Entrepreneurs urged the Bangladesh government to slash fuel prices, quoting that the unprecedented spike in the rates of petroleum products is hurting businesses, hindering job creation, and hitting the whole economy. The appeal was made at an event organized by the Dhaka Chamber of Commerce & Industry (DCCI) in the capital city, came less than two weeks after the government raised the fuel prices by up to 51.7% to pass their higher global prices on to the public, the second hike in nine months. The article is about Bangladeshi Entrepreneurs Demanded Fuel Price Slash.
Mr. Mohammad Hatem, Executive President of the Bangladesh Knitwear Manufacturers and Exporters Association, said, “Diesel is an essential commodity, so its rise is proving costly for the economy.” He also said, “When the fuel price is falling in the international market, such a huge price hike has stunned us.” He called on the government to adjust the fuel price every three months in line with international prices.
Mr. Hatem pointed out that industries in many areas, including Narayanganj, are getting an inadequate supply of gas which is hampering production. In addition, enterprises are facing a lower pressure of gas exacerbated by inadequate supply amid the government’s decision not to buy liquefied natural gas from the international market and insufficient local production.
The DCCI Chief said government borrowing through savings certificates needs to be reduced, and cheap sources of funds from external sources must be accessed. To expand export revenue, he recommended the expansion of the service sector and ensuring an increased capability in the ports and logistics sectors. Currency swap can be considered to facilitate low-cost imports and improve the foreign currency reserves, he said.
Bangladesh’s economy and the whole global economy is going through a tough time in terms of economic stress, inflation, fuel price hike, and supply chain disruptions said State Minister for Planning M Shamsul Alam. He said some indicators are facing discomfort, but the overall economy is doing well. The manufacturing sector saw a 23 percent growth in the last fiscal year, and other facts and figures showed that the economy is on the right track.
The State Minister, however, warned that as the national election is approaching, some people may want to take advantage by spreading rumors that the economy will collapse.
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