Several aspects of the proposal on whitening black money contained in the budget proposed for the fiscal year 2005-06 have been discussed. The people are exploring the possible impacts of the proposal on the economy, equity, human development and the country's upcoming general election, to mention a few. A good number of reasons in favour of not allowing any further extension of the option have so far been identified.

For the people of Bangladesh to take a final decision on the black money matter, they would be required to: evaluate more precisely and concisely the comparative advantages and disadvantages pertaining to the discontinuation of the provision legally beyond 30 June 2005 in the greater local, national and global interest; get themselves familiarised with the findings of cost-benefit analyses (should be done in an honest and professional manner) on the option in terms of -- for example politics, economy, hunger, poverty, corruption and the country's immediate, as well as long term future. The people should be able to visualise now the big picture concerning the impact of their eventual decision regarding the black money matter on areas like, the opportunity costs, the economic and the financial costs, and the economic as well as financial losses and gains in the next fiscal year and beyond; make a determination as to how and to what extent, would the stoppage, in a comparative sense, be instrumental in increasing or decreasing the use of black money in the upcoming general election, per se; and take the decision in a realistic, forward looking, balanced and non-partisan manner; to mention a few.

Should the people decide in favour of the option, it will be morally proper for the government to reduce the tax burden on the honest tax payers by lowering the tax rate proposed on their income and the new rate should essentially be below the tax rate proposed for whitening black money.

The continuation of the option for a year will, however, not be sufficient for Bangladesh to fight against black money. It will require, among other things and as appropriate: a national policy; an influential and broad based constituency, as well as partnership (including both in- and ex-country partners); a bunch of cutting edge strategies, effective institutions, as well as organisational coordination; a result-oriented, broad spectrum and sustainable operations framework; a reliable, transparent and accountable result monitoring and feedback system; more meaningful media support; a country-wide awareness building and advocacy programme; a mechanism for building and sustaining the people's ownership; and the commitment of the political parties and the leaders. The above requirements could, as applicable, be incorporated in the domain of nation-wide anti-corruption measures in order to take a holistic approach to meeting the challenges and using the opportunities in the above areas.

The bottom line is: the future of governance, human freedom (used in a wider sense of the meaning), democracy and development in Bangladesh are currently dependent, among other things, on how best and soonest Bangladesh could get itself freed from black money, corruption, and the present day power politics that are, in many senses, anti-people, anti-state and anti-world in terms of their nature, action and ramification, per se.

Dr MS Haq teaches economics.