Stronger programmes needed to eradicate poverty

It is alarming that poverty in Bangladesh has significantly increased, with the national poverty rate rising to 27.93 percent on August 25 compared to 18.7 percent in 2022 and the extreme poverty rate jumping to 9.35 percent from 5.60 percent over the past three years.

According to a new Power and Participation Research Centre (PPRC) study released on Monday, this sharp rise highlights a deepening economic crisis driven by factors like rising household expenses on food, increased debt burden, and potential food insecurity.

The think tank has revealed the findings while presenting the results of a national-level study on the state of real economy in the capital after surveying 8,067 households nationwide between May 8 and May 31 this year, with finding from the finance ministry.

The previous findings were reported by the Bangladesh Bureau of Statics in Household Income and Expenditure Survey in 2022.

Meanwhile, the World Bank (WB) has also forecast that another three million people in the country will sink below the extreme poverty line this year due to ongoing slowdown in economic activities following the shift in the political landscape.

It is to be noted that the country is facing the impacts of three overlapping crises: The Covid 19 shock (2020 to 232), persistent high inflation, and political-economic uncertainty.

In addition, the PPRC also unveiled the scenario of household income, employment, expenditure, financial resilience, and digital participation in mid-2025. In some cases it has also made a comparison between the pre-uprising and the post-uprising impact on households.

To deal with the shocking rise of poverty, we must address it with a new type of social safety net. Since political uncertainty is a significant factor contributing to the economic slowdown, the ambiguity surrounding the forthcoming electoral process must be resolved, business confidence be restored, and thereby encouraging investment.

This in turn, could lead to greater employment opportunities. Therefore, to break the cycle of poverty, what is required are strong and innovative programmes by the government.