Political interference hurts investment, exports
A policy discussion in Dhaka has highlighted concerns over Bangladesh’s economic management over the past decade, with speakers arguing that mismanagement, corruption, and weak project oversight have left the country’s macroeconomic foundation fragile.
Speaking at a pre-budget shadow parliament debate titled “Challenges in Budget Formulation for the Upcoming Fiscal Year,” held at the FDC on Friday, Policy Exchange Bangladesh Chairman and CEO Dr. M Masrur Reaz said the economy inherited by the current government is “weakened” due to irregularities in banking, energy, and development projects during the previous administration.
He alleged that many development projects were significantly overvalued and that large-scale infrastructure schemes were associated with financial irregularities. According to him, governance failures and political interference also slowed private investment, exports, small businesses, and overall economic growth.
Dr. Reaz emphasised that proper and corruption-free implementation of social programmes such as family cards and farmer cards could improve living standards for marginalised communities without increasing debt burdens.
The discussion was chaired by Debate for Democracy Chairman Hasan Ahmed Chowdhury Kiron, who described the current economy as being in a “critical condition” and called for a people-friendly, business-friendly and realistic budget.
He stressed that corruption remains the biggest challenge in budget implementation and said political will, transparency, and accountability are essential to restore economic momentum. He also suggested reopening frozen bank accounts of affected businesspeople, restarting closed factories, and considering privatization of loss-making state-owned enterprises.
Kiron further urged increased but targeted social safety net allocations in the upcoming budget, warning against long-term blanket subsidies that may discourage productivity. He also recommended prioritising support for agriculture, irrigation, fertilizers, transport, SMEs, and vulnerable populations.
The debate concluded with Sher-e-Bangla Agricultural University defeating Jagannath University in a competition on the theme of budget challenges amid Middle East conflict-related economic pressures. Winners were awarded trophies, crests, and certificates.
The judges of the competition were journalist Mohammad Abdul Wadud( Assignment Editor, The New Nation), journalist Ziaul Haque Sabuj, journalist Umman Nahar Azmee, journalist Masum Mia and journalist Atikur Rahman.
