ZCZC
BSS-32
MANNAN-DCCI-WEBINAR-2 LAST DHAKA
According to different international organizations, around 15-20 million people are in the risk of being unemployed due to the pandemic.
Thousands of migrants may lose their jobs and be repatriated to Bangladesh. In this situation, the DCCI President emphasized on ensuring stimulus packages to the labour intensive industries and informal sector.
Moreover, through re-skilling and up-skilling, unemployed migrants can be employed in the agriculture and other local industries, he opined.
Due to COVID-19, international buyers cancelled work orders worth USD 3.18 billion from Bangladesh. Total export of RMG declined by 18.12 percent to USD27.95 billion in FY2019-20 which was USD 34.13 billion in FY2018-19.
On this ground, Shams recommended to reduce source tax from 0.5 percent to 0.25 percent as the world export market is shrinking. Besides, cash incentives need to be rationalized and given in terms of value addition.
Shams also suggested flexible, hassle-free and collateral-free loan disbursement system under stimulus packages. He called for credit guarantee in order to allow access to stimulus packages for CMSMEs.
Chairman of Policy Exchange Dr. M. Masrur Reaz emphasized on survival, resilience and revival for economic recovery.
He suggested to take short-term and mid-term strategies to bring the economy back from the COVID-19 situation. He also urged the government to reduce corporate tax, turn-over tax, modernize Companies Act, form policy considering COVID-19 crisis, and create a vibrant bond market for long term financing.
Hossain Khaled, managing director, Anwar Group of Industries and former president, DCCI, said the government’s high bank borrowing may slow down credit flow to the private sector.
“Industries are trying hard to keep the existing employment safe, in that case banks and industries should run hand in hand. We should take more green projects. We have surplus electricity now, introducing electric vehicles may reduce extensive fuel dependency,” he added.
Abul Kasem Khan, chairman, BUILD & former president, DCCI, said how to give the economy a full pace should be the main focus now.
He called for a regionally competitive tax structure for better performance of businesses.
He emphasized on stimulating the informal sector as well as MSMEs ensuring stimulus packages. “We need to be connected with ASEAN and the FTAs should be effective. Investment for research and development in industries should be tax-free,” he mentioned.
Asif Ibrahim, chairman, Chittagong Stock Exchange Ltd. & former president, DCCI, said in Bangladesh GDP-market capitalization is mere 11.1 percent which is not up to the expected level, whereas it is quite high in our neighbouring countries.
“For long-term project financing, an effective bond market will be a key player,” he said, requesting all commercial banks to inject at least 200 crore taka to the stock market complying with the directives of Bangladesh Bank.
“But, we have shortages of good IPOs in the market, he added. BSEC, DSE and CSE should strengthen their monitoring,” he said.
In the open discussion session , DCCI’s former presidents RM Khan, MH Rahman, Aftab-ul Islam, Benajir Ahmed, Sayeeful Islam, and Sabur Khan spoke, among others.
DCCI Senior Vice President NKA Mobin and Vice President Mohammad Bashirduddin were also present on the occasion.
BSS/ASG/RI/GM/GA/1903 hrs