National Employment at Risk: Farsighted Policies Needed

BANGLADESH’S employment as well as its economy is facing a terrible challenge due to the volatile geopolitics of the Middle East and ongoing conflicts.

Here it is to be noted that the Iran-US war broke out just a few days after the current government assumed power. That war has impacted various sectors of the country.

According to the World Bank’s latest assessment report, it is not merely a set of just economic statistics; it reflects the grim reality of the struggle for survival faced by millions of people.

It warns that if the conflict drags on, approximately 600,000 people in the country could lose their jobs and the path out of poverty could be blocked for nearly 1.2 million people.

Simultaneously, instability in the fuel market threatens to drive up production costs for electricity, transport, and industry, risking runaway inflation.

The way this global crisis is poised to impact the country’s low-income and fixed-income marginalized families naturally gives rise to deep concern.

The WB report estimates, the number of poor people in the country rose by nearly 1.4 million in 2025. And the outlook for 2026 is not promising either.

Needless to say, the report has exposed the fragility of the energy sector as the primary weakness of our economy.

A significant portion of the country’s total gas consumption must be imported as LNG from the international market.

The industrial sector is already facing the risk of stagnation due to the abnormal surge in LNG prices in the global market and shortages in fuel supply.

The agricultural sector and food security are facing threats due to the suspension of production at five major urea fertilizer factories, caused by the gas crisis, and the rising cost of fertilizer.

The healthcare costs for the general public are skyrocketing due to the increased prices of import-dependent pharmaceutical raw materials.

The immense pressure of managing subsidies has created a risk of reduced government allocations for critical areas like the social safety net, a situation that is by no means desirable.

We believe that in such a critical situation, the government must take effective measures guided by a highly farsighted approach.

Although creating new jobs is challenging given the current economic reality, preserving existing employment and keeping operational factories running should be the government’s top priority.

It must be kept in mind that shielding ordinary people from the vortex of this geopolitical crisis is possible only through the adoption of far-sighted policies, the reform of energy management, and the establishment of a robust social safety net in the face of economic collapse.

It is expected that the government will take effective measures in this regard.