Political reforms have become urgent alongside economic measures

The current poor state of the banking sector can be largely attributed to the actions of Bangladesh Bank. It is important to investigate why the central bank supported irregularities. One must remember that the overall decline in the nation's values has coincided with the deterioration of the banking sector. Furthermore, controlling inflation remains our primary challenge. Inflation will decrease, but not immediately; measures must be taken to reduce it effectively. Efforts should focus on increasing reserves and curbing inflation. Bangladesh Bank will collaborate with the government to prevent money laundering.

Our economic problems run deep, and their solutions cannot be achieved overnight. Nevertheless, I would like to highlight some priorities that an interim government could focus on. The banking sector should be a primary concern as it is currently in a fragile state. Necessary decisions must be made to reform the banking sector.

The government could start with a 100-day plan. This plan would focus on identifying economic problems and finding possible solutions. Special attention should be given to the banking sector and the capital market. In addition to economic issues, other matters should also be included in the government's 100-day plan.

In terms of the economy, there are two key aspects: macro and micro. In macroeconomics, the biggest challenge is controlling inflation. People want relief from high inflation. The government should outline how much it aims to reduce inflation over the next six months or a year. I believe that reforms in the revenue sector are crucial. Without proper reforms in tax collection and tax administration, advancing the economy will be difficult. Additionally, the interim government should present its plan regarding Bangladesh's transition from LDC status.

It is also important to see how much the government revitalizes local governance. The state of local government is very poor. If local government is not empowered, leadership will not emerge. If we empower local governments and invest in health and education at the grassroots level, people at the grassroots will benefit. Grassroots leadership will, in turn, impact the economy.

People can benefit significantly if they receive government services promptly. For example, it is often heard that people face harassment at land offices, where bribes are common to get work done. This needs to stop. An environment should be created where if someone demands a bribe, it can be easily reported, and action can be taken. Technology could assist in this; for instance, installing CCTV cameras and recording all interactions with clients. The tasks people come with should not be delayed indefinitely. Services must be delivered promptly. Everything must be transparent.

Ensuring proper service delivery should be a responsibility for each ministry or department. The Ministry of Health should ensure people are receiving adequate healthcare. The Ministry of Education should guarantee that teachers do not have to wait endlessly at educational offices for their service benefits. The Land Ministry should address land office issues. The relevant ministry should look after passport offices.

Alongside economic reforms, political reforms have also become essential. Political parties need reform. There needs to be a change in political culture, with a greater emphasis on practicing democracy within political parties. Leadership selection should follow democratic principles.

I believe the government's immediate challenge is to improve law and order. The military should be involved to address this swiftly. Regarding the police force, my suggestion is that it needs restructuring. Training should be provided to gradually transform it into a service-oriented institution.

Dr. Ahsan H. Mansur: Economist, Governor of Bangladesh Bank, and Executive Director, Policy Research Institute (PRI)