& çâÌæÚUæð´ ·¤è ¥ôÚU Îð¹Ùæ ÁæÚUè ÚU¹ð´ ¥ÍæüÌ ¥ÂÙð ÜÿØ ÂÚU ŠØæÙ ÚU¹ð´Ð ãæÚU Ù ×æÙð´, €UØô´ç·¤ ·¤æ× ·¤ÚUÙð âð ¥æÂ·¤ô ©gðàØ ·¤è Âýæç# ãôÌè ãñ ¥õÚU ÁèßÙ ·¤æ ¹æÜèÂÙ ÎêÚU ãôÌæ ãñÐ ÖÜð ãè ÁèßÙ ×ð´ ç·¤ÌÙè Öè ·¤çÆÙæ§ü €UØô´ Ù ¥æ°, çÁ™ææâæ ¥õÚU ©ˆâæã ÕÙæ° ÚU¹ð´Ð ŠØæÙ ÚU¹ð´, ÜÿØ ã×ðàææ ¥æÂ·Ô¤ Âæâ ãôÌð ãñ´ çÁ‹ãð´ ÂæÙð ·Ô¤ çÜ° ÂýØæâ ¥æÂ ·¤Öè Öè àæéM¤ ·¤ÚU â·¤Ìð ãñ´Ð

BB sees slowdown

Quarterly report says some indicators are strong

Star Business Report
A prolonged global economic crisis, especially in advanced economies, may pose a big challenge to Bangladesh. Bangladesh Bank forecasts in its quarterly report released yesterday.
The Bangladesh economy has remained somewhat unaffected from the global recession, but significant downside risks remain there, the central bank says.
"The risks may channel through exports, remittances and foreign capital inflows," it predicts.
The exports of traditional items such as jute, jute goods, handicrafts, electronics, frozen food, leather and ceramic products including some primary commodities and engineering products declined significantly in the last six months, according to the BB report on the January-March period.
"It is apprehended that exports of RMG products could also slow down in the near future.”
The central bank proposed three options to offset the probable negative impacts on the RMG exports that account for over 75 percent of the country's total exports worth nearly $ 15 billion in fiscal 2007-08.
The options are: Enhancing the efficiency of customs, ports and infrastructure as exporters need cost cutting measures to stay competitive, installation and strengthening safety net programmes for garment workers through public-private partnerships and an uninterrupted supply of power and other inputs.
The report also predicts a slowdown in remittances arguing that falling oil prices may have created adverse unpacts on recruiting new workers by Middle Eastern countries.
"Remittances from the developed economies like USA and Europe could also face setbacks depending on the duration and the depth of crisis." the report says.
Bangladesh's policy priority should be to resolve the hurdles facing expatriate workers at home and abroad and explore new markets, especially for skilled technical and service workers, it suggests.
The BB was upbeat on Bangladesh's performance in the first nine months of the current fiscal year to be ended in June 2009.
The report attributed the success mainly to the country’s limited international openness to short-term capital flows and innate wariness about excessive debt.
Export earnings showed a dip in October 2008, hut by global recession, but the overall export earnings bounced back and regained its momentum in November 2008.
Exports registered a slower 5.5 percent growth in the January-February period but the overall grtjwth was 15.9 percent in the July-February of the current fiscal year over the same period of previous fiscal year.
In the reported period, RMG (woven and knitwear products) registered higher exports but some other commodities such as raw jute, jute goods, leather, frozen shrimps and fish, fertiliser and terry towels declined over the same period of last fiscal year. RMG exports recorded 21.2 percent growth in the July-February period.
Total merchandise imports declined by 3.9 percent during January-February of 2009 compared to 12.1 percent growth recorded in October-December quarter of the current fiscal year. Capital machinery import recorded a 12.4 percent decline.
The inflow of workers' remittances, the critical anchor for the country’s current account balance recorded 14.5 percent growth during January-March of the current fiscal year. The inflow of workers' remittances recorded a strong 24.5 percent growth in the July-March period of the current fiscal year.
Inflation has significantly sub-
sided in the January-March period. The point-to-point inflation stood at 5.04 percent in March 2009, down from 6.03 percent in December 2008 and 10.19 percent in September 2008.
The foreign exchange market remained mostly stable due to a healthy situation in the foreign exchange reserves. The current account balance maintained a sizeable surplus worth $816 million in the July-February period of the current fiscal year.
Private sector credit grew year-on-year at 19.8 percent in February 2009, which was 19.4 percent in the same period a year earlier. The disbursement of agricultural credit in the July-February of FY09 stood at Tk 5,940 crore, which is 7.2 per cent higher than the same period a yearago.