Trust deficit hampering private sector

The Metropolitan Chamber of Commerce & Industry (MCCI) hosted the report titled "Bangladesh's Journey to Middle Income Status: The Role of the Private Sector" launching event on Wednesday, published by International Finance Corporation (IFC) in Dhaka.

The authors of the report, Ali Zafar, Dr Masrur Reaz and Faaria Tasin have emphasised that the private sector is indeed the driver of Bangladesh's economy.

Mr. Salman F. Rahman, adviser to the prime minister, attended the event as chief guest, said that, "There is a structural mismatch in our financial system, we are using short term deposits to finance long term projects, very few countries in the world do this, and we need to address this to get proper access to finance."

The president of the Bangladesh Garments Manufacturing and Export Association, Rubana Haque said, "There is so much trust deficit between the policymakers and the industry, then, it's so shocking that it takes almost more than three months to get SRO issue in this country."

"More interaction is needed between the private sector and bank owners who are also business owners."

The authors suggested that attaining upper middle-income status through sustainable growth will require a significant increase in private investment in the productive sector.