News Desk :
As Bangladesh navigates a period of political transition and law and order challenges, leading economists, security analysts, and business leaders have warned that the country’s economic momentum is at risk without the restoration of stability.
Ongoing political unrest, industrial disruptions, and trade interruptions have underscored the increasingly volatile business climate. The impact of instability is being felt across sectors – from the garment manufacturing zones in Gazipur and Ashulia to financial institutions in Dhaka’s commercial hub, Motijheel.
Since the interim government, led by Nobel Laureate Professor Dr Muhammad Yunus, assumed office in August 2024 following the ousting of Sheikh Hasina, demands for new elections have intensified.
The absence of a defined electoral timeline has triggered widespread demonstrations and sporadic violence, disrupting daily life and business operations in major urban centres, reports UNB.
According to intelligence reports, over 200 garment factories temporarily shut down in September 2024 due to labour unrest, raising concerns over export reliability and affecting thousands of workers.
In response, the interim government established a joint command centre in February under ‘Operation Devil Hunt’ to coordinate security measures. However, concerns from the business community and economic observers remain unresolved.
Taskin Ahmed, President of the Dhaka Chamber of Commerce and Industry (DCCI), said the business community is increasingly alarmed by deteriorating security and is calling for a stable, disruption-free environment to sustain operations.
Former DCCI Senior Vice President Abdus Salam noted that enterprises contributing taxes and VAT are facing mounting uncertainty due to the unrest – an untenable situation, in his view.
Professor Selim Raihan, Executive Director of the South Asian Network on Economic Modelling (SANEM), highlighted that current global trade realignments, particularly under the ‘China+1’ strategy, present unique opportunities for Bangladesh. However, he cautioned that such prospects depend heavily on ensuring safety, security, and a conducive business climate.
Brigadier General (Retd) Md Abdul Hamid added that deteriorating law and order, intensified by political agitation and misinformation, is now a direct threat to economic development.
He observed that frequent protests in Dhaka are hampering trade and transport, and noted that investors are growing wary due to insecurity, corruption, and unreliable energy supplies-all of which drive up costs and deter investment.
Ashis Kumar Dey, General Secretary of the National Committee to Protect Shipping, Roads and Railways, echoed calls for social stability, warning that both local and foreign investors are unlikely to commit capital in the current environment.
Analysts stress that restoring law and order is not solely the responsibility of security forces, but a prerequisite for long-term economic planning and development. They urge political stakeholders to prioritise national interest, reach consensus on electoral timelines, and implement essential reforms.
Experts underline that law and order and economic stability are deeply interconnected. When either falters, the consequences ripple across society-eroding livelihoods, weakening investor confidence, and jeopardising national progress.
They argue that a secure environment is essential for investment, job creation, and growth. However, recent increases in crime, delayed justice, and weak law enforcement have undermined public trust. For both domestic and international investors, instability signals heightened risk.
Combined with inflation, unemployment, and lowered growth forecasts, the economic outlook has grown increasingly uncertain.
Experts warn of a vicious cycle – where poor law and order impedes economic activity, while economic distress in turn fuels further unrest. Without urgent intervention, the situation could result in prolonged stagnation, they cautioned.
