Who will prepare ‘white paper’ on state of Bangladesh economy

The committee will submit its report to the chief adviser within 90 days

A 12-strong committee headed by Debapriya Bhattacharya has been formed to publish a white paper on the current economic situation of Bangladesh, according to the Chief Advisor’s Office.

Apart from Debapriya, 11 other members will be part of the committee dominated by private-sector researchers and economists.

On Aug 22, the Chief Advisor’s Office announced its initiative to publish a white paper on the current economic situation of Bangladesh after the departure of the Awami League government.

The same day, it was announced that the committee would be led by Debapriya, a distinguished fellow at the Centre for Policy Dialogue or CPD.

The names of the other members came in a week after the announcement.

Former special assistant to the previous caretaker government and Bangladesh University of Engineering and Technology or BUET teacher Md Tamim, and Zahid Hussain, former lead economist of World Bank’s Dhaka office, are also a part of the committee.

Kazi Iqbal, a senior research fellow at the Bangladesh Institute of Development Studies or BIDS, Mohammad Abu Eusuf, a professor of Dhaka University’s Department of Development Studies, and Tasneem Arefa Siddiqui, the founding Chair of Refugee and Migratory Movements Research Unit or RMMRU and former professor of DU’s political science department, have also been put on the committee.

Other committee members include Selim Raihan, executive director of South Asian Network on Economic Modeling (SANEM) who teaches economics at DU; Sharmind Neelormi, professor of economics at Jahangirnagar University; AK Enamul Haque, dean of the Faculty of Business and Economics at East West University; Ferdaus Ara Begum, CEO of Business Initiative Leading Development or BUILD; and Imran Matin, executive director of BRAC Institute of Governance and Development or BIGD.

According to the proposal sent by the press wing of the chief advisor, the 'Committee for the Preparation of the White Paper on the Existing Economic Condition of Bangladesh' will submit a report containing recommendations to the interim administration head Yunus within the next 90 days.

The chief adviser's office also sent a list of challenges being faced by the interim government to consolidate the country's economy.

They are - reviving the economy and addressing long-standing issues through structural reforms; enhancing the capabilities of regulatory bodies; eradicating corruption; restoring stability to the banking and financial sectors; reforming tax and duty policies; and attracting foreign investment.

The proposal states that a holistic picture of the economic condition of Bangladesh needs to be in the hands of the government so it is able to address the challenges.

The proposal notes: "For nearly a decade and a half, Bangladesh's economy has been mired in multifaceted challenges. The previous government's severe economic mismanagement, corruption, money laundering, and the adoption of shortsighted projects, which led to both domestic and foreign debt, have left the economic situation extremely fragile."

Media reports citing sources in the finance department said the Hasina government left behind a debt of Tk 18.36 trillion. As of last December, this debt was equivalent to the total allocations of three national budgets.

Instead of boosting government revenue from domestic sources to cover the budget deficit, the previous administration heavily relied on both domestic and foreign loans.

It was also stated that, although the Seventh Five-Year Plan aimed to reduce tax collection to 14 percent of GDP, over the past six to seven years, this ratio has actually decreased from 11 percent to 8 percent. This is just one aspect of economic mismanagement.

Overall, corruption, the unchecked opportunity for money laundering, and market syndicates have made daily life unbearable for the members of the public.

According to data from the Bangladesh Bureau of Statistics, or BBS, overall inflation in July was about 12 percent, with food inflation exceeding 14 percent.

The figures indicate that the economy experienced significant deterioration towards the end of the previous government's tenure.

The Chief Advisor’s Office reports, "The interim government has had to take over the administration of the state under extremely precarious economic conditions, a direct result of the gross mismanagement by the previous government."

As part of the committee's framework, the proposal states that the members of the committee will serve on an honorary basis.

A suitable building in the Planning Commission complex may be considered for the committee’s office. The General Economics Division of the Planning Commission may provide secretarial assistance to the committee.

All government ministries, divisions, departments, or agencies will provide any necessary information and support as required by the proposed committee.