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Donors to extend aid for N-W region on completion of JMB

By Govinda Shil
Donor agencies will provide substantial assistance for the development of north-west re-Sjion of the countiy in sectors ike agriculture, industry, finance. urban development and fisheries, after completion of the Jamuna Multipurpose Bridge (JMB). Planning Ministry sources said.
The assistance, likely to be given from the next year, will aim at rapid development and generation of employment in the most underdeveloped region.
A workshop will be held in the city tomorrow to discuss possible modifications to the final project list prepared by an Asian Development Bank team. Bangladesh government officials and experts, on the basis of a study. The ADB-funded study has already identified 25 potential economic activity enhancement projects for the region.
Prime Minister Sheikh Hasina is scheduled to inaugurate the workshop.
The projects include establishment of a North-West Area Development Bank, a regional development authority and export processing zones as well as construction of air ports, river ports and an inland container depot.
A recent North-West Area
Development Study (NWADS) also suggested establishment of private banks and non-banking financial institutions, introduction of aggressive customs collection methods, bringing local fertiliser prices in line with international prices, restructuring Rajshahi Krishi Unnayan Bank (RAKUB) and laying of broad gauge rail-line on the Jamuna Bridge.
According to NWADS's 'key policy and strategy', the construction of a railway link would facilitate expansion of trade with Bhutan. India and Nepal.
The north-west region, which consists of greater Dina-jpur. Rangpur. Rajshahi, Bogra and Pabna. has an urbanisation rate of only 10 per cent, a literacy rate of 27 per cent and a savings rate of 5 per cent. Around 57 per cent of its people are landless.
In fiscal 1993-94, agriculture contributed more than 50 per cent to the region's economy, while industry contributed three per cent, manufacturing nine per cent and construction seven per cent. In that year, the contribution of agriculture to the national economy was 42 per cent, industry 19 per cent and services 39 per cent.
The strategy also suggested increasing regional revenue, reforming taxation on agricultural lands, withdrawing fertiliser subsidies and privatising sugar industries.
Experts say that Jamuna Bridge will increase the region's economic activities. The North-West's Gross Regional Product (GRP) has been growing steadily and was valued at Tk 122 billion in 1993-94.
The total GRP was estimated at Tk 102.8 billion in fiscal 1989-90, Tk 108.4 billion in 1990-91, Tk 110.8 billion in 1991-92, and Tk 121.7 billion in 1992-93.