Hasina orders steps to ease ‘unbearable’ power outages, inflation

Bangladesh is experiencing intense power cuts amid a heatwave, as inflation is surging at a decade-high pace

Frequent power cuts and high inflation are both “intolerable”, Prime Minister Sheikh Hasina has said, ordering steps to ease the sufferings of the people.

Bangladesh is experiencing intense power cuts amid a heatwave as some key plants suspended electricity production due to a shortage of fuel amid a dollar crisis.

Inflation has neared double digits, with a 9.94 percent rise in May, the highest in a decade, according to state agency Bangladesh Bureau of Statistics. Economists say the actual rate is higher than the data as people are battling a cost-of-living crisis.

Hasina acknowledged both power cuts and inflation are “unbearable” for the people in a meeting of the Executive Committee of the National Economic Council on Tuesday, Planning Minister MA Mannan said.

“She believes food prices are increasing on the way to the market from the farmers, which is unacceptable,” Mannan said.

Hasina ordered officials to set up regional storages at district and divisional levels for onions, ginger, garlic and other perishable products in order to reduce inflation.

State Minister for Power, Energy and Mineral Resources Nasrul Hamid said in the meeting that the situation in the power sector was expected to improve within two weeks.

To ease the dollar crisis, Hasina asked officials to increase the use of loans from foreign governments, such as India and China.

Mannan said the government was reviewing more austerity measures to cut costs further. “For example, we’re reviewing what kind of a car a joint secretary should get.”