Invest in human capital, World Bank Chief Economist Romer advises Bangladesh

World Bank Chief Economist Paul Romer has advised Bangladesh to make the highest investment in learning in order to end poverty.

Romer emphasised development of 'human capital' in End Poverty Day programmes he attended during World Bank President Jim Yong Kim's Dhaka tour on Monday.

In the main programme also attended by Kim and Prime Minister Sheikh Hasina, Romer said, "Throughout primary school, anyone who lags gets extra instruction time by the most experienced teachers. With these compensating investments, the school system can keep all children in at the same level of achievement.

"All these investments can be justified on the basis of a commitment to equality. The point I want to emphasize is that they can also be justified purely on the basis of a commitment to economic growth," he added.

He also said, "The more profound benefit from the diffusion of ideas is that people gain access to the chance to learn. Access to new ideas lets them acquire more human capital."

Showing some data, Romer said the extra human capital shows up not just in the changing mix of jobs, but also in higher wages.

After the main event, a discussion titled 'End Global Poverty by 2030: Sharing Bangladesh's Experience' was held at Osmani Memorial Auditorium.

Romer said at the discussion that Bangladesh was 'doing well' in cutting down poverty, but the country has scopes to do 'better'.

He stressed the need for more investment by the private sector along with government.

He said 'one thing' should be considered 'seriously' - "The investment will have to be in human".

Romer said South Korea did not even have the capacity to take World Bank loan, but now the country has achieved 'a level' through investment in human capital.

Finance Minister AMA Muhith welcomed Romer's advice and said the government was already heading through the path.

"We are increasing investment in development of human resource," he said.

Speaker Shirin Sharmin Chaudhury, Planning Minister AHM Mustafa Kamal, ActionAid Country Director Farah Kabir and woman entrepreneur Rubana Haque, managing director of Mohammadi Group, also took part in the discussion.