Macroeconomic Policy and Institutions For Growth in Bangladesh

Description

Bangladesh’s respectable growth performance has made the country an intriguing story of development. The country could have achieved even higher growth had it adopted state-of-the-art macro policy by building stronger institutions. Policy favouritism to the super-rich has kept on producing gradual erosion in fiscal capacity, ever-increasing default loans, incessant money laundering, and debility in the capital market. Growing income inequality, rising unemployment, and environmental degradation pose formidable threats to Bangladesh’s goal of becoming a developed nation by the early 2050s. Macro policy must be constructed with adequate knowledge. Expertise, rather than sheer obedience with mediocrity, should determine institutional leaderships. A quality marriage between modern macro policy and accountable institutions must be ascertained to make the nation’s growth well-sustained, development inclusive.