Finance Minister M Saifur Rahman has turned down visit Ing World Bank Vice President D Joseph Wood's suggest ion to devalue the Taka and said that the external value of the cur rency had now increased more than sufficiently to adjust ft upward.

At an exclusive meeting yesterday in the capital, the senior WB executive suggested to the Finance Minister that the Taka be devalued but Rahman reacted sharply and said. "We

should now appreciate it rather than devalue It."

Turning down the suggestion. Rahman said that the export earnings of the country had been rising, remittances increasing and the foreign exchange reserves were now at a very comfortable level of over 2.4 billion US dollars Belying the fears of the WB and other donors, the Taka did not lose any ground to its intervention currency ■— the US dollar —even after the introduction of its convertibility on current accounts.

Rahman, the sources said, also reportedly brushed aside the WB prescription to reduce the interest rates on various savings certificates. The Finance Minister told the WB official that the WB should better understand the reality of Bangladesh where the savings rate was still very low.

In support of his arguments, the Finance Minister said Bangladesh was nojv pursuing a right type of Interest rates policies.

Rahman also rejected the WB's generalised prescription to further liberalise Bangladesh's trade regime and said. "We have done a lot. I think there are hardly anything left out for further liberalisation."

He even wanted to know from the WB official the name of any specific Item on which there was any restriction except a very few strategic Items. Wood conceded that Bangladesh was now much ahead <5f her neighbouring countries with regard to reforms.

Rahman also expressed concern that the developed countries were still imposing quantitative restrictions on the exportables of the developing countries but reaping the maximum benefits of the painful reforms of the poor countries.

The Finance Minister reportedly said that the multilateral agencies also did not raise their voice against the devastating effects of the Farakka Barrage on the life and economy of Bangladesh. But now they are raising silly points In each and every bridge and river embankment project of

Bangladesh, he told the WB official.

Referring to the resettlement issue raised by the WB regarding the construction of the Jamuna Bridge. Rahman said the consultants of the WB did not quite take into consideration the realities of Bangladesh.

The WB executive highly commended the government tor a lot of hold decisions, saying Bangladesh deserved congratulations for taking a number of very bold measures but the cost of business in this country was still high.

The Finance Minister told the WB official that the present government had been seeking only qualitative, not quantitative. aid. "We don't need heavy doses of technical assistances’. We don't want it." he was quoted as having said.

Referring to the Paris agenda. Rahman assured Wood that the government would do much more by way of reforms than what it committed under the Paris agenda.

Wood said Bangladesh's success with macroeconomic stabilisation provided an opportunity to move forward with structural reforms to boost growth and Investment. He said it should now be easier to encourage competitive private investment.

Wood yesterday also discussed various issues with the Finance Minister, the Commerce Minister, the Industries Minister and State Minister for. Planning over a lunch. Last night he also attended a dinner, hosted by the Finance Minister.

The visiting WB vice president will again call on the Finance Minister before this departure. ending a five-day trip to Bangladesh.