By Shekhar Shah, Pradeep Mitra
Bangladesh has accomplished a lot in its quest for financial and social improvement, yet a lot is left undone. major achievements in inhabitants, foodstuff creation, and stabilization of the macroeconomy haven't been followed by means of the quicker financial development and employment new release had to alleviate sizeable poverty. elevating fiscal development to a sustainable point forthcoming 7 percentage over the medium time period is still the overriding coverage aim for the rustic. How executive coverage and activities will help in attaining the target of swifter progress by way of selling an export push in production by means of the personal zone is the fundamental subject of this document.
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Additional resources for Bangladesh: from stabilization to growth
In the short-run, faster ADP implementation is the primary fiscal instrument at the Government's disposal to raise investment.
Inflation is at a record low, external reserves are at an all-time high, and the Government's domestic resource position is favorable. Macroeconomic stability and improved public resource management are the hard won gains of Page xviii accelerating structural adjustment, they reduce the danger of macroeconomic strain, and they provide the potential resources for a safety net for the poor during the transition to a higher growth path. Four principal questions need to be addressed for a medium-term growth agenda that relies on an export-oriented, private, manufacturing sector.
In the absence of more conventional channels of negotiation between employers and workers, trade unions affiliated with political parties have come to use general strikes and political agitation to seek their demands directly from the Government. The perception of militant labor activity, whether based in fact or not, has potentially acted as a strong disincentive to new investment, particularly from overseas. Attention must also be devoted to medium-term concerns about the appropriate skill-mix requirements of the private sector in Bangladesh to mount a sustained export push.