Govt to focus on lowering cost of doing business: Amir Khasru
In a short interview with The Business Standard shortly after taking oath in the government led by Tarique Rahman, Khasru said effective measures would be taken to curb corruption and extortion, which he identified as barriers to growth.
Amir Khasru Mahmud Chowdhury, who is set to take charge as the finance and planning minister of the BNP-led new government, has set boosting investment and employment as his top priority, saying the government will focus on simplifying the business climate and lowering the cost of doing business to stimulate economic activity.
In a short interview with The Business Standard shortly after taking oath in the government led by Tarique Rahman, Khasru said effective measures would be taken to curb corruption and extortion, which he identified as barriers to growth.
He said deregulation would be introduced to ease bureaucratic complexity and reduce business costs.
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High bank lending rates and elevated gas and electricity charges are discouraging private-sector investment and limiting job creation, he added.
"Lowering lending rates to a tolerable level, removing bureaucratic hurdles and improving ease of doing business will be central policy priorities," the minister said.
Amir Khasru described the broader economic landscape as challenging, citing Bangladesh's declining tax-to-GDP ratio, weaknesses in the banking and financial sectors, and a struggling capital market.
"Although inflation has eased slightly, it remains high, while private-sector credit growth has slowed sharply, investment and job creation remain weak, capital machinery imports have fallen, and poverty is rising.
"To overcome this situation, we will have to take major and difficult decisions," he said, adding that stricter reforms will be needed compared with previous administrations.
Reducing the cost of doing business to encourage investment and employment will be pursued at any cost, alongside efforts to raise the tax-to-GDP ratio through economic expansion, he said.
The minister added that as the finance minister, he will undertake a comprehensive review of the economy to determine its current condition, after which the government will outline a roadmap defining its economic direction.
