Employment: What's in manifesto & what's in budget?

Career diplomat-turned politician AH Mahmood Ali in his first budget sounded high on Awami League's election manifesto.

While presenting the budget for the fiscal 2024-25 at the Parliament, on a number of occasions, the finance minister referred to the manifesto presented by party president Sheikh Hasina ahead of the 7 January election this year. Sheikh Hasina was a few chairs beside him in the almost full house Thursday afternoon.

An in-depth analysis found that the national budget titled `pledge towards building a happy, prosperous, developed and smart Bangladesh' in many ways followed the AL's election manifesto of which theme was `smart Bangladesh: development visible, employment will rise'.

But, has the budget really translated the ways of commitment for employment?

Pages after pages of the budget speech, Mahmood Ali used the word employment, especially employment for youth, but it merely showed any practical employment programme.

"We have given special emphasis on a total of 11 issues in our election manifesto this year which include making every effort to keep prices within the reach of all, ensuring vocational education and employment for youth, building modern technology-driven smart Bangladesh….," said the finance minister.

As he mentioned all these priorities will be the main basis of channeling of resources in the budget, he listed 14 activities. On employment, it only said about "ensuring provision of training for the youth and self-employment."

In sectoral priorities, he again only mentioned that special priority has been given to important issues like ensuring youth employment by promoting vocational education. And then he referred to the AL election manifesto and said creating a science and technology-based, skill-enhancing and creative learning environment and ensuring employment-friendly education system and youth employment have been identified as the special priorities. 

The party had a vision and Mahmood Ali has been assigned to materialise it in the economy. He did well in many cases at least in papers for now. But, what specific programme is there for youth employment in his first budget?

He mentioned about a programme called "improving the quality of life disadvantaged women' which has been implemented and 10,000 women have been given revolving credit of Tk 122 crore 20 lakh. Since it has been implemented already, it is understood that the project had been taken earlier.

So, what's about the Awami League's pledge made in the manifesto that two lakh youths will be given a credit of Tk 700 crore in five years? Has this budget any allocation for it?

He however mentioned that a total of 37.46 lakh youths were provided skill development training from 2008-09 to 2023-24 (up to February). In the same tenure Tk 1437 crore 68 lakh was distributed as loan to the youth.

Yes, all are past programmes.

May be as it is his first budget he kept himself limited within only the vision as he in the budget speech told the Parliament: the government is working hard to develop skilled manpower by using immense potential of the youth.

At the same time, he had a warning and a vision goal to address it: the rapid evolution of technology that we are observing because of 4th industrial revolution (IR) is unprecedented. This revolution exposed the immense possibilities before us on the one hand and threatens increasing unemployment due to creative destruction and shrinking access to the export market…. To overcome these risks, I have laid bare the activities that are being carried out and will be undertaken.

Apart from micro-credit and income generation programmes for self-employment in the growing ICT sector, vocational training and employment-friendly education are among the solutions to him.

"The role of technical and vocational education in creating extensive employment opportunities is undeniable," he said.

In this regard, he mentioned revision of traditional curriculum incorporating one vocational subject at all levels from class VI.

Is this enough?

He proposed some VAT exemption and continuation of exemption in some fields for what he said attracting investment to produce import substitutes and create employment.

What is specific target?

He also mentioned Tk 1,500 crore has been made for the employment programme for the ultra-poor and Tk 820 crore has been already expended. This programme however mainly includes Kajer Binimoye Taka (Kabita), TR and GR (cash).

Are those really permanent employment programmes?

So, a lack in practical address to unemployment problem will be frustrating for many as couple of days before the budget was placed, a Centre for Policy Dialogue (CPD) survey found that allocation for decent jobs was topmost priority by the respondents.