Given the global economic downturn, it is nothing shocking that practically every country is feeling the burn to some degree. However, the past 14 months have been particularly grueling for Bangladesh, with the inflation rate almost consistently hovering around 10%.
While news of the per capita income in Bangladesh standing at $2,784 in the current fiscal year, $35 higher than in the previous fiscal, should be a ringing endorsement of the economic progress that Bangladesh has been making for the past few years, the truth of the matter is that it simply is not indicative of the realities on the ground.
Calculations made by state institutions are simply not reflective of the sheer economic disparity which has been facilitated by our current inflation. In April alone, the price inflation of food products was 10.22% according to data from the Bangladesh Bureau of Statistics, while a report from the World Food Program states that 17% of Bangladeshis saw a 2% increase in food insecurity in February.
The Covid-19 pandemic and world events such as Russia’s incredibly misguided invasion of Ukraine led to a domino effect which has led Bangladesh to its current economic reality. But where other nations, even ones as close to us as Sri Lanka, managed to beat record high inflation rates in a reasonable amount of time, the same has not been possible for us.
When it comes to growth, it simply cannot be counted as such unless it is equitable - - something that can only be achieved by focusing on factors such restoring the public’s faith on our tax system, generating employment, facilitating increased investment, and the gradual decentralization of our economy.
Unless each and every citizen is armed with the capability to realize their full economic potential, growth on paper will remain on paper.