Bangladesh budget lacks measures necessary to address economic challenges: Unnayan Onneshan

DHAKA, June 8 (NsNewsWire) — The Unnayan Onneshan (UO), an independent multidisciplinary think-tank, finds that the proposed budget for FY 2018-19 lacks measures necessary to address the macroeconomic, medium term and institutional challenges facing the economy.
“The budget speech seems to lack providing prudent and farsighted solutions to the current challenges except it earmarks ambitious targets of expenditure amidst inefficient distribution of resources and cost overrun, says the organization in its rapid assessment of the proposed national budget for the FY 2017-18”, says the research organisation.
Inequality has widened on the back of the gap between return on capital and return on labour on the one hand and the persistent primitive accumulation in the form of looting in different sectors of the economy on the other.
Institutional fragility has been evident in the economy, leading different economic sectors to fail to maintain discipline. Institutional fragility and political uncertainty are contributing to lack of confidence among investors and entrepreneurs.
In the wake of national parliamentary election, investors may adopt wait-and-see policy regarding making investment since they are fearful about the process of the transition of power and the subsequent business environment recalling the situation after the national election back in 2014. Press Release