The apparel industry and other major export sectors of Bangladesh are being left with unsold products due to reduced buying orders from abroad, according to various businesspeople.

Orders have decreased significantly in most garment factories across the country, which is a major concern as the segment accounts for some 80 per cent of the country's export earnings.

"So, the government needs to take immediate action to mitigate the current economic crisis," ‍said Shahidullah Azim, vice-president of the Bangladesh Garment Manufacturers and Exporters Association.

One of the major root causes of this crisis is the country's lack of foreign reserves. So, if export-oriented sectors are provided with proper support it is obvious that they can in turn earn remittance for the country," he added.

Azim was speaking at a conference on the "Current Economic Situation Worldwide: Challenges and Action Plans", organised by the France-Bangladesh Chamber of Commerce and Industry (CCIFB) at The Westin Dhaka yesterday.

Hossain Khaled, managing director of Anwar Group, said they strongly believe that if businesspeople work together and address these problems, they can be solved. "The damage is still not done and so, it is still manageable," he added.

Khaled said that it is not the time to focus on economic growth as cost cutting should take priority. This includes improving the efficiency of factories, ports and other sectors to optimise local resources. he government on Wednesday reached a preliminary agreement with the International Monetary Fund (IMF) over a $4.5 billion loan programme, putting to bed all suspense on whether a deal would be struck with the multilateral lender.

"We have secured some financing with a policy that we don't know yet but knowing the IMF, I hope they have put in place some safeguards and adjustments to make the situation more stable," said Ahsan H Mansur, executive director of the Policy Research Institute.

"And the fact the IMF has given a seal of approval itself is a confidence boost for all entrepreneurs and players inside or outside the country," he added.

Mansur then said the funds are very important for Bangladesh as with the right combination of policies, it can restore macroeconomic stability and spur growth, which is important for the country.

Zaidi Sattar, chairman of the PRI, said the Covid-19 pandemic and recent Russia-Ukraine conflict have created the situation for a new global political order, which has disrupted supply chains all over the world and cooled down hyper globalisation.

The persisting situation has accelerated the rise of protectionism around the world, which means the national economy is now getting more priority than before, harming the basic concept of globalisation in the process, he said.

Guillaume Audren de Kerdrel, charge d'affaires of the French embassy in Dhaka, said Bangladesh and France are facing a lot of common issues, such as supply chain disruptions, increased transport cost and fuel crisis.

"Uncertainty has grown and we don't not how the next six months will look like," he said, adding that the global outlook is not improving and the consequences are hurting both developing and developed countries alike.