Dhaka: High bank lending rates, unstable law and order marked by extortion, energy uncertainty, and lack of coordination in revenue management are proving 'suicidal' for the economy, President of the Dhaka Chamber of Commerce and Industry (DCCI) Taskeen Ahmed said on Monday. Taskeen made the remarks at a press conference titled 'Expectations from the New Government to Address the Current Economic Situation' held at the DCCI auditorium in the city.
According to United News of Bangladesh, Taskeen highlighted that the unchanged policy rate has forced businesses to borrow from banks at 16-17 percent interest, creating mounting pressure on the private sector. On Bangladesh's graduation from the least developed country (LDC) status, Taskeen mentioned that estimates by the United Nations Conference on Trade and Development (UNCTAD) suggest exports could decline by 5.5-7 percent, equivalent to around $2.7 billion. Given the current domestic and global economic uncertainties, such a setback would be highly undesirable, he urged the government to seek at least a three-year deferment of LDC graduation.
Referring to the recently signed agreement with the United States, he pointed out that it does not guarantee duty-free access for the ready-made garment sector, while conditions related to LNG and other imports may increase business costs. Taskeen called on the government to renegotiate the terms with the US administration.
During the question-and-answer session, the DCCI president stressed the need for effective measures to curb extortion and improve law and order. He noted that over two million educated youths remain unemployed, warning that prolonged joblessness could lead to social instability. He emphasized strengthening skill development programs, simplifying business procedures, and ensuring easier access to bank loans, particularly for young entrepreneurs and startups.
DCCI Senior Vice President Razeev H Chowdhury, Vice President Md Salem Sulaiman, and members of the Board of Directors were present at the event.