• Thursday, Nov 21, 2019
  • Last Update : 02:16 am

Under pressure

  • Published at 12:03 am June 13th, 2019

What cannot be stressed enough is the need to maintain a solid economic foundation and stability

With the government on the verge of announcing the national budget for the fiscal year 2019-20, there are significant challenges that the country faces -- chief of which is the condition of Bangladesh’s macroeconomy.

While macroeconomic stability used to be recognized as one of the strengths of Bangladesh’s economy, there is growing concern that it has developed cracks and is showing signs of fragility, and the challenge is now for the country to avert this potential crisis, and protect the growing economy.

While there is no doubt that Bangladesh has achieved historic economic milestones over the past decade -- with possibly shedding our LDC tag and graduating to a middle-income country providing more incentive to be excited about the country’s immediate future -- what cannot be stressed enough is the need to maintain a solid economic foundation and stability.

Indeed, according to Centre for Policy Dialogue (CPD), Bangladesh’s macroeconomic condition is under more pressure currently than it has been at any other time over the past decade, with blame falling chiefly on three issues -- revenue collection, reforms in the banking sector, and addressing exchange rate against the dollar.

There is little doubt that each of the three issues mentioned present unique challenges of their own, and the only way to combat them is for all relevant authorities and stakeholders to work together.

It is only through progressive solution-minded thinking will there be the right policies in place to address these burgeoning issues that increasingly look to derail the country’s impressive economic achievements.