Business leaders have expressed grave concerns to the Bangladesh Bank Governor over a proposed gas price hike and other pressing economic issues, warning of dire consequences for industrial operations and growth. Mr. Anwar-Ul Alam Chowdhury (Parvez), President of the Bangladesh Chamber of Industries (BCI), highlighted the challenges during a meeting, stating, “High interest rates on loans, energy shortages, rising fuel costs, withdrawal of export incentives, higher taxes, and pressure to raise workers’ wages have created an unsustainable business environment. Such conditions leave no scope for sustainable operations.”
Key concerns raised including rising borrowing costs with high interest rate stifling business growth and limiting the ability to reinvest and expand.
The escalating prices of gas and energy shortages are inflating production costs, reducing competitiveness in global markets. Exporters are struggling with reduced support, fluctuating global demand, and rising input costs. Higher taxes and growing demands for better wages and benefits have further strained businesses.
Business community urged immediate reforms that includes reducing interest rates to support growth, ensuring a stable and affordable energy supply, reinstating export incentives to boost competitiveness and implementing business-friendly tax policies.
Additionally, Mr. Chowdhury and other leaders advocated for an exit policy to allow struggling businesses to close with dignity if conditions remain unviable. “If we cannot operate profitably, we must be allowed to exit gracefully. The government must take this seriously,” Chowdhury emphasized.
Business leaders warned that inaction could trigger a slowdown in industrial activity, widespread job losses, and significant harm to the national economy. They urged Bangladesh Bank and the government to take swift measures to address these critical challenges.
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