Economist
Retired General Manager, Bangladesh Development Bank Limited and Writer on Economics
In response to the request of the previous government, in 2023 the International Monetary Fund (IMF) approved a loan of 4.7 billion US dollars in favour of Bangladesh. Although Bangladesh had sought 4.5 billion dollars in the original loan application
We often say, “money is the root of all evil” or “money is dirt in the hand.” In such ways we tend to belittle money. But in the light of reality it must be admitted that money is in no way the root of evil. Rather, money is the source of all worldly power. In today’s age it is impossible to survive even for a moment without money. Materialists say, “money is the second god.” Though there may be some exaggeration in this statement, it is not entirely false. To obtain anything, money is needed. Even to give something, money is required. A Mercedes or BMW car costs several crores of taka. Yet however valuable the car may be, without low-priced fuel it is useless.
For more than three years, people’s real income has failed to keep pace with the high inflation gripping the domestic economy. As a result, households across all classes and professions are under pressure.
The crash of a Bangladesh Air Force F-7 BGI advanced training aircraft has, according to the latest reports, claimed the lives of 22 people and injured at least 150 more. The majority of the victims were students, many of whom remain in critical condition. The aircraft, which has a range of 1,750 kilometers, was inducted into the Bangladesh Air Force in 2013. It took off at 1:06 PM, and just nine minutes later, it crashed over Milestone School and College in the Diabari area of Uttara, setting parts of the school on fire. The children’s screams filled the air, creating a terrifying and chaotic scene.
Bangladesh’s export trade depends heavily on the EU and the US. Over 80 percent of total export earnings come from these two regions.
In recent years, the issue that has raised the most concern in Bangladesh’s economy is the trend of high inflation. There seemed to be no way to curb this trend of high inflation. Just as the post-COVID global economy was recovering, the Russia-Ukraine war broke out. This unexpected war caused major disruptions to the global economy. The global supply chain nearly collapsed. As a result, due to transportation crises, the prices of various products around the world rose abnormally. In the year the Russia-Ukraine war began, food and other product production worldwide were normal. Therefore, there was no opportunity to identify the trend of high inflation as a problem caused by a shortage in production.