• Saturday, Jan 29, 2022
  • Last Update : 03:32 am

Corruption back with a bang

  • Published at 07:10 pm September 9th, 2013
Corruption back with a bang

The position of Bangladesh in the Global Competitiveness Index (GCI) measured this year has improved to some extent from last year, contributed by macroeconomic stability, infrastructural development and market efficiency. But, it is still behind the position secured in the year before.

In 2013, the country ranked 110th out of 148 countries as it improved from 118th position in 2012.

Though the country has shown upward movement, it only recovered to some extent the earlier position from 108th in 2011, said Centre for Policy Dialogue (CPD), releasing the GCI 2013-14 at a press conference in Dhaka Monday.

At the same time, Bangladesh’s progress has been slowed down particularly because of further weakening of financial market and to some extent, business sophistication measure including industrial relation, said the report.

Corruption has returned back as the lead constraining factor along with inefficient government bureaucracy, which indicated Bangladesh is still struggling with structural and governance weakness pulling down the economy from attaining higher level of competitiveness, it added.

CPD senior research fellow Khondaker Golam Moazzem in his keynote presentation said corruption has jumped to the top position as major problematic factor after five years, which is a great threat for doing business. He also said lack of experience in government administration and political unrest is another thereat.

He said banks are sitting with healthy balance sheet but they are more cautious to provide funds due to scandal like Hallmark. Commenting on the slow growth in business competitiveness, CPD executive director Mustafizur Rahman said: “We are walking while others are running to attain the desired growth.” The government should put highest effort on reducing corruption, improvement of infrastructure and removing inefficiency from the bureaucracy, he added.

According to the report, political instability has emerged as a growing concern from the perspective of business competitiveness.

Switzerland topped for the fifth consecutive year, followed by Singapore in the second position and Finland in the third due to their notable performance in the innovation and labour market efficiency as well as the sophistication of business sector.

CPD interviewed, on behalf of the World Economic Forum (WEF), 71 leading businessmen of Bangladesh as sample who has business capital of Tk100m, identifying the major difficulties in the business environment that they are facing including corruption, weakness of public institutions and lack of access to finance.

About 92% businessmen think it is difficult for the entrepreneurs with innovative but risky projects to find venture capital, while 78% opined that it is difficult to obtain bank loan with only a good business plan and no collateral.

The level of efficiency of customs procedures is moderately inefficient in the country for the foreign direct investment, said 57% respondent of the survey.The survey identified some problematic factors for business in the country as corruption, inadequate supply of infrastructure, inefficient government bureaucracy, access to financing and political instability, inadequately educated work force, foreign currency regulations, poor ethic in national labour force, policy instability, complexity of tax regulation, insufficient capacity to innovate and inflation.

Entrepreneurs have foreseen an economic slowdown in 2013 due to various problems in domestic and external markets as political unrest ahead of national election and increase in cost of doing business due to crime and violence, the survey stated.  

50
Facebook 50
blogger sharing button blogger
buffer sharing button buffer
diaspora sharing button diaspora
digg sharing button digg
douban sharing button douban
email sharing button email
evernote sharing button evernote
flipboard sharing button flipboard
pocket sharing button getpocket
github sharing button github
gmail sharing button gmail
googlebookmarks sharing button googlebookmarks
hackernews sharing button hackernews
instapaper sharing button instapaper
line sharing button line
linkedin sharing button linkedin
livejournal sharing button livejournal
mailru sharing button mailru
medium sharing button medium
meneame sharing button meneame
messenger sharing button messenger
odnoklassniki sharing button odnoklassniki
pinterest sharing button pinterest
print sharing button print
qzone sharing button qzone
reddit sharing button reddit
refind sharing button refind
renren sharing button renren
skype sharing button skype
snapchat sharing button snapchat
surfingbird sharing button surfingbird
telegram sharing button telegram
tumblr sharing button tumblr
twitter sharing button twitter
vk sharing button vk
wechat sharing button wechat
weibo sharing button weibo
whatsapp sharing button whatsapp
wordpress sharing button wordpress
xing sharing button xing
yahoomail sharing button yahoomail