Originally posted in The Daily Star on 10 November 2023
A reflection of existing political crisis: experts
The current economic vulnerability of Bangladesh is a reflection of the country’s existing political crisis and wrong government policies, said experts at an event yesterday.
“If political crisis prevails in the country, it impacts different fields including the economy,” said Fahmida Khatun, executive director of Centre for Policy Dialogue.
She said this while addressing a webinar on “Repression, Movement and Economy: Pathways to Bangladesh”, organised by Forum for Bangladesh Studies (FBS).
The regulatory bodies cannot work independently when they have to work under political pressure, she said, adding that while she believes the regulatory bodies have efficiency to work and take right decisions regarding the correction of economic crises, it is not possible due to political involvement. There are a lot of problems in the financial sector and it needs time and sacrifices to resolve the crises, she added.
Ali Riaz, distinguished professor at the politics and government department of Illinois State University, said there is no scope to ignore the country’s economic vulnerability.
Alleging that the prevailing economic crisis emerged as all decisions came from partial persons instead of participatory discussion, Riaz suggested restoring a participatory economy through ensuring participatory rules, politics and election.
He said otherwise, control and repression-oriented rule will affect the economy.
“The country’s economy is going through its worst situation in the last 30 years,” said Ahsan H Mansur, executive director, Policy Research Institute (PRI).
“This severe economic crisis emerged due to wrong government policies, despite the experts having frequently cautioned the policymakers,” he noted.
The present situation did not emerge overnight and there is no hope to resolve the prevailing economic crisis within a short time, he said.
However, he said, since Bangladesh never fell in default of foreign debt as it made timely repayments, it can borrow foreign loans and utilise it honestly to gain the benefits.
Mansur suggested the dollar price be determined by the market instead of the central bank.
He also suggested not to control the ongoing workers’ movement with a strict hand as its impact may be reflected in exports and will raise questions about Bangladesh’s image.
Asif Nazrul, professor of law department at Dhaka University, said when a general election is held unilaterally without participation of major political parties, its impact is felt in the economy.
Lack of accountability, money laundering, and repression of anti-government political leaders and activists are the byproducts of questionable general election, he said.
Iktedar Ahmed, former registrar general at Supreme Court, said corruption must be stopped for faster development and the rule of law must be established with accessible and impartial justice.
He observed that police high-ups are working to execute the ruling party’s direction to make the government happy, which is not acceptable in a democratic country.
Journalist Monir Haider moderated the webinar.