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What are the challenges for administrative reform
Syeda Lasna Kabir &
Mohammad Esa Ibn Belal
Published: 05 Nov 2024, 15: 33

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The history of administrative reform commissions in this region is long and diverse, beginning during the British colonial era, when several reform commissions were established with the aim of creating a strong administrative structure. Notable commissions are: the Aitchison Commission (1886), the Islington Commission (1912), the Lee Commission (1924), and the Simon Commission (1930).

These commissions aimed to create opportunities for the local population to be included in administration and to establish a bureaucracy capable of sustaining British rule. Although some reform initiatives were taken during the Pakistan era, they failed to have a significant impact due to the lack of democracy and military rule.

In post-independence Bangladesh, several commissions were formed for administrative reform and restructuring. In 1971, after independence, Sheikh Mujibur Rahman established the 'Civil Administration Restoration Committee' for administrative restructuring. Subsequently, in 1972, the 'Administrative Re-Organization Committee' and the 'National Pay Scale Commission" were formed. Through these commissions, ministries were reorganized, constitutional institutions were established, and a new salary structure was created.

During Ziaur Rahman's rule, a 'Pay and Service Commission' was formed with the goal of restructuring administration and improving the salary framework. His successor, Hussain Muhammad Ershad, established ten reform commissions, including the 'Martial Law Committee', 'the Administrative Reform and Reorganization Committee (CARR)', and the National Pay Commission. Significant changes included upgrading police stations to upazilas and introducing a new salary structure.

After the restoration of democracy in 1991, the BNP government formed a reform committee for administrative restructuring. This committee, however, failed to submit any recommendations. Subsequently, in 1996 and 1997, the Awami League government formed the Administrative Reform Commission (ARC) and the Public Administration Reform Commission (PARC) with the aim of increasing transparency, accountability, and efficiency.

In 2005, the BNP government passed the "Tax Ombudsman Law," which helped ensure financial transparency. The military-backed caretaker government established the 'Regulatory Reform Commission' in 2007 and took reform measures to separate the executive branch from the judiciary.

In 2009, the Awami League government returned to power and attempted to introduce a performance-based evaluation system (PBES) for administrative reform aimed at increasing public participation and administrative efficiency. However, most of the recommendations from these commissions were not implemented by the government. The failure of administrative reform commissions can be attributed to several longstanding issues.

First, there is a lack of political commitment. Political parties often promise administrative reform during elections, but fail to take effective measures to implement those promises once in power. As a result, most reform initiatives remain only on paper, and the public does not reap the benefits.

Second, the legacy of colonial bureaucratic structures continues to persist in Bangladesh. The bureaucracies established during British rule are centralized and lack transparency. Government officials often view change as a threat to their power and influence. They perceive administrative reform as harmful to their status and privileges. As a result, they obstruct reform efforts and slow down their implementation.

Third, individuals with business interests often oppose administrative reforms when they enter politics. Their primary concern is to protect their personal or business advantages, which hinders the development of the administration and public welfare. Administrative reform is not implemented successfully.

Fourth, patron-client relationships have compromised the neutrality of the administration. Loyal officials of the ruling party receive promotions, while those with opposing views are labeled as ineffective or designated as "officers on special duty" (OSD). Such favoritism weakens the efficiency and effectiveness of the administration. The governments oppose administrative reform by showing favouritism to their favoured bureaucrats resulting in hampering the progress of reform activities.

A lack of institutional capacity is also a major barrier to administrative reform. Many departments and agencies lack adequate training, skills, or technical knowledge to carry out reform activities. Additionally, the weakness of the rule of law and the lack of administrative autonomy further obstruct proper implementation of reforms.

Moreover, the lack of citizen participation poses a significant challenge to administrative reform in Bangladesh. It is essential to consult relevant stakeholders and ensure their participation for successful implementation of reforms. However, government officials often show reluctance to accept public opinions or suggestions. Even when stakeholders are consulted, effective steps are rarely taken to implement their recommendations. This lack of consultation and citizen participation weakens institutional capacity and hampers the progress of administrative reforms.

The current interim government presents an exceptional example in the country’s history. This government has been established primarily for the purpose of state reform and is operating without direct support from political parties. This unique situation is creating new possibilities for the country's development and reform. Since this government has no visible political interests, the public hopes it will succeed in reforming the country. However, there is a concern about how long this government will remain in power. Therefore, some short-term recommendations for reforms that can be implemented quickly, along with a long-term vision for a comprehensive development plan, are essential.

A fundamental change in administrative culture is crucial to making public administration more citizen-oriented. The British established modern bureaucracy in this country to prolong their colonial rule. During that time, serving the people was not the primary focus; rather, a centralized and controlling administrative structure was created for the benefit of British rule. Consequently, that bureaucracy was never dedicated to serving the public.

From the Pakistani era until 1990, bureaucracy was often used as a tool of military rule. After the restoration of democracy in 1991, the influence of politicization in administration began to become evident. After 2008, bureaucracy lost its neutrality and began to prioritize the implementation of party agendas. The Awami League government appointed its supportive officials to various key positions in the administration, causing a gradual disconnection between the administration and the public.

In this context, one of the current reform committee's goals is to make administration citizen-oriented. This is an extremely challenging task. In the past, the administration has repeatedly failed to meet public expectations because its main objective was to implement government orders, not to dedicate itself to serving the people.

Emphasis must be placed on training and ethics for officials to change administrative culture. They must be instilled with the understanding that the true owners of the country are the people and that the primary goal of administration is to serve them. If the principle of accountability to the public is firmly established among officials, the administration will genuinely become citizen-oriented and work for the welfare of the people.

If transparency and accountability are ensured in administration, it will not only improve efficiency but also facilitate the successful implementation of citizen-oriented governance. Currently, only senior officials evaluate the annual confidential reports (ACRs) of subordinate officials. However, there is no direct accountability of the administration to the general public. Consequently, the public often suffers from various inconveniences when accessing services.

To overcome this situation, it is crucial to ensure direct public participation and accountability in administrative activities. A complaint box could be placed in every government office, or an online complaint submission system could be established. This would allow citizens to bring their grievances and complaints directly to the attention of the administration, making officials more attentive and responsible in their duties.

Additionally, the government and the Anti-Corruption Commission can analyze these complaints to quickly identify corrupt and dishonest officials, which would play a significant role in preventing corruption within the administration.

The cadre-based conflict in Bangladesh's public administration is not new. Similar to other countries, the ongoing tension between general officials and specialized officials negatively impacts overall administrative improvement. Traditionally, general officials hold convenient positions and exercise executive power, while specialised officials’ power is largely limited to technical matters.

One of the main reasons for dissatisfaction among specialized officials is that important positions in the secretariat are occupied by general officials. Even in cases where specialized knowledge is essential, general officials often retain control. This situation obstructs the proper recognition of specialized officials' skills and contributions.

To resolve this conflict, it is necessary to establish an institutional framework where appointments and promotions of specialized cadre members are made solely from within their ranks. This will allow for proper recognition of specialized officials' contributions and create a balanced environment for administrative improvement.

To successfully achieve the goals of administrative reform, it is essential to develop plans considering the demands of the times, environmental challenges, and the capacity and objectives of the relevant administrative structure. However, the role of regional and international influencers or factors in the reform process cannot be overlooked. Strong states, global financial institutions, and international organizations often seek to influence the direction of these reforms due to their own agendas and interests.

Therefore, the activities of administrative reform must ensure integrated participation from all levels of society, rather than relying solely on bureaucrats. A monitoring committee comprising individuals from various classes and professions could be formed to oversee the progress of reforms and facilitate their successful implementation.

Reform is an ongoing process, especially administrative reform, which involves short, medium, and long-term activities. This interim government should start this journey with at least a few minimal reform initiatives. It is important to remember that past administrative activities often failed due to a lack of political support and bureaucratic obstacles.

Proposing reforms and implementing them are two different things. From the outset, our focus should be on trying to gain political support and then attempting to implement specific reform proposals based on that support. An overly ambitious reform proposal may create optimism, but without implementation, such proposals can lead to long-term disappointment.

Syeda Lasna Kabir is professor at the Department of Public Administration, Dhaka University

Mohammad Isa Ibn Belal is a researcher​
 

Thinking of foreign policy reform
Shahab Enam Khan
Published: 06 Nov 2024, 08: 18

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World Map

Bangladesh is at a pivotal moment in its history, transitioning from quasi-authoritarian rule to an anticipated functional democracy. The recent uprising and the supreme sacrifices made by thousands of individuals led to the removal of the Awami League's fifteen-year regime, paving the way for an interim government led by Nobel Laureate Dr. Muhammad Yunus to fulfill the promises of change. The world has noticed how fast the public has risen to topple a fifteen-year-old Awami League in power. Despite its challenges, this transition is fueled by the passion and active participation of the younger generation and the wider public.

The July 2024 movement reflects the collective desire of the people to position Bangladesh as a confident nation, both domestically and on the global stage. Dr. Yunus, a highly esteemed figure worldwide, embodies the spirit of Bangladesh. His assumption of leadership has reignited global interest and enthusiasm in Bangladesh. The substantial support from the multilateral agencies and international community, particularly from the Western bloc, China, and significant economic powers in the East, such as Malaysia, Japan, and Korea, is a testament to the global confidence in Bangladesh's reform initiative and recognition to the changes that the public wants to see.

As Bangladesh continues to attract global attention, the responsibilities confronting the government and political parties as they engage in the democratic process are increasingly complex and challenging. The primary goal of the interim government is to ensure a smooth election process, a commitment that should instill confidence in the democratic transition. Dr. Yunus's administration must implement electoral reforms and secure global support for the transition to democracy. Foreign policy will require a comprehensive revision to sustain the reform efforts beyond the interim government's term and protect Bangladesh's national interests.

It's important to understand that foreign policy is no longer just a matter of high-level politics; with advancing technologies, it has become a subject of public scrutiny. In the post-July 2024 movement, public perception has become a critical influencer in foreign policy decisions toward the US, China, and India. The events of the July 2024 movement have emphasized a radical shift in our foreign policy. It necessitates a proactive foreign policy, constructive narratives that reflect our national interests, and a national consensus, regardless of political affiliations.

So, what should we reform in foreign policy then?

The key reform should be rooted in narratives. Bangladesh upholds multilateralism and is dedicated to international trade. That’s not enough. Article 25 of its constitution mandates support for oppressed populations, regardless of their political, racial, religious, or ethnic affiliations. Our foreign policy narratives must confidently articulate objectives and advocate for global humanitarian concerns, whether regional or extra-regional. This necessitates clearly articulating national sovereignty to establish boundaries for external actors influencing domestic politics and national security priorities. But here is a caveat – the narratives will only be compelling if a good government is at home.

The reform should include a well-defined and cohesive foreign policy. The government should have four key international goals aligned with a practical foreign policy approach. Firstly, the two major power blocs—the US and China—will inevitably seek to maintain a geopolitical balance of power. Therefore, Bangladesh's strategy should prioritize maximizing national interests while maintaining a delicate balancing act based on mercantile liberalism. Undoubtedly, the Bay of Bengal, as the middle sea in the Indo-Pacific region, exposes Bangladesh to ongoing geostrategic complexities.

Second, bilateral engagements would require Machiavellian realism to be on the center stage. Multilateralism, the cornerstone of Bangladesh’s foreign policy, requires a shift from idealism to pragmatism based on global humanitarianism and domestic human security interests. Built on the spirit of the 1971 liberation war and the constitutional obligation, standing for fair and equitable international affairs and resolving disputes through international mechanisms is imperative. This should be the case in bilateral relations with the countries Bangladesh shares borders with.

Third, our Indo-Pacific Outlook needs to be broadened, and the issues with Myanmar must be addressed pragmatically. While Japan, Korea, and the Southeastern countries will be critical to Bangladesh’s economy and connectivity, it is crucial to design clear foreign and coordinated strategic policies to stabilize Myanmar in collaboration with the international community, Rakhine stakeholders, Rohingyas, and the political actors in Myanmar. Bangladesh and Myanmar have a successful history of repatriating the Rohingyas in 1978-79 and 1991-92. Therefore, Bangladesh must demonstrate a Myanmar policy based on national strategic considerations rather than being influenced by the interests of third countries.

Bangladesh needs to design a comprehensive South Asia policy with a primary focus on India. Bangladesh's approach towards India should be based on transparent trade and investment principles and international law and norms rather than overemphasizing political and security concerns. Bangladesh is crucial in ensuring the external security of India's northeastern region, the Bay of Bengal, minority issues, and even its domestic politics. Therefore, the focus should be on the potential impact of Indian instability on Bangladesh. I have no hesitation in saying that our political community has much to learn from India's strong partisan consensus and unified media stance on foreign policy to protect their national interest.

Where do we go from here?

Bangladesh needs to adapt its foreign policy approach considering the public sentiment demonstrated during and post-July 2024 movement. To embody the spirit of a confident nation, the country requires diplomats, negotiators, defense strategists, and politicians who are merit-based, innovative, and courageous. It is undeniable that rapid advancements in AI and technology are reshaping societies, and diplomacy is no exception. The Rohingyas or Ukraine and Palestine are classic reminders that the intertwining of social, religious, cultural, or language is not a guarantee of protection from the neighboring states.

Factors such as interest groups, demographic divisions, resource nationalism, trade protectionism, energy supply lines, technology disparities, political populism, labor migration, misinformation, disinformation, climate, water, and health crises will continue to present significant challenges. It's important to note that as we see religious far-right narratives rising across the world, foreign policy should weigh costs and benefits rather than be driven by theology.

As a result, the current tasks differ significantly from those of the past. My conversation with senior diplomats reminds me that our foreign policy objective should be to strive for strategic autonomy in our decisions. Coordinating foreign policy still presents a significant challenge that has troubled the foreign ministry for decades. Additionally, foreign policy accountability needs to be more noticed, as evidenced by the rare discussions of the constitutional articles 145 and 145A within the policy domain.

It is crucial to recognize that a strong national consensus will be essential for advancing significant foreign policy in the coming years. It's important to remember that our primary foreign policy challenge arises from political divisions at home. Henry Kissinger once ironically remarked, "No foreign policy—no matter how ingenious—has any chance of success if it is born in the minds of a few and carried in the hearts of none." This serves as a poignant reminder.

* Professor Shahab Enam Khan, Department of International Relations, Jahangirnagar University​
 

UNCTAD keen to support Bangladesh's reform drive
Special Envoy Lutfey Siddiqi holds high-level bilateral meetings with int'l organisations in Geneva
FE ONLINE REPORT
Published :
Nov 07, 2024 20:56
Updated :
Nov 07, 2024 21:27

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Chief Adviser’s Special Envoy Lutfey Siddiqi held a series of important bilateral meetings in Geneva, Switzerland, this week, focusing on enhancing international cooperation and support for Bangladesh’s development.

Siddiqi met with UN Trade and Development (UNCTAD) Secretary-General Rebeca Grynspan at her office on 4th November. They discussed UNCTAD’s contribution to thought leadership and agenda-setting at the intersection of trade and development, a spokesperson for the CA office said on Thursday.

Secretary-General Grynspan expressed her office's readiness to enhance cooperation and provide technical assistance to Bangladesh on its reforms journey, including the implementation of the DMFAS platform and upgrading of the ASYCUDA system used by Bangladesh customs.

The Special Envoy also met Zhang Xiangchen, Deputy Director-General of the World Trade Organization, on 5th November. They discussed possible avenues to enhance South-South dialogue and the WTO’s potential support in facilitating Bangladesh’s LDC graduation.

Siddiqi had a meeting with Daren Tang, Director-General of the World Intellectual Property Organization, on 6th November at the Director-General’s office. They discussed the constructive role of a developed IP ecosystem in attracting foreign investment and fostering diversified exports from Bangladesh. WIPO stands ready to support Bangladesh and provide effective technical cooperation for IP development.

Special Envoy Siddiqi was in Geneva as part of the delegation to the International Labour Organization (ILO), led by Law Adviser Asif Nazrul and Labour Adviser Asif Mahmud.

Earlier, the group met with the Director-General of the ILO, Gilbert F Houngbo, who expressed support and optimism for Bangladesh’s reform agenda.​
 

New reform commissions yet to take shape
Sadiqur Rahman 09 November, 2024, 00:20

The four new reform commissions have yet to appoint members even three weeks after their announcement by the interim government.

The announcement of the government’s decision to set up the four new commissions for health, labour rights, mass media and women’s affairs came on October 17.

The interim government’s spokesperson Syeda Rizwana Hasan, addressing a press conference on the day, had said that the council of advisers had decided to set up the new commissions.

Rizwana, also the adviser to the environment, forest, climate change and the water resources ministries, had also said that the names of the full commissions would be announced in seven to 10 days.

The government earlier established six reform commissions with chairs and seven to nine members each, 22 days after the chief adviser Muhammad Yunus announced their formation on September 11.

Rizwana on October 17 named National Professor AK Azad Khan, journalist and columnist Kamal Ahmed, Bangladesh Institute of Labour Studies executive director Syed Sultan Uddin Ahmed and Nari Paksha executive council member Shireen Parveen Haque as the heads of the reforms commissions on health, mass media, labour and women’s affairs, respectively.

All the four heads told New Age on Wednesday that representatives of the interim government had only received their verbal consent.

National Professor Azad said that he initially expressed reluctance due to his busy schedule.

‘When I was told that Professor Yunus wanted me on board, I gave my verbal consent. However, I have not yet received any formal invitation,’ he said.

BILS executive director Sultan said that he was unaware of any further developments.

‘I don’t even know who the members of the labour commission will be,’ he added.

Rights activist Shireen and journalist Kamal echoed Azad and Sultan’s sentiments.

Following the fall of the Sheikh Hasina regime on August 5 amid a student-mass uprising, Nobel Laureate Professor Muhammad Yunus-led interim government was formed on August 8.

In a televised address to the nation on September 11, marking one month since taking office, Yunus announced the heads of six reform commissions on the constitution, judiciary, electoral process, police, public administration, and the Anti-Corruption Commission.

The interim government established the reform commissions to drive state reformation in the wake of the recent political transition.

On October 3 and 7, the Cabinet Division issued separate gazette notifications announcing the members of these commissions.

According to the gazettes, the reform commissions must submit their proposal reports to the chief adviser by January 1-4, 2025.

The new reform commissions will be required to complete their tasks within 90 days of the publication of the gazette notifications.

Md Mahmudul Hossain Khan, secretary for coordination and reforms at the Cabinet Division—the sole authority to issue gazettes regarding the reform commissions—told New Age on Thursday that his office was still unaware of any progress concerning the new reform commissions.

Rizwana could not be reached by telephone for comments. She also did not respond to a text message on the issue in two days ending Friday evening.​
 

Fair polls can’t be held before certain reforms
Says Sarjis at Sylhet DC office


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Photo: Collected

Sarjis Alam, a coordinator of the Anti-Discrimination Student Movement, yesterday called the Election Commission the most corrupt institution of the Awami League regime.

He said a fair election is not possible without reforming the commission first.

"The revolution was not just for elections. People suffered for 16 years because of the corrupt system, and the Election Commission was the most corrupt institution [of that system]. We cannot hope for a fair election without reforming it," he said.

Sarjis, also the general secretary of the July Memorial Foundation, made the remarks while talking to journalists after disbursing financial aid to families of the martyrs of the mass uprising at the deputy commissioner's office in Sylhet.

He said a list of around 1,600 martyrs was made, and financial support was extended to their families.

"We're not saying that reform everything and continue reformation for 5 to 6 years. We must go for elections only after reforming institutions related to elections. But, the reformation of the system demands a logical time. Otherwise, we will remain in the same place.

"For 53 years, the constitution could not ensure a people's government or protect our rights. Constitutional reformation is also very important."

Sarjis said the law enforcement agencies must also be brought to order; otherwise, vote rigging might occur.

"Besides, the judicial system also needs to be reformed to ensure fair polls. Many collaborators of the fascists are still at the High Court, who secured their place by lobbying with the government. They must be removed."​
 

Government forms selection committee for ACC chairman and commissioner appointments
FE Online Desk
Published :
Nov 10, 2024 20:24
Updated :
Nov 10, 2024 20:24

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Government forms a five-member committee, led by Justice Rezaul Haque, to recommend ACC leadership appointments

The government has established a five-member selection committee to recommend appointments for the positions of Chairman and Commissioners of the Anti-Corruption Commission (ACC). The committee is chaired by Justice Md. Rezaul Haque from the Appellate Division of the Supreme Court of Bangladesh.

An order was issued by the Cabinet Division on Sunday to form this committee under Section 7 of the Anti-Corruption Commission Act, 2004, specifically to assist with ACC leadership appointments.

The committee members include Justice Farah Mahbub from the High Court Division, Comptroller and Auditor General Md. Nurul Islam, Chairman of the Bangladesh Public Service Commission (PSC) Prof. Dr. Mobasser Monem, and former Cabinet Secretary Md. Mahbub Hossain.

For each vacant position, the committee will recommend two candidates based on the majority decision of at least three members. The list will then be forwarded to the President for final approval under Section 6 of the Act.

To reach a decision, a minimum of four committee members must be present. The Cabinet Division will provide necessary secretarial support for the committee’s operations.

According to the ACC Act, 2004, the commission comprises three commissioners, one of whom serves as the Chairman. Each commissioner holds a five-year term.

ACC Chairman Mohammad Moinuddin Abdullah, Commissioner (Investigation) Md. Zahurul Haque, and Commissioner (Inquiry) Mosammat Asiya Khatun resigned on October 29. All three were appointed during the tenure of the Awami League government.​
 

Govt should be given rational time for reforms: Fakhrul
BSS
Published :
Nov 12, 2024 18:31
Updated :
Nov 12, 2024 18:31

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Bangladesh Nationalist Party (BNP) Secretary General Mirza Fakhrul Islam Alamgir in Lalmonirhat on Tuesday said the interim government should be given reasonable time for carrying out reforms.

“Rational time should be given to the interim government for reforms. We have to show patience so that the government can conduct all the reforms in a peaceful and disciplined manner. Don’t take everything politically rather problems should be resolved through dialogue,” he said.

He made the remarks while inaugurating Shaheed Zia Smriti Football Tournament as the chief guest in Barobari area of Lalmonirhat district.

The present government should be more careful in appointing advisers, as no dubious person could be appointed as an adviser.

Fakhrul said the fascist Awami League government has taken the country almost to destruction through massive corruption and irregularities.

Lalmonirhat district BNP President and Central Organising Secretary Ahsan Habib Dulu presided over the inaugural function while Bangladesh Football Federation President Tabith Awal, former captain of national football team and Dhaka North City BNP Aminul Islam, among others were present.​
 

Need proper reforms before election
Says Jamaat ameer

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Shafiqur Rahman. Photo: Collected

Jamaat-e-Islami Ameer Shafiqur Rahman yesterday said they want the country to go through proper reforms before an election.

An acceptable election can only be held after a thorough reform, he said.

He was speaking as chief guest in a rally, organised by Pabna district unit of Jamaat, held at the Pabna Edward College yesterday afternoon.

"We want to give a logical amount of time to the interim government before holding the election so that they can make proper reforms in different sectors. Through the path of such reforms, we can have a fair and acceptable election," said Dr Shafiqur.

The roadmap for the reformation should be fixed after holding discussions with political parties, he also said.

Appreciating the initiative of the interim government, the Jamaat Ameer said this government has been formed through a revolution, so they have to do a lot.

"If the interim government fails, then the entire nation will fail. So they have to be successful, and we have to help this government for the sake of proper reformation," he added.

Shafiqur also said they have forgiven Awami League for oppressing their party, but they will never forgive the mass killings conducted by the AL government.

"We want justice for every killing," he said.

The party's district unit ameer Abu Taleb Mondol chaired the rally.

Earlier, Shafiqur met with the families of the martyred students during the student movement in Pabna.​

I like this current leader or Ameer (Dr. Shafiqur Rahman) of the Jamaat in Bangladesh.

A proper leader and role model of the Jamaat (an Islamist entity) should show publicly proclaimed tolerance toward minorities, toward women and generally toward groups who are victims of oppression whether societal or political. I think he passes with stellar colors on all these counts.

Islamists should be the first ones to proclaim fairness and opportunity for non-Muslims to show the true colors of Islam as a tolerant religion in Bangladesh and the spirit of working together with all groups to reach political and religious consensus. The current Ameer understands this principle well.

He is non-corruptible (as leaders of Jamaat generally are in Bangladesh) and fair and reasonable in his statements for tolerance and all-around reasonable behavior. A proper Islamist should be a good Islamist who defends Muslim principles but is stubbornly fair and tolerant toward non-Muslims in our society as well, embracing inclusivity and a helping hand principle as outlined in the tolerant nature of Bangladeshi society.

As a leader of the Jamaat-e-Islami Bangladesh - we expect no less of him.
 
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Pace of reforms will determine time for polls
Says Prof Yunus in interview with AFP

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"We are the interim government, so our period should be as short as possible."— Prof Muhammad Yunus

Bangladesh's interim leader Muhammad Yunus yesterday told AFP that reforms are needed before his country can elect a government following the ouster of autocratic former ruler Sheikh Hasina.

The speed of reforms "will decide how quick the election will be," the Nobel Peace Prize winner and micro-finance pioneer said in an interview on the sidelines of the COP29 climate talks in Baku.

But he insisted that he would steer the country towards a democratic vote.

"That's a promise that we made, that as soon as we are ready, we'll have the elections, and the elected people can take over, run the country," he said.

He said the country needed to quickly agree on possible constitutional reforms, as well as the shape of the government, parliament and election rules.

"We are the interim government, so our period should be as short as possible."

Yunus was named to lead the government as "chief adviser" after a student-led uprising toppled Hasina in August.

Tens of thousands demonstrated in protests against job quotas that morphed into a nationwide struggle to end Hasina's 15 years of iron-fisted rule.

More than 700 people were killed, many in a brutal police crackdown, before Hasina fled to India on August 5.

Hasina rule saw widespread human rights abuses, including the mass detention and extrajudicial killings of her political opponents.

"Any government would be concerned about stability. We are also," he said.

"We are hoping that we can sort it out and have a peaceful law and order," he added.

"It's only three months after the revolution."

In the three months since becoming Bangladesh's interim leader following a student-led revolution, Yunus has endured political turmoil, impatient cries for elections, and destructive flooding across the low-lying nation.

Impatience for elections in Bangladesh has gained pace since Hasina's ouster, and the silver-haired technocrat said he shared concerns for peace and security in the nation of 170 million.

Bangladesh is struggling financially and, earlier this month, Indian firm Adani slashed cross-border electricity supply by half due to some $850 million in unpaid bills.​
 

The case for internal reforms within political parties
Political parties in Bangladesh need to reconsider their governance structures, taking cues from liberal democracies around the world.

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VISUAL: ANWAR SOHEL

When a country's politicians seek nationality or residency rights in foreign countries, it signals that its politics has reached an impasse—a dead end—with leaders hedging their bets with an exit strategy should their careers become untenable. This disturbing tendency has become evident in Bangladesh after a report revealed that 24 politicians who served as ministers, advisers or members of parliament during the tenure of the ousted Awami League government hold foreign citizenship or residency cards. They have allegedly acquired these privileges by concealing information, which constitutes a breach of both the law and Bangladesh's constitution. Article 66 of the constitution clearly states that a person who acquires foreign citizenship or pledges allegiance to a foreign state cannot serve as a member of parliament.

This disregard for the people and country they were supposed to serve can be attributed to the erosion of the electoral system, breakdown of good governance, pervasive financial corruption, and unchecked money laundering over the 15-plus years under deposed autocrat Sheikh Hasina. Her misgovernance displayed traits commonly associated with fascism, such as curtailing electoral democracy, stifling political and cultural liberalism, establishing family-centred rule, using security forces for personal and crony interests, and scapegoating political or social groups to deflect blame for any national failure or crisis. Above all, there was an extensive personality cult built through state-funded propaganda.

In Bangladesh 2.0—following Sheikh Hasina's fall and her subsequent refuge in India on August 5, 2024—the state reform drive of the interim government has focused on various areas, including the electoral system, constitution, judiciary, civil administration, and media. However, one of the most essential components of state reform—politics and political parties—has been relatively absent in the reform agenda or even public discourse.

In the case of politicians who have shown divided or no loyalty to Bangladesh by secretly obtaining foreign citizenship, their parties must also share the blame, as there is currently no effective monitoring process for nominating parliamentary candidates or even vetting aspirant party members. Sadly, the charters and rules of political parties are often not aligned with national laws and electoral procedures.

In Bangladesh 2.0—following Sheikh Hasina's fall and her subsequent refuge in India on August 5, 2024—the state reform drive of the interim government has focused on various areas, including the electoral system, constitution, judiciary, civil administration, and media. However, one of the most essential components of state reform—politics and political parties—has been relatively absent in the reform agenda or even public discourse.

Public discourse has long highlighted the need for MPs to exercise independent judgement in their legislative duties, calling for amendments to Article 70 of the constitution, which reads, "A person elected as a Member of Parliament at an election at which he was nominated as a candidate by a political party shall vacate his seat if he resigns from that party; or votes in Parliament against that party." Many argue that MPs should be allowed to vote independently—except in cases of no-confidence motions and finance bills—to strengthen democratic practices. However, Bangladesh's major political parties, including the BNP and Awami League, lack internal democracy. Therefore, before considering constitutional amendments, it is crucial to reform party charters to promote internal democracy.

In recent decades, major political parties have increasingly placed absolute trust in their top leaders, elevating them to near-unchallenged authority. This approach has weakened decision-making processes and stalled internal democratic practices, exposing deep-seated crises in our politics.

Most district-level committees, as well as the central committees, of the parties are not formed through secret ballots or any standardised process. Top positions have been held by the same individuals for decades, while their family members either serve as their deputies or are groomed to take over leadership. Even other key positions, such as general secretary or secretary general, are not elected within party forums but are instead handpicked.

This practice of selecting leaders without transparent processes often leads to street demonstrations and intra-party conflicts. Without a fair and inclusive process, such conflicts—sometimes turning violent—are likely to continue in today's changed political scenario.

Even the nomination process for party tickets in parliamentary or local elections resembles a quasi-feudal system, where grassroots leaders or aspiring candidates have minimal influence. A select group of central leaders decides on nominations based on criteria known only to themselves.

Considering the gravity of all such undemocratic practices, political parties in Bangladesh need to reconsider their governance structures, taking cues from liberal democracies around the world. They should embrace internal democracy at every level of decision-making, moving away from practices that centralise power among elites or family dynasties.

Politics should be seen as a mission, not a profession, and politicians must ensure they have legitimate sources of income. To combat corruption, political parties should require all members to maintain a valid, sustainable profession outside politics.

Proper electoral reforms can enhance discipline and transparency within the political process. In a country where large numbers of people are mobilised for rallies and election day operations, technological improvements could streamline these activities. For instance, introducing smart IDs at polling stations could reduce the need for polling booth agents, lessening dependence on full-time loyalists. In the 11th parliamentary election on December 30, 2018, over 200,000 polling booths were set up across more than 40,000 centres, requiring substantial manpower and resources.

Further reforms should be made to the Representation of the People Order, 1972. Key positions within political parties must be elected by secret ballots in councils, ideally under the Election Commission's supervision, to prevent unopposed or uncontested selections. The commission should also audit party finances annually, mandating transparency in political funding by requiring parties to disclose their donors.

Finally, we must ask: should individuals who lack absolute loyalty to Bangladesh be barred from joining political parties? Should parties voluntarily revoke membership of individuals with foreign citizenship or residency permits, given that they cannot legally run in national elections? The answers are not difficult to reach.

Shamim A Zahedy is a journalist.​
 

UN has started extending support to reform commissions: resident coordinator

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Gwyn Lewis. Photo: UN News

The UN has started extending different types of support to the different reform commissions constituted by the interim government to finalise reform proposals in different sectors of governance.

UN Resident Coordinator (UNRC) in Bangladesh Gwyn Lewis apprised Foreign Secretary Md Jashim Uddin as she called on him at the foreign ministry yesterday.

She stated that the UN was willing to share their expertise and best practices of other countries with the reform commissions.

Lewis requested for conducting stakeholder consultations across the country to finalize the reform proposals.

She emphasized holding a Bangladesh Development Forum meeting involving the development partners of Bangladesh and relevant government agencies for better understanding of the development partners about the priorities of the interim government.

At the meeting, issues concerning the cooperation of the UN agencies in Bangladesh, support of the UN towards the ongoing reform initiatives of the government including for the electoral process reform, and technical support of the Office of the UN High Commissioner for Human Rights for capacity building of the relevant government authorities were discussed.

Foreign secretary appreciated the UN for their support to the government's reform initiatives.

He reiterated the request of the chief adviser to the UN secretary general for organising an all-stakeholders' conference on Rohingya crisis with a view to finding innovative solution and showing resolve of the international community to a sustainable solution of the protracted Rohingya crisis.​
 

Key questions for designing and implementing reforms

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FILE VISUAL: REHNUMA PROSHOON

The interim government (IG) has commendably initiated a process of reforms designed to address the malgovernance associated with the outgoing regime. Commissions have been established to prepare an agenda for reforms in six areas: the constitution, public administration, judiciary, law enforcement, corruption, the electoral process. Two separate commissions/committees have been set up to: (a) define the key economic challenges immediately facing the country and (b) identify economic reforms needed to immediately address specific problems and to recommend longer term reforms. Recently, four other commissions have been set up covering health, women, media and labour. This is a heavy load to carry particularly for purposes of implementation. In each of these areas, we have in the past witnessed implementation failure of public policies as well as the progressive degradation of institutions of governance. It is presumed that the commissions and committees will come up with a body of worthy ideas on what needs to be done in their respective spheres of responsibility to reverse this process of malgovernance.

What is less clear to the public at this stage is the process through which the reforms will be enacted and who exactly will be expected to execute the reforms. All of us need to be reminded that the malaise in each sector in need of reforms did not exclusively originate during the tenure of the last regime. In many cases, the problems date back over several decades. Over each regime, failure to address and correct problems aggravated the malaise. The 16 years under the Awami League deepened the malaise to cancerous proportions where severe surgical intervention is needed to save our body politic from irreversible damage.

Given the long-term durability of the problems to be addressed by the respective commissions, we should note that various proposals for reforms, whether through innumerable commissions/committees or from civil society as well as the academic/research community, have already been presented over the years. I myself was involved, during my tenure as a member of the advisory council, in the first caretaker government headed by Chief Justice Shahabuddin Ahmed (December 1990-March 1991), in setting up 29 task forces (TF) to address the numerous problems related to the economy and governance process, which had accumulated during the Ershad era over the 1980s. The TFs were headed and populated by 255 of the best professional talents then available in the country, representing a diversity of policy perspectives who worked exclusively on a voluntary basis to prepare these reports within two months. Professor Muhammad Yunus headed the TF on self-reliance policies, and Professor Wahiduddin Mahmud, currently adviser for education, headed the TF on macroeconomic policy. A number of members of various commissions or committees under the present government, such as Abdul Muyeed Chowdhury and Debapriya Bhattacharya, were members of various TFs under the first caretaker government.

The TF reports were designed to serve both the incoming government elected to office in the March 1991 elections and the opposition in parliament. Sadly, the elected incoming BNP government made little use of the reports. A similar effort, this time by CPD, just prior to the 2001 elections, commissioned 16 TFs, drawing on 160 of our top professionals, to propose policies and reforms necessary at that period. These TF reports were also unaddressed by the then elected government. Other such policy reforms commissioned by particular governments have similarly remained largely unattended by the very government which commissioned the reports. Two such reports which come to mind include a report on Reform of Public Administration commissioned by the first government of Sheikh Hasina (1996-2001) and the report of the Education Commission set up by the AL regime in 2010.

The relevant point at issue remains the commitment of particular regimes to implement any process of reforms. There can be little doubt about the sincerity of any government headed by Professor Yunus to carry out reforms, particularly since it has come into office in the wake of a revolution headed by the youth of Bangladesh who as yet remain uncontaminated by the diseases which have infected the national polity over so many years. On the assumption that the IG remains bound to its commitment to pursue such reforms I present below, in synoptic form, some of the practical questions that need to be addressed by the IG in order to ensure that the reform process yields a more positive outcome compared to earlier efforts at reform.

1. Process of finalising reforms

i. Consultations of the draft reports of the commissions with whom?
  • Political parties: what will be the criteria for determining which parties will be consulted?​
  • Civil society: who from a big contingent will be privileged for consultation?​
  • Youth: will this be restricted to those who led the uprising or include other groups who also participated?​
  • Stakeholders in issues covered by particular commissions​

ii. There will be differences of opinion originating from groups within each of the above. Whose views will be prioritised in the final reports?


iii. Whilst all (?) political parties will be consulted in the interests of democracy, not all parties are equal in terms of their representative status and prospective electability. How will the IG take this political reality into account?

iv. The final draft of the reports based on the public consultation process will presumably be discussed and approved by the full Advisory Council (AC) and will be regarded as the definitive position of the IG on the reform agenda in a particular area. Will the reform agenda approved by the AC again be discussed by the IG with the political parties and how will disagreements be accommodated?

2. Implementation of reforms

When, how and by whom will the reforms finalised by the AC be implemented?

i. For reforms to be implemented the recommendations from the commissions will need to be operationalised through either policy proposals, legislative acts or even constitutional amendments. Who will be responsible for undertaking this task, the commission or the concerned ministries?

ii. Does the IG plan to begin implementing any or all of its proposed reforms during its tenure? If it decides to implement only a selection of reforms, what will be the guiding principles for choosing which of the reforms are to be implemented?

iii. Some political parties, particularly the BNP, have indicated that reforms can only be implemented by an elected government.
  • What is the position of the IG on this particular position?​
  • Will it only proceed to implement reforms if the political parties give it the go ahead?​
  • Should the IG go ahead and begin implementing particular reforms if it believes such reforms need to be prioritised whatever may be the position of the parties?​

iv. In the final analysis, meaningful reforms which impact the governance and lives of citizens will need to be carried forward on a sustainable basis by a government which expects to be in office for a period of 4/5 years. This would normally be possible only for an elected government. However, it can also be possible for an interim government to expand its tenure in order to implement its mandate for reform. Such a decision may encounter strong political resistance, particularly from the major political parties. Is the IG at all inclined to go down this route?

3. Implementation of reforms in the post-IG phase

If the IG is unwilling and/or unable to implement the reforms it may be appropriate to presume that the fate of any significant reform agenda will have to be dependent on its implementation by a prospective elected government. Keeping this in mind the IG will need to consider the commitment, willingness and capacity of the political party/parties, with any credible expectation of forming a post-election government, of actually implementing the reforms.

The implementation process will need to be sustained over the lifetime of the elected regime. This will not just need a sincere buy-in by the concerned political parties but the political vested interests of the party will also have to be in sync with the reform process and its intended outcomes.

It is this contradiction, both in regard to policies and reforms, between the interests of a prospective ruling party, its principal backers and influential social forces, that have historically frustrated the implementation of reform over the lifetime of successive regimes. Keeping such concerns in mind the following questions merit attention:

(i) If a government, mandated by a large electoral plurality, no longer finds it in its interest to initiate or persevere with the reforms, what can be done to ensure the sustainability of the reforms?

(ii) Will the reforms finalised by the IG be so designed as to ensure that prospective elected governments will remain mandated to carry out the reforms?

(iii) What oversight and accountability mechanisms can be built into the reforms to ensure continuous oversight of the reforms by:
  • Parliament​
  • The judiciary​
  • Civil society​
  • Media​
  • The young people who are today demanding reforms​
  • Any other concerned body​

From my limited experience in public affairs and rather longer exposure to the state of governance in Bangladesh, I have come to believe that the real problem faced by all governments has not been the deficiency of the policies or lack of reforms but the failure to implement its own policies. These failures originate from a lack of commitment, presence of vested interests which run contrary to the outcomes of policy, and a lack of competence due to the progressive degeneration in the quality of governance. Hopefully, Prof Yunus, the IG, and the various commissions will keep such a perspective in mind in finalising their recommendations for reforms and taking decisions on how to implement them.

Prof Rehman Sobhan is chairman of the Centre for Policy Dialogue (CPD).​
 

Hasina regime cooked economic growth data
Suggests swift political reforms in interim period to improve governance, ensure better economic decision-making
FE REPORT
Published :
Nov 16, 2024 00:34
Updated :
Nov 16, 2024 00:34

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Many economic parameters were cooked during the past Awami League regime while over US100 billion learnt to have been siphoned off the country, a Brussels-based agency reports and suggests rapid reforms for a rebound.

Macroeconomic indicators, including export figures and growth data, were believed to be manipulated and were "highly misleading", according to the report styled 'A New Era in Bangladesh? The First Hundred Days of Reform'.

The report, prepared by International Crisis Group and published Friday, says it was an open secret that Hasina's administration was manipulating key economic data for much of its time in office.

It has cited World Bank estimation that from 2015 to 2019 about half of Bangladesh's reported gross domestic product (GDP) growth was "unexplained", in that it could not be attributed to structural improvements or the effects of earlier reforms.

Export statistics were also doctored: in early July, Bangladesh Bank said export figures for the previous fiscal year alone had likely been inflated by $10 billion.

"It was rubber-and-pencil growth," the highly critical report says quoting an international macroeconomist.

"In other words, the numbers were cooked, though to what extent remains unclear," it adds about the alleged cooking of books on data.

The European agency notes that corruption also worsened under the deposed government, particularly in the banking sector, and became a major source of resentment.

More than $100 billion is thought to have been moved offshore illegally over the past fifteen years.


"Industrial-scale looting by ruling-party acolytes" has left some of the country's biggest private banks insolvent, according to regulators, putting depositors' money at risk.

"It's a classic case of crony capitalism," a foreign economist said. "The amount of embezzlement that the country has faced, particularly in the financial sector, is extraordinary."

Foreign governments should also help the interim government recover the proceeds of corruption and state-sanctioned theft that are sitting in banks and property markets outside Bangladesh, the agency suggests.

It notes that despite popular grievances over economic hardship, long-term economic reform is a lesser priority for the interim government than political change.

Its view is that addressing fundamental economic problems, such as low tax revenues, will take years - far longer than the interim government's likely lifespan - whereas political reforms to improve governance can be taken more swiftly and lead to better economic decision-making.

The post-uprising interim government is focused on short-term macroeconomic priorities, such as maintaining stability, building up foreign-currency reserves and bringing down inflation.

The early signs suggest that policymakers can avoid a Sri Lanka-style economic crash that brings down the government.

The interim government, in the recovery process, has secured billions of dollars of additional financial support from multilateral financial institutions, including the International Monetary Fund (IMF), the World Bank and the Asian Development Bank.

Exchange-rate reforms have helped boost foreign reserves. Inflation, while still high, has declined from its July peak, and Dhaka has started to clear its debt in the power sector. It is also seeking to renegotiate terms with some of its external creditors, including Russia and China, says the report.

Led by Nobel laureate Muhammad Yunus, the administration is expected to remain in office for another year, and maybe, longer. If the interim government falters, however, the country could revert to the status quo ante or even enter a period of military rule.

It should avoid staying in power too long and build consensus on new measures among political parties. External actors should offer aid, India should work to repair its image with the Bangladeshi people, suggests the report.

Foreign governments and multilateral institutions should provide the interim government with technical and financial assistance, including on security, judicial, electoral and economic reforms.​
 

BNP’s pledge for reforms sounds good
We would like to see the party match its words with actions

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Visual: Star

BNP's acting chairperson Tarique Rahman made a number of promises on Thursday, which we hope the party sincerely intends to fulfil. Such promises, however, are nothing new. We have heard similar promises when a party was not in power only to see them being forgotten after coming to power. Nevertheless, the promises made by BNP in its reform agenda sounds promising on paper.

Tarique emphasised building a Bangladesh where not even the prime minister could abuse power, highlighting principles such as the rule of law, human rights, freedom of speech, transparency, and accountability. Drawing from BNP's "31-point Outline for Structural Reforms," he reiterated some objectives that are both novel and ambitious. For instance, no party has previously placed much emphasis on ensuring a free press. But Tarique declared his resolve to enable the media to "speak truth to power" and openly criticise the government. If implemented, this would mark a significant departure from the Awami League's harsh persecution of dissidents and journalists. Furthermore, the proposed reforms to curtail the government's excessive power—including the introduction of a bicameral parliamentary system and limiting the prime minister's tenure to two consecutive terms—suggest that the party might be embracing more mature political practices.

Unfortunately, if we observe the party's actions, we can deduce that it is already faltering in realising some promises, mainly that of curbing corruption. For example, there have been multiple reports of "BNP-linked" groups extorting citizens, with its party members or activists allegedly filling the void of AL-established syndicates—as well as regular infighting within the party. While BNP leadership has issued warnings against such behaviour, more decisive actions are necessary. Otherwise, such incidents will continue to cast doubt on assurances from BNP's leadership and make it harder for citizens to place their trust in the party.

BNP's pledge to build an inclusive, liberal, and democratic Bangladesh—by balancing power among the legislative, judicial, and executive branches and dismantling the tools of oppression used by past governments—is commendable. However, sincerity is the key to achieving such a transformation. Much of the scepticism surrounding BNP—as well as other political parties—could be addressed if the party itself practiced democratic principles, such as decentralising its decision-making process. Additionally, it could move away from the failed dynastic politics of our region, which has acted as an obstacle to the democratisation process.

The July uprising demonstrated that people are fed up with dynastic politics driven by violence, oppression, and corruption. Many have sacrificed their lives to break free from this system and secure the rights of all citizens. All political parties, including BNP, must honour these sacrifices and ensure they are not in vain.

 

Engage private sector more in reforms to energise economy
Business leaders urge govt at The Daily Star discussion

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Mir Nasir Hossain
Former president of FBCCI


A tighter monetary policy taken by the Bangladesh Bank alone cannot contain inflation. The government should take steps to curb extortion and establish healthy management in the supply chain to control the rising prices.

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Mostafa Kamal
Chairman of MGI


Vietnam takes only 7 days to decide on an investment proposal, but red tape delays the process in Bangladesh to over 7 months. A law should be there to complete the process within 3 months.

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Kamran T Rahman
President of MCCI


Allocating just 10 percent of the unused lands of tea gardens can help generate up to 6,000MW of clean energy. This can be delivered to industries hit by the energy crisis through corporate power purchase agreements.

Monzur Hossain
Research director of BIDS


The government should go for thorough analysis of every sector and review the policies once every three months. Besides,
inflation will not come down if reserves do not become stable.

Tanvir Ahmed
MD of Envoy Textiles


The recent labour unrest has heavily damaged the country's image. I know a group, which lost a work order of 20 million pieces of garments to Vietnam just because of the unrest.

Abrar Hossain Sayem
President of BAYLA


Bangladesh can establish a national data platform and go for using big data analytics with the help of artificial intelligence to make informed decision for capacity expansion or investment in any sector.

The government should increase its engagement with the country's private sector in making policies and decisions amid ongoing reforms, according to prominent business leaders, who cited major challenges such as high inflation, rising interest rates and slowing demand and investment that are now plaguing private businesses.

Mentioning that the private sector is the key driver of Bangladesh's economy, they said increased engagement can better resolve their issues and remove investment bottlenecks, boosting employment and economic growth.

The businessmen were speaking at a discussion, styled "100 days of the Interim Government: Economic Review", organised by The Daily Star at its office in Dhaka.

Tanvir Ahmed, managing director of Envoy Textiles, said the local economy has stagnated and businesses have become dry. "The economy must be put in order fast. Otherwise, trouble in the financial sector will continue to rise."

He said people have a lot of expectations from this government, so it should sit with the stakeholders. But they have not seen any such interactions until now.

"We are exposed. We know our sufferings better than anyone else," Ahmed said.

Mir Nasir Hossain, a former president of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), said there was virtually no government in Bangladesh for three days between August 5 and August 8 following the ouster of the Sheikh Hasina-led government by a mass uprising.

"Miscreants took this advantage and continued unrest."

Apart from the weak law and order situation, Hossain added that there were also logical reasons for the unrest in the garment sector. He said workers were angry as they were not being given different service benefits.

It was also due to some of the factory owners delaying regular salary payments, he said.

Moreover, instigation from outsiders was also a major cause for the labour unrest in the garment sector, he added.

Children of workers are being deprived of better education, while workers must now spend more for basic housing, he said, adding that the factory owners need to improve community engagement.

"The achievement of this government is good, though it may appear that a lot of expectations remain unfulfilled. But it is not possible to resolve all the issues in such a short time."

He said the energy supply to the production units has improved after liquefied natural gas (LNG) imports by the government. "This must continue."

However, factors including higher bank interest rates have turned into a major cause of concern. "The economy will not grow if investment suffers," he said.

He added that the law-and-order situation must be monitored and an environment of confidence must be created. Besides, political parties have responsibilities in curbing extortion, so they should address this, he said.

"Private sector engagement is necessary. Because only the wearer knows where the shoe pinches."

Mostafa Kamal, chairman and managing director of Meghna Group of Industries (MGI), said the involvement of private sectors stakeholders in decision-making should be increased, he said.

He also said ensuring a consistent energy supply is crucial, saying the government should ensure energy supply through exploration as well as consistent imports.

Kamran T Rahman, president of the Metropolitan Chamber of Commerce and Industry (MCCI), said the banking sector is now in the doldrums.

Citing the high volume of non-performing loans (NPLs) and failed merger attempts for ailing banks, he said, "NPLs have gone through the roof."

He inquired about the progress of the proposed Banking Reforms Commission and urged the interim government to act swiftly. Strengthening money loan courts by increasing the number of judges, he said, could address some immediate issues.

He noted the absence of an exit policy for industries and added many firms cannot leave the business due to a lack of mechanisms.

He also advocated granting duty-free import benefits for raw materials of all export-oriented sectors.

The MCCI president said high inflation has severely affected the population. While interest rate hikes aim to curb inflation, they are straining businesses, he added.

He commended the government for forming reform commissions but urged faster action.

Regarding exports, Rahman urgently stressed the need to meet the European Union's due diligence standards for achieving net-zero carbon emissions by 2030.

Failure, he warned, could devastate the readymade garment (RMG) sector. To support this transition, he proposed allocating 10 percent of land for solar power plants, which could generate 5,000-6,000 MW of clean energy.

This would not only reduce reliance on foreign exchange for energy imports but also bolster export-oriented industries with sustainable power solutions.

Abrar Hossain Sayem, president of Bangladesh Apparel Youth Leaders Association (BAYLA), said sacrifice by the youth played an important role in the formation of the incumbent government and Bangladesh should utilise the bright image of Chief Adviser Professor Muhammad Yunus.

For instance, many international clothing retailers and brands are coming back to Bangladesh with apparel work orders as they have confidence in the Yunus-led government.

He said some 0.4 percent of the local garment factories cannot pay their workers timely because of rises in the cost of doing business. The business cost spike includes a more than 200 percent rise in utility bills, which has been affecting the company's bulk expenditure and profitability.

He said the condition of small and medium ventures should be investigated because of abnormal spikes in the cost of doing business.

Monzur Hossain, research director of the Bangladesh Institute of Development Studies (BIDS), said managing spiralling inflation and implementing sound financial reforms are major challenges for the economy now.

He advocated continuation of the liquidity support to weak banks for their survival.

Hossain said there are private sector representations in two taskforces -- one for developing strategies to boost the economy and mobilise resources for equitable and sustainable development, and another for preparing a "white paper" on Bangladesh's economy.

Envoy Textiles' Managing Director Ahmed said efforts to stabilise the foreign currency reserves and reopen educational institutions after the uprising are some of the major achievements of the current government.

However, expecting a long-term solution from the current government will not be right as it's just an interim government, he said.

"The incumbent government should focus more on the restoration of the law and order and the restoration of confidence in the police force so they can continue. Because new recruitment and replacement of old police is not possible in a short time."

He cited a small incident of shifting a work order for 20 million pieces of garments from Bangladesh to other countries because of the labour unrest.

Ahmed also said the monthly salary of garment factories in the country is more than $600 million and annually the amount is more than $8 billion. The domestic economy is still largely dependent on the garment industry.

He feared losses of $14 billion to $18 billion in the export business of Bangladesh because of the erosion of preferential trade benefits after graduating from the least developed country club in 2026. Local exporters will have to face a 12 percent duty on export to the European Union, where Bangladesh exports more than $25 billion worth of goods in a year.

Bangladesh is still producing low-end garment items with low prices, selling items for $2.80-$2.90 per piece, whereas Pakistan and other countries' average value of garment items ranges between $4.50 per piece and the local exporters make only seven percent profit, he said.

With a higher bank interest rate at 17 percent, sales of apartments also declined to 8,000 units from 20,000 in Dhaka every year, he added.

At the discussion, Mahfuz Anam, editor and publisher of The Daily Star, said, "As a newspaper, we are committed to the growth and prosperity of Bangladesh.

"I believe the private sector is a major actor in that prosperity," he said, adding that The Daily Star wants to be a partner to entrepreneurs who are doing business with integrity and have invested in the advancement of the country.

"We want to be a part of the future growth of Bangladesh. I believe Bangladesh will advance with a healthy, well-governed private sector," he added.​
 

Institutional reform needed for an inclusive Bangladesh

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For Bangladesh the student movements represent a beacon of hope for more inclusive, equitable development. FILE PHOTO: PALASH KHAN

This year's Nobel laureates in economic sciences—Daron Acemoglu, Simon Johnson, and James Robinson—have demonstrated the importance of societal institutions for a country's prosperity. Societies with a poor rule of law as well as exploitative institutions struggle to generate growth or improve living standards. The Nobel laureates' research helps us understand how Bangladesh, trapped in extractive institutions inherited from its colonial past, failed to achieve the desired magnitude of prosperity after independence.

Extractive institutions, which concentrate power and resources among a select few, often hinder widespread economic opportunities. These institutions prioritise the interests of political elites, military leaders or certain economic groups, creating a system where wealth and decision-making authority are hoarded at the top. In such settings, most people are excluded from the economic and political benefits that promote growth and innovation. As a result, inequality grows, social mobility diminishes, and opportunities for broader development are stifled. In Bangladesh, the economic system of the past 16 years served as an example of such extractive institutions, where the primary beneficiaries were a handful of citizens and their descendants—political elites, bureaucrats and business conglomerates who maintained control over the country's resources. This era largely ended in August this year. To understand how extractive institutions might transition to more inclusive ones in Bangladesh's context, we can look at students' movements that, by protesting against discrimination and demanding equal socioeconomic opportunities, have challenged economic and power structures.

Historically, popular uprisings and social movements have played a vital role in shifting extractive institutions toward inclusivity by amplifying the voices of marginalised groups and pressuring governments to implement changes. For example, the 1952 Language Movement, which secured Bangla as the official language, and the 1990 movement, which led to the end of military rule and restored democracy in the country, are both pivotal in Bangladesh's history as they highlight the role of youth activism in confronting entrenched power structures. Most recently, students mobilised around critical issues such as road safety in 2018 and civil service quota reforms in 2018 and 2024.

The 2018 Road Safety Movement began after two students were tragically killed in a hit-and-run incident. It quickly grew into a nationwide outcry against the poor governance of our roads. The civic community became increasingly vocal about the negligence, corruption, and lack of accountability in the transport sector. Similarly, during the 2018 and 2024 quota reform protests, students successfully pressured the government to reform the civil service recruitment system, reducing job quotas reserved in favour of certain groups. These quotas, which disproportionately benefited certain families and politically connected individuals, were seen as barriers to merit-based recruitment and career advancement. The quota reform movements were a small but meaningful step towards a more inclusive system that aims to level the playing field for all citizens, regardless of their background.

Bangladesh's student movements are more than just isolated incidents of unrest—they symbolise a broader, structural challenge to the extractive institutions that dominate the political and economic landscape. If student movements continue to push for reforms addressing employment opportunities, social inequality, and corruption, they are essentially calling for a shift from extractive practices to more inclusive systems. The success of these movements hinges on their ability to connect with other discontented groups and sustain pressure on the government.

In countries like Tunisia, Egypt and South Korea, student-led movements became catalysts for regime change and reforms when they gained momentum and aligned with other social groups. In Bangladesh, the potential for such a shift exists. As student movements continue to grow, they could play a crucial role in transitioning the country to a more inclusive and participatory society. The outcome of this transition would depend on the resilience of these movements and the willingness of the ruling elite to compromise or face political and economic upheaval.

Ultimately, the battle between extractive and inclusive institutions is not just a fight over resources; it is a fight over the future direction of the country. Inclusive institutions tend to foster economic growth, innovation, and political stability by allowing broader participation in decision-making and ensuring that opportunities are available to all citizens. For Bangladesh, which continues to grapple with high levels of inequality, corruption and governance challenges, the student movements represent a beacon of hope for more inclusive, equitable development.

By challenging the status quo—whether in economics, education, governance, or public safety—students in Bangladesh are confronting the extractive nature of the system. If these movements garner broader support and align with other social forces, they could lead to reforms that make institutions more transparent and accountable. This mirrors the broader theoretical process in which social mobilisation, crises, elite conflict, and external pressures contribute to the transformation from extractive to inclusive institutions.

Dr Shamsul Arifeen Khan Mamun is a professor of economics and a member of the BCS general education cadre. He is currently attached to the Directorate of Secondary and Higher Education (DSHE) under the Ministry of Education.​
 

Political party consensus will determine speed of reforms, election
Prof Yunus says in interview with The Daily Star

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Chief Adviser Prof Muhammad Yunus has said that it is the political parties that will decide on the nature and extent of reforms, which in turn will determine how soon the election can be held.

This, however, will be entirely dependent on the consensus among the political parties only, since seeking opinion of the people would require a referendum, he said in an exclusive interview with The Daily Star Editor and Publisher Mahfuz Anam yesterday.

"The sooner the reforms, the sooner the elections. And if the political parties say they don't want reforms, then even sooner," he said.

Prof Yunus explained his vision for reforms following the reports of the six major commissions, including on electoral reforms and constitutional reforms. He said that the interim government would strive to get to a political consensus in the quickest possible time on the next polls.

"We are not going to impose anything," he said before elaborating that his administration was merely facilitating the process.

Asked about a specific timeframe of the interim government's tenure, he said he is not giving a concrete timeframe intentionally. "Then people would be looking at that and try to hurry you through to the elections regardless of the reforms."

On the election roadmap, Yunus said there would be two parallel and simultaneous processes – one for reform and one for election preparations. "The Election Commission will be declared very soon and it will proceed at its own pace of its own accord. I will have nothing further to do with that."

However, the economist turned social banker pointed out that the Election Commission would not be able to function till the electoral reforms commission submits its report. "And the report would not be enough by itself because there will have to be political consensus regarding it."

The reforms will initially depend on the six commissions' reports due by late December, he said. But the government would not be able to use those reports before there is a political consensus. "We will sit with all political parties to hear what they want."

Yunus said the news outlets would also articulate their opinion through articles and editorials. "We will also seek opinions of the civil society."

In his opinion, the timeline for reforms will depend on how soon the political parties can reach a consensus. If the political parties say they do not want reforms anymore and demand elections instead, the interim government would do exactly that. "So be it. Who am I to say no?"

The six reform commissions are expected to submit their reports by the end of December, and the government will have ample time to arrive at a consensus on the reform timeline by July 2025, he said when asked about a timeline for reforms.

"It really depends on the political parties, there is no point asking me how long it will be."

Asked how the government will find out the will of the people regarding reforms, he said that the government will hold talks with political parties as people's representatives. "Otherwise, we would have to go for a referendum and that would be too cumbersome."

When asked whether the Awami League would be a part of those discussions, the Nobel laureate said that would also be entirely up to the political parties. "If the parties want the Awami League to be part of the process, then it will very well be there. We have nothing to say about that."

Asked about random murder cases against journalists without any evidence, the chief adviser acknowledged the unfairness, saying, "This was hurriedly done, following the old laws and practices."

About the cancellation of accreditation cards of journalists, Prof Yunus said that he was briefed that the cancellation does not and will not affect their work as journalists, and that it will only bar them from freely entering the Secretariat.

He did not give a direct reply when pointed out that the cancellation did not conform to the rules.

Turning to the government's foreign policy, the chief adviser said although he was admittedly closer to the Democrats, his government would surely be able to work with a Trump White House. He explained that when he was awarded the Congressional gold medal it was a unanimous decision. "Even Republicans voted for me. And no one has told me that they do not like me."

Regarding the narrative in the Indian media and its portrayal of the changed scenario in Bangladesh, Yunus said he had even brought it up during his conversation with his Indian counterpart Narendra Modi. He said he had urged Modi to have Indian journalists visit Bangladesh to ascertain whether minorities were being persecuted. "Some of them have come since, but the narrative has not changed."

Yunus said that he really wanted to revive Saarc because he thought it was a great means to further cooperation within South Asia and the sub-continent. "All the countries are actually keen on it. But India is not taken with the idea."

But the chief adviser stressed that relations between Bangladesh and India were far more amicable and grounded in genuine friendship than what might appear at the moment. He said there may well be a difference of opinion but it would not define Bangladesh's relationship with India.

He explained that the two neighbours have such a long history and are positioned in such a way and so close to each other that one could not really sustain without being friends with the other.

About China, Prof Yunus recounted from his recent New York trip to attend the UN General Assembly where the Chinese delegation wanted to meet him but it could not be an official sit-down for protocol issues.

Nevertheless, he held a long discussion with the Chinese foreign minister. "It was not an official meet, but we got together."

The chief adviser said the Chinese delegation headed by their foreign minister had prepared a detailed and long statement which he reciprocated in kind. Both sides exchanged ideas about what they could do together.​
 

Yunus invites GOP leaders to witness Bangladesh's democratic reforms

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Chief Adviser Professor Muhammad Yunus yesterday urged top Republican Party leaders to visit Bangladesh to observe the interim government's efforts to restore democracy in the country.

He made the call when senior officials of the International Republican Institute (IRI) met him at the state guest house Jamuna in Dhaka, according to the press wing of the CA.

IRI, a think tank associated with the Republican Party, promotes democracy worldwide. Led by Steve Cima, the institute's regional chief, the IRI officials have been meeting with politicians, student groups, and civil society leaders during their ongoing visit.

Steve Cima said the IRI's priority is to support the interim government's reform initiatives, especially amid widespread calls to fix the country's key institutions.

"Under the Awami League, the real concern was over the true trajectory of the country," Steve Cima said.

"It is in the US's interests to see reforms succeed here," he added.

Professor Yunus said his government would hold elections after carrying out vital reforms. He emphasised that the process was already underway, with a new election commission preparing for the general elections.

He added that Bangladesh seeks to work closely with the newly elected US President Donald Trump's administration. Yunus also expressed his intention to invite top Republican Senators and Congressmen s to visit Bangladesh to witness the unprecedented changes brought about by the student-led mass uprising.

IRI official Geoffrey Macdonald, IRI country chief Joshua Rosemblum, and Senior Secretary of the Bangladesh Government Lamiya Morshed were also present during the meeting.​
 

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