Editorial of ICCB News Bulletin

The continued economic growth and the impressive gains in several social indicators over the past decades point enormous potential of Bangladesh. These achievements were made despite poor governance, adverse political environment and lack of appropriate infrastructure including energy. The resilience of the economy in the face of global downturn points to the ingenuity of the private sector, farmers, common people and their ability to contribute to socio-economic wellbeing, according to the editorial of the current ICCB News Bulletin of International Chamber of Commerce-Bangladesh released today.

“Economic growth since the 1970s has been poor; the countrys politics have been unremittingly wretched. Yet over the past 20 years, Bangladesh has made some of the biggest gains in the basic condition of peoples lives ever seen anywhere,” the popular British magazine The Economist wrote in two reports published in its November 1 issue.

Bertelsmann Stiftungs Transformation Index (BTI), which conducts global assessment of transition processes where the state of democracy and market economy as well as the quality of political management in 128 transformation and developing countries are evaluated – in its 2012 biennial report also cautioned that these accomplishments cannot be sustained for long without addressing some deep-seated problems. Some issues warrant attention and actions. Firstly, a qualitative change in the political culture is needed. Secondly, the government must be applauded for its success in containing militancy, but there is no scope for complacency. The sources of extremism need to be identified and addressed as much as militants need to be confronted. Thirdly, rule of law is a prerequisite for a sustainable democracy. The politicization of the administration and lack of true independence of the judiciary has hindered democratic practices, the report added.

However, despite a challenging global environment, Bangladesh continues to remain a development paradox as it has achieved considerable social gains and a fairly impressive economic performance in the past decade.

At this time, when Bangladesh is showing the favorable signs of sustained economic growth, the stable political environment is of crucial importance to achieve our higher socio-economic objectives as a nation. Unfortunately, the recent deteriorating and confrontational political situation do not warrant the continuation of business activities to go unobstructed. Because of continuous destabilizing political environment the economic cost to the nation is enormous.

According to experts, excluding the agriculture sector and other sub-sectors which are only partially affected by national work stoppages and prevention of movement of goods and services, one day hartal costs the nation a loss of around US$200 million. In other words, if the nation were to experience 15 days of hartal in this fiscal year – a modest assumption perhaps – it could cost the economy the equivalent of US$3 billion, which could finance the Padma Bridge; leaving aside brutal killing of innocent and damage of properties. Its really alarming.

We have also observed that the present parliament, like in the past, has been in-effective due to frequent boycotts by the opposition party and the ruling partys unwillingness to accommodate opposition views. Since all power belongs to the government, they have to come forward to solve the problem. Uncompromising attitude will not be helpful. If the stalwarts of the two major parties fail to resolve the disputes across the table, worse days are ahead.

What our nation needs most at this time is commitment from our political leadership to the cause of the common people and their pledge to make the nation free from poverty and create employment opportunity for all. We believe there is no alternative to keeping the democratic process alive and making the democratic institutions stronger as the key factor for inclusive socio-economic growth. In a functioning democracy, differences of opinion may always be there and to resolve such differences there is no alternative but to resort to dialogue and negotiations instead of confrontation. This was reiterated by the business leaders time and again in the best interest of the economy and the country.