Bangladesh's economy on right track: Shamsul Alam

The whole world is now facing economic stress, inflation, fuel price hikes and supply chain disruptions and Bangladesh is not an exception, State Minister for Planning Shamsul Alam said Sunday.

"Facts and figures show that Bangladesh's economy is on the right track and there is no reason to panic," he added.

Shamsul Alam was speaking at the seminar "Bi-annual Economic State and Future Outlook of Bangladesh Economy: Private Sector Perspective" organised by the Dhaka Chamber of Commerce and Industry (DCCI).

Bangladesh's manufacturing sector saw a 23 percent growth in the last fiscal year, the state minister said.

"Last year Bangladesh sent about one million workers abroad and its positive impact on remittance inflow will be visible soon. Also, the full automation of the taxation system will reduce harassment as well as boost revenue," he added.

Shafiul Islam Mohiuddin, member of parliament and also a former president of the Federation of Bangladesh Chambers of Commerce and Industries, said despite global economic volatility, Bangladesh's reserve is adequate to cover import bills for the next five and half months. "And the ongoing crisis is temporary."

Bangladesh Bank Chief Economist Habibur Rahman said they always consider the best balancing of policy guidelines to control the money circulation in the market.

"We are also thinking of options for currency swap with a few countries like India and China," he added.

Mohammad Hatem, executive president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said the government needs to adjust fuel prices quarterly in line with the global rates.

DCCI President Rizwan Rahman suggested expediting bilateral and multilateral comprehensive economic partnership agreements with selective countries and revising the import tariff structure.

He also called for ensuring a flexible interest rate regime to reduce inflationary pressure and stabilise forex reserves.