The Dhaka Chamber of Commerce & Industry (DCCI) has unveiled a quarterly “Economic Position Index (EPI)” to help policymakers, entrepreneurs and researchers take effective decisions based on actual economic conditions, as conventional macroeconomic indicators fail to capture real-time changes.
The index was presented at a seminar titled “Economic Position Index (EPI): Quarterly Macroeconomic State of Dhaka” held at the DCCI Auditorium on Saturday.
DCCI President Taskeen Ahmed said Bangladesh’s economy is currently going through a challenging period marked by high inflation, pressure on foreign exchange reserves, sluggish investment, energy uncertainty, rising manufacturing costs and declining employment opportunities.
“The country’s conventional macroeconomic indicators and measurement systems are failing to accurately reflect real-time economic conditions and short-term changes, thereby limiting effective policy responses,” he said.
Presenting the keynote paper, DCCI Secretary General (Acting) AKM Asaduzzaman Patwari said data was collected from 762 respondents — 330 from the manufacturing sector and 432 from the service sector — during the first two quarters of FY2025-26.
The survey found that climate change is adversely affecting the agricultural sector, particularly food production; energy shortages have caused stagnation in industrial production; and declining purchasing power is hindering the growth of the service sector.
To overcome the challenges, Patwari emphasised the need for market price stabilisation and supply chain improvements to protect farmers’ interests, easy and low-interest loans for CMSME entrepreneurs, uninterrupted energy supply for industries, infrastructure development, reduction of time and harassment in obtaining trade-related licenses, lowering existing VAT rates and accelerating cargo inspection and clearance at ports.
Zaidi Sattar, chairman of the Policy Research Institute of Bangladesh, said the index’s acceptability and effectiveness would increase significantly if expanded nationwide.
Nesar Ahmed, International Trade Expert with the Support to Sustainable Graduation Project, warned that Bangladesh may lose duty-free access to the European market following LDC graduation, with the CMSME sector at severe risk.
Additional Secretary Shibir Bichitro Barua of the Ministry of Commerce noted that high inflation, negative investment trends and fragility in the banking sector are the country’s major economic challenges.
Mizanur Rahman of Dhaka University observed that expenditures in both public and private sectors have exceeded income levels in recent years, emphasising the need for institutional reforms, especially in financial sector institutions.
Foreign Ministry’s Syed Muntasir Mamun suggested Bangladesh should depend more on the capital market for long-term financing instead of relying heavily on the banking sector.
Former BIDA Director General Md Ariful Hoque said that while Bangladesh has favourable business-supportive policies, implementation remains below standard.
Bangladesh Bank Chief Economist Professor Akhand Mohammad Akhtar Hossain stated that there is no alternative to Foreign Direct Investment (FDI) for increasing economic growth, an area where Bangladesh still lags.
Senior Private Sector Specialist of IFC Miah Rahmat Ali emphasised that the government must come forward with necessary policy and financial support to tackle global economic instability caused by wars and climate change.
DCCI Senior Vice President Razeev H Chowdhury, Vice President Md Salem Sulaiman, board members and public and private sector representatives were also present.
