Doyananda DebnathPhd 13105

Date: 04 July, 2014

I. About Bangladesh

II. Policy Making Process

III. Features of Policy Documents

IV. Development Planning Process

IV. Enhancement of Development

VI. Conclusion

◦ Bangladesh: Ethnically

Homogeneous

◦ Independent: 1971

◦ Area: 130,168 km2

◦ Population: 160 million (8th rank!)

◦ Population Growth Rate: 1.59%

◦ Life Expectancy: 70.36 years

◦ Population Density: 1,237 per sq.

km. (12th rank!) Bangladesh(

http://www.youtube.com/watch?v=vguIQNmUijU

)

GDP per capita: 840 USD (568.72 USD 2000 price)

GDP growth: 6.30% Inflation rate: 6.64% Unemployment rate: 15% Public debt: 22.8% of GDP Population below poverty

line: 21.5%* All data in 2012

Vision: Rupakolpa 2021

FYP/PRSP:

Development Plan

MTBF: Public Investment

Plan

ADP: Annual Public

Investment

Leader: PM

◦ Playing leadership role (vision)

CEAs: MOF, PC (MOP), ERD

◦ Development policy formulation;

◦ Public investment planning; and

◦ Aid management.

Key Actors Ministries, Local Govt.,

Donors (DP), Other Stakeholders

◦Effects CEAs functions; and◦Role of implementation.

A long-term Perspective Plan

2010-2021.

Vision: Transforming socio-

economic environment of

Bangladesh from a low

income economy to the first

stages of a middle income

economy.

The Vision 2021 has set solid development

targets for Bangladesh by the end of 2021.

It targeted to have a higher standard of living,

better education, better social justice and a more

equitable socio-economic environment.

The implementation of Vision 2021 will be done

through two medium term development plans

with the spanning of FY11/12-15/16 (6FYP) and

FY16/17-20/21 (7FYP).

Income and Poverty: Attaining average real GDP growth

rate of 7.3% per year over the Plan period (to achieve

$2000 per capita and reducing poverty to below 16%).

Human Resource Development: Achieving 100 percent

net enrolment rate for primary education and increasing

enrolment rate in 12th class to 60% (to attain

unemployment rate below 5%).

Information and Communications Technology (ICT):

Increase public spending on Research and Development

to 1 percent of GDP by FY15 and 1.4 percent by FY 21.

A strategic directions

and Policy Framework for

FY2011-FY2015

Purpose/Goal:

Accelerating Growth and

Reducing Poverty.

A large part of the financing is targeted from the domestic public resource mobilization, private savings and remittances.

Much of the higher investment will be deployed to reduce and eventually eliminate the infrastructure constraint (primarily power and transport) and to finance human development.

The strong efforts (proper policies, institutions, and incentives) will be made to enter into Public Private Partnerships (PPP) to finance in priority areas of infrastructure and human development.

The total investment: $ 168.75 billion

Public investment: $ 38.75 billion (22.8%)

Private sector investment: $ 130 billion (77.2%)

Domestic financing: $ 152.50 billion (90.7%)

External financing: $ 16.25 billion (9.3%)

Infrastructure Development: The core infrastructure development primarily in power and transport.

Promotion Industry: Promoting industry through SME.

Enable Technology: Introducing appropriate ICT based environment and strong emphasis on technical education.

Population and Health: Renewed efforts for further slowdown the growth of population through emphasize girl’s education, female re-productive health, population control service delivery based on public-private partnership, and social mobilization.

Capacity Development: The capacity development through four pillars: strengthening the civil service; promoting devolution to local governments; strengthening public-private partnerships; and reforming planning and budgetary processes.

The initiative of Medium Term The initiative of Medium Term Budgetary Framework (MTBF) Budgetary Framework (MTBF) process is an improvement of process is an improvement of the efficiency of public the efficiency of public spending. spending.

The MTBF is strategic and The MTBF is strategic and indicative planning that links indicative planning that links medium-term development medium-term development plan (FYP) and annual plan (FYP) and annual Development plan (ADP)Development plan (ADP)

Well documented but ill implemented!

Factor Endowment: The enhancing of factor endowment (land, capital, credit and skills) of the poor including women is not specified.

Gender Equity: The equal opportunity for women in all sections of the society with the objective of integration is absent.

Investment Plan: The MTBF budgetary plan (especially for development budget!) is not insurance for ADP implementation.

Anti-Corruption: The initiative to strong anti-corruption strategy is still poor.

The basic foundations for coordination mechanisms established among central economic agencies (CEAs);

Donor advice but the dependency of aid is declining;

Public-private-partnership (PPP) initiative (but not effective yet!);

Mega project in the country: JMB (completed), Tessta Barrage (completed), Padma Bridge (on-going!);

Poverty level is still high but it is declining!

1. Bangladesh has dysfunctional politics and 1. Bangladesh has dysfunctional politics and

a stunted private sector. Yet it has been a stunted private sector. Yet it has been

surprisingly good at improving the lives of surprisingly good at improving the lives of

its poor– its poor– The Economist (3 Nov, 2012). The Economist (3 Nov, 2012).

2. Bangladesh sustained healthy GDP growth 2. Bangladesh sustained healthy GDP growth

and moderate single digit inflation in FY14– and moderate single digit inflation in FY14–

The World Bank (9 April, 2014). The World Bank (9 April, 2014).