Experts put forward growth factors

The country should search for new sectors and markets, improve skills of the labour force, and focus on improving agricultural productivity to boost its economic growth, economists said at a discussion in Dhaka yesterday.
They also stressed the need for framing strategies on urbanisation and regional connectivity to attain inclusive growth.
Dhaka Chamber of Commerce and Industry (DCCI) organised the discussion at Sonargaon Hotel as part of a daylong conference to set the vision strategies for Bang-ladesh's growth by 2030.
Former adviser to a caretaker government Hossain Zillur Rahman at the discussion said Bangladesh now faces the risks of political instability, corruption and stagnancy in investment.
Emeritus Professor of Boston University Gustav F Papanek said Bangladesh, which records the entry of two million labourers every year, has the very cheap labour cost compared with other countries in Asia.
The country can bank on cheap labour to catch the potentials of exports being unfolded in the global market amid rising labour cost in China, he said.
For it, he said, Bangladesh needed to quickly eliminate bottlenecks in infrastructure and reduce corruption.
"The country that wins moves faster," said Papanek.
Finance Minister AMA Muhith said the growth engine has to be wage employment.
Bangladesh economy will grow 5-6 percent a year due to competitiveness of its export items, despite bottlenecks in infrastructure such as power, energy and transport, according to the experts.
Steadily rising domestic consumption, supported by agriculture and services sector's urbanisation, will back the growth engine of the economy of more than 160 million people where 40 percent still live below poverty line.
But the economists said the current growth performance, being historical in nature, will not enable Bangladesh to touch a high-end middle-income status and cut poverty faster.
They stressed the need for focusing on increasing productivity, and diversifying the economy by targeting employment generation.
Centre for Policy Dialogue Executive Director Mustafizur Rahman called for fighting corruption, developing a debate-oriented political culture, giving space to civil society for discussion and decentralising power.
"I think the role of the state will be key to accelerating growth. In the past, the role of the state has been undermined. But for inclusive growth, implementation capacities of the state will be the key," said Rahman.