Chief Adviser Professor Muhammad Yunus on Thursday said
his government is committed to improving business environment in Bangladesh
through reforms, seeking businessmen’s partnership in the country’s new voyage.
“No
country is perfect. Neither is Bangladesh. But I see an emerging Bangladesh
that is committed to upholding freedom and justice. We are firm to improve our
business environment through multipronged reforms that we have initiated,” he
said.
The
chief adviser came up with the remarks at the US-Bangladesh Industry Roundtable
organized by the US-Bangladesh Business Council at the Westin New York Grand
Central here on Thursday (local time).
“I
am here to hear from you and open to get suggestions to improve our investment
environment. We seek your partnership in this new journey,” he said.
In
his remarks, Prof Yunus said his interim government has started working on
creating an environment where business can flourish, and entrepreneurs can
thrive.
Any
business needs stability, predictability and a corruption-free environment, so
a key priority of his government following restoration of the law-and-order
situation is to undertake deeper economic and financial reforms, he said.
A
committee comprising experts is working on publishing a white paper that would
establish the benchmark of the economy and encourage reforms by end of
December, the chief adviser said.
“Surely
you are aware of why it is critical for us to undertake significant economic
reforms as corruption and systemic irregularities eroded fiscal and monetary
discipline,” he said.
“In
around a month’s time, we could significantly reduce revenue shortfalls and
make Taka stable. Bangladesh Bank has stopped printing money. Instead, we are
using non-inflationary measures to tackle deficit,” he added.
Turning
to different development projects taken by the previous government, he said
politically motivated unproductive development projects have been dropped.
“Depending
on the stage of implementation, we are evaluating opportunities for cost
savings in the remaining work and considering cancellation of non-viable
projects,” Prof Yunus said.
“We
are charting reform paths to address the inherent weaknesses in revenue sector.
Our reform measures are already acknowledged. Over past two days, World Bank
President, USAID Administrator and indeed President Biden acknowledged these
and mentioned rolling out critical financial and non-financial support,” he
added.
The
chief adviser said the government is resorting to the borrowing windows of
institutional and bilateral lenders for quick injection of foreign currency.
“The
currency regime has been made more market-driven by introducing crawling peg.
The currency market is already showing sign of stability,” he said.
He
said the central bank has doubled the deposit insurance, which will protect 90
percent of the depositors in case of any bankrupt, while the governor has
already formed a taskforce on banking sector reform, with ADB’s support.
“None
of our efforts will succeed if we can’t contain corruption. We have formed a
commission to re-structure our anti-corruption regime. Such efforts will not
sustain unless we have an accountable political system, he added.
“We
have, therefore, commenced reforming electoral system, law enforcement agencies
and judiciary and even police. Supporting these changes will require
substantive changes in the country’s constitution. We have started working on
that as well,” Prof Yunus said.
He
said the government intends to create more enabling business and investment
environment where innovation can thrive, young professionals can turn into
entrepreneur, and businesses can operate efficiently.
“We
are also working on customs digitalisation, strengthening IP, copyright and
trademark regime, restructuring capital market. We are open to suggestions from
any of you to improve our business environment,” he said.
Noting
that the United States has long been a key economic and development partner for
Bangladesh, the chief adviser said the US is the Bangladesh’s number one
single-country export destination and the top source of our FDI but the trade
basket is unusually narrow.
Atul
Keshap, President of the US-Bangladesh Business Council, also spoke at the
meeting.