, citing several unexplored sectors and undiscovered components.
He stressed the need for the government to dedicate more effort towards exploring these areas.
The primary focus of the new finance minister would be to boost revenue collection, the finance minister added.
He said that the main strength of Bangladesh’s economy is the foreign exchange reserve.
“Bangladesh’s annual foreign debt does not match its foreign remittances. But there is nothing to worry about.
Revenue is also being generated from both goods and services, further contributing to the economy,” he added.
The minister further said that the decision to fix the bank interest rate was correct.
“If the interest rate had been kept at the previous level, it would have gone up to 22-24 per cent now and our economy and the people would have been losers, but we did not allow that to happen,” he added.
Replying to a query, Kamal acknowledged that there have been numerous reforms in Bangladesh’s banking sector.
While noting some isolated incidents that arose, he assured that these would be addressed in the future.