Debapriya Bhattacharya, a distinguished fellow of the Centre for Policy Dialogue (CPD), on Tuesday cautioned that further increases in oil and rice prices will push inflation higher, leading to greater poverty, fewer job opportunities and widening inequality.
“Despite having a competent governor in the interim government, money had to be printed under the cover of night, but the market understood that. If this continues, inflation will rise again,” said Debapriya, who also serves as convener of Citizen’s Platform for SDGs, Bangladesh.
He made the remarks at CPD in Dhaka while presenting a paper at a media briefing organised to share perspectives on the first budget of the new government.
He also emphasised the need to address structural weaknesses in budget formulation and implementation.
The reciprocal trade agreement signed with the United States could severely restrict Bangladesh’s energy options, he added.
The deal, signed early last month, contains provisions that limit Bangladesh’s ability to trade with countries under US sanctions. It also designates several nations as “non‑market” economies, referring to those that do not adhere to free‑market principles.
