...planning process which cause low utilization of development fund and poor implementation of development program. Answer: It plays an important role in the country’s economic development through implementing various development projects. To implement this development project finance is an important thing. Bangladesh Govt. has two means to finance development project e.g. i) Govt. own fund; and ii) development partner. In this regard, development partners are seen to give money as grants or loan; and to some extent they provide money as both form (grant and loan). Development planning process: Low utilization of development funds and poor implementation of development programmes is a common phenomenon in Bangladesh. The national planning process is characterized by numerous problems, a few of which are mentioned below as key challenges that need immediate remedial measures. a. Paucity of trust in institutions and their people: A general lack of trust in different institutions involved in the process could be observed, which is attributed to the absence of a deep rooted discipline in development planning. This applies at all levels, from implementing department/agency to Planning Commission via the sponsoring ministry/division. The sponsoring ministry is not confident about the capacity of its subordinate department/agency as to the formulation of a quality project proposal and its effective implementation. The persistent weakness in the agencies/departments has created this...
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...MEDIA BRIEFING AN ANALYSIS OF THE NATIONAL BUDGET FOR FY2015 06 JUNE 2014 CPD IRBD 2014 TEAM Dr Debapriya Bhattacharya, Distinguished Fellow CPD and, Professor Mustafizur Rahman, Executive Director, CPD were in overall charge of preparing this report as the Team Leaders. Lead contributions were provided by Dr Fahmida Khatun, Research Director; Dr Khondaker Golam Moazzem, Additional Research Director and Mr Towfiqul Islam Khan, Research Fellow, CPD. Valuable research support was received from Mr M Shafiqul Islam, Additional Director, Administration & Finance; Ms Khaleda Akhter, Senior Research Associate; Mr Muhammad Al Amin, Senior Research Associate; Mr Kishore Kumer Basak, Senior Research Associate; Mr Md. Zafar Sadique, Senior Research Associate; Ms Mehruna Islam Chowdhury, Senior Research Associate; Mr Uttam Kumar Paul, Deputy Director, Accounts; Mr Mashfique Ibne Akbar, Research Associate; Ms Farzana Sehrin, Research Associate; Ms Saifa Raz, Research Associate; Ms Umme Salma, Research Associate; Ms Umme Shefa Rezbana, Research Associate; Ms Mahenaw Ummul Wara, Research Associate; Dialogue Associate; Mr Md. Naimul Gani Saif, Research Associate; Mr Mohammad Afshar Ali, Research Associate; Ms Shahida Pervin, Research Associate; Ms Afnan Ashfaque, Research Associate; Mr Mostafa Amir Sabbih, Research Associate; Ms Kashfi Rayan, Research Associate; Ms Shahzeen Hafiz, Programme Associate; Mr Ziad Quader, Research Intern; Ms Nadee Naboneeta Imran, Research Intern and Mr...
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...The Taka 1917.38 billion proposed budget for the forthcoming fiscal, 2012-13, is sized at 18.1 per cent of the country's gross domestic product (GDP) that is projected to do grow at 7.2 per cent during the year. There are challenges and risks, both domestic and external, that do provide some strong reasons for being not much optimistic at this stage about achieving this growth performance. That does not mean that the growth target itself is overambitious. The actual performance of the Bangladesh economy has otherwise been impressive over the past several years in a row, given the comparative picture of other low-income developing countries and the odds and difficulties, both exogenous and endogenous. But even this performance has been considered below the potential of Bangladesh. This is what the economists, analysts, development practitioners and all others, within and outside, have been stating about Bangladesh over the years. The growth rate, however, is not the sole indicator of 'socio-economic development' in its broad sense. But it unquestionably remains to be one of the important criteria for assessing the overall performance of an economy. The quality of growth -- its nature and dimension of inclusiveness, impact on social development indices concerning the state of education, health, nutrition and, thus, human resource development, income-distribution and employment-generation effects, poverty alleviation efforts etc. -- is also a pertinent point for consideration...
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...revenue maybe imposed and collected. Property tax is frequently the basis for municipal and county revenues, while sales tax and/or income tax are the basis for state revenues, and income tax and corporate tax are the basis for national revenues. The two basic elements of any budget are the revenues and expenses. In the case of the government, revenues are derived primarily from taxes. Government expenses include spending on current goods and services, which economists call government consumption; government investment expenditures such as infrastructure investment or research expenditure; and transfer payments like unemployment or retire Highlights of present budget 2012-13(summary): Analysis of Budget 2012-13: The present Budget of Bangladesh for the year FY2012-13 has been presented at a time when the Bangladeshi economy is heading towards a high growth trajectory, albeit certain challenges such as elevated inflation, high Current Account Deficit (CAD), and moderating growth of industrial...
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...Introduction Fiscal policy generally refers to the use of taxation and government expenditure to regulate the aggregate level of economic activity in a country. Fiscal policy in Bangladesh basically comprises activities, which the country carries out to obtain and use resources to provide services while ensuring optimum efficiency of the economic units. The policy influences the behavior of economic forces through public finance. Major objectives of the fiscal policy of Bangladesh are to ensure macroeconomic stability of the country, promote economic growth, and develop a mechanism for equitable distribution of income. The main tools to achieve these objectives are variation in public revenue, variation in public expenditure, and management of public debt. These are reflected in the budgetary operations of the government, prepared and implemented on year-on-year basis. While the Government’s fiscal strategy emphasizes the need for maintaining overall Macroeconomic stability and fiscal sustainability, the government is investing substantially in building physical infrastructure especially in the communication and Power sector as well as in developing human resources for achieving growth and augmenting the development process – necessary conditions for reducing poverty. The present government has planned to raise the level of investment to 30-32 percent of GDP in order to achieve a GDP Growth rate of 8 percent by 2013 as envisaged in “Vision 2021”. This investment...
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...1. Introduction: For volatile markets, Sir John Templeton said, “Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria.†For our investment simulation project, we started out with TK. 10, 00,000 cash at our disposal which we invested in the trading of Dhaka Stock Exchange (DSE) stocks, which is a bullish market. However, investing in such a volatile market required good initial research, investment strategies, and a well-diversified portfolio .Since this was a three-phase project, some adjustments were made to offset market downturns and ultimately increase the portfolio value in our account. As the market was unpredictable, our strategies were focused on risk minimization as well as loss minimization by diversifying our portfolio & by observing other measurement tools like Sharpe ratios, Jensen alpha, correlations & others. In addition our portfolio management was not intensified into these formulas as we also considered some of our predictions about this volatile market & companies. 2. Objective: The main objective of our project is to build up strong investment strategies to cope up with this volatile market with maximizing after tax wealth. To do this we realized that diversifying our portfolio would be the best strategy & that’s why we tried to invest in more than ten industries so that downturn in one sector can be offset by the rise in another sectors stock return. Therefore, while determining our investment...
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...Fiscal Policy of Bangladesh Jamshed uz Zaman When budget is declared Opposition Parties claim: Budget against the poor; Government Parties claim: Welfare oriented budget. Some declares hartal. How to understand a budget favors whom? A budget may favor • poor or rich class; • Importers or exporters; • Primary producers or manufacturers; etc. Government claims that the budget is surplus, but most often it is true. Govt.’s claim it because • Political popularity, • People are afraid of inflation. Is deficit budget always unacceptable? No. Deficit budget are prepared • In deflationary situation, • When resources fall short of needs, • To help implementation of monetary policy. Deficit does not necessarily mean imposition of new taxes. Components of Budget Revenue Budget • • Revenue Receipts Revenue Expenditure Surplus/Deficit Food Budget • Food Aid • Counterpart Fund • Food Import • VGD, FFW • Subsidy Surplus/Deficit Capital Budget • Receipts • Payments Surplus/Deficit Development Program + - • • Expenditure Receipts • • • • Revenue Surplus New Tax Measures Net Domestic Capital Extra Budgetary Resource • • Counterpart fund Net food aid • • • • Foreign Assistance Foreign Direct Investment Borrowing from the public Borrowing from Banking System - Central Bank - Commercial banks Total Budget has to be deficit to achieve the long term goals We have to check whether...
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...Bangladesh’s achievements and expectations from the UNFCCC Climate Change Negotiations (COP) Tarafder Md. Arifur Rahman Senior Research Associate Bangladesh Unnayan Parishad BACKGROUND The United Nations Framework Convention on Climate Change (UNFCCC or FCCC) is an international environmental treaty negotiated at the United Nations Conference on Environment and Development (UNCED), informally known as the Earth Summit, held in Rio de Janeiro from 3 to 14 June 1992. The objective of the treaty is to stabilize greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system- commonly believed to be around 2°C above the pre-industrial global average temperature. The UNFCCC was opened for signature on May 9, 1992 after an Intergovernmental Negotiating Committee produced the text of the Framework Convention as a report following its meeting in New York. Countries who sign up to the UNFCCC are known as ‘Parties’. As of March 2014, UNFCCC has 196 parties. Since the UNFCCC entered into force, the parties have been meeting annually in Conferences of the Parties (COP) to assess progress in dealing with climate change. The parties to the convention have met annually from 1995 in COP to assess progress in dealing with climate change. From 2005 the Conferences have also served as the Meetings of Parties of the Kyoto Protocol (MOP). Also parties to the Convention that are not parties to the Protocol can...
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...Executive Summary The thesis investigates the performance of problems and opportunities of Direct Foreign Investment in Bangladesh. It also identifies the overall direct foreign investment system in Bangladesh. Problems and opportunities of direct investment in Bangladesh follow the rules and regulation prescribed by the investment forum for schedule countries on companies. The functions of the country or company cover a wide range of investment and functional activities to individual, firms, corporate bodies and other multinational agencies. It is very important to the national economy as a whole because the expansion and condition of the company or firm affect the level of business activity through their effect on the nation’s money supply. The direct foreign investment extended its credit facilities to different sectors to diversify its credit portfolio in compliance with credit policies of direct investment of the foreign country such as Industrial, Housing, Contract work, Working capital for trades, manufacturing processing plants and export oriented industries and other business. Introduction This Century is” Century of Globalization of trade and economy”. The world is facing competition in marketing of the products in global market. In this circumstance the companies goes to investment, those has available capital to invest out side the country where they can get competitive advantages in terms of cost, Expansion of market, Raw materials. The countries have available work...
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...Annual Report 2007-2008 Bangladesh Rural Development Board "Palli Bhaban" 5, Kawran Bazar, Dhaka - 1215 Bangladesh. BRDB Annual Report – 2007 - 2008 Editorial Committee ----------------------------------------------------------------Md. Atiqur Rahman Khan Director (Planning, Evaluation & Monitoring) Convenor Mustafa Kamal Joint Director (REM) - Member Kazi Md. Ali Hossain Deputy Director (Planning) - Member Jebun Nahar Deputy Director (Monitoring) - Member Nazneen Khanam Asstt. Director (Evaluation) - Member Dwipock Ranjan Bhowmick Asstt. Director (Evaluation) - Member Md. Abdul Quddus Deputy Director (Evaluation) - Member -Secretary Publisher ---------------------------------------------------------------------------------------Director General Bangladesh Rural Development Board "Palli Bhaban" 5, Kawran Bazar, Dhaka - 1215. Telephone : 9140399-403, 7168961 Fax : 880-2-8114343 e-mail: dgbrdb@gamil.com Website : http://www.brdb.gov.bd/ Cover Design -------------------------------------------------------------------------------------Shamim Mohammad Kamrul Ahsan Programmer, Palli Pragati Prakalpa, BRDB. & TMPS, Training Division, BRDB, Dhaka. Printed by : Titly Printing & Packaging 28/C-1, Motijheel C/A, Dhaka-1000 Phone : 9553303, 9550412 1 BRDB Annual Report – 2007 - 2008 PREFACE Bangladesh Rural Development Board (BRDB) has been playing a prominent role in improving ...
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...ativeBudget Analysis: The present Budget of Bangladesh for the year FY14-15 has been presented at a time when the Bangladeshi economy is heading towards a high growth trajectory, albeit certain challenges such as elevated inflation, high Current Account Deficit (CAD), and moderating growth of industrial production, lack of capital investment, poor level of power & energy, low level of liquidity, etc. At the current juncture, what was required from the Budget was to address the issue of inflation and support growth momentum, while maintaining the focus on fiscal consolidation and continuing ahead on the reform agenda. Increased allocation of planned resources towards infrastructure projects along with the proposals to direct foreign funds and private saving towards infrastructure sector will unlock much of the growth potential of the sector. Although the continued force on infrastructure along with power & energy, agriculture and education sectors is expected to provide significant impetus to economic growth in the medium-term, measures to control inflation in the immediate future were missing in the budget announcements. On the fiscal deficit front, the budgeted fiscal deficit is 5% of GDP for FY14-15. This indicates government will face lot of trouble in near future. This can be reduced through increasing Tax revenue, reduce debt service liability and etc. Budgeted Expenditure for FY14-15 For FY14-15, total expenditure is budgeted to increase by 15.9% to 250,506...
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...Fiscal Policy generally refers to the use of taxation and government expenditure to regulate the aggregate level of economic activity in a country. Fiscal policy in Bangladesh basically comprises activities, which the country carries out to obtain and use resources to provide services while ensuring optimum efficiency of the economic units. The policy influences the behaviour of economic forces through public finance. Major objectives of the fiscal policy of Bangladesh are to ensure macroeconomic stability of the country, promote economic growth, and develop a mechanism for equitable distribution of income. The main tools to achieve these objectives are variation in public revenue, variation in public expenditure, and management of public debt. These are reflected in the budgetary operations of the government, prepared and implemented on year-on-year basis. In the initial years of independence, the government of Bangladesh had to spend a large amount of its resources in reconstruction and rehabilitation work. It had negative public savings and limited private investment. Despite large inflows of foreign aid, the increasingly large financing gap became the main concern of the government. The situation was further aggravated by frequent internal and external shocks. Under the circumstances, government fiscal policies during 1970s and 1980s were largely oriented at rehabilitating the war-torn economy as well as stabilising it from various shocks. This had gradually lead to weak...
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...Millennium Development Goals Introduction: The Millennium Development Goals (MDGs) are eight international development goals that all 193 United Nations member states and at least 23 international organizations have agreed to achieve by the year 2015. They include eradicating extreme poverty, reducing child mortality rates, fighting disease epidemics such as AIDS, and developing a global partnership for development. Millennium Development Goals (MDGs) provide concrete, numerical benchmarks for tackling extreme poverty in its many dimensions. The MDGs also provide a framework for the entire international community to work together towards a common end – making sure that human development reaches everyone, everywhere. If these goals are achieved, world poverty will be cut by half, tens of millions of lives will be saved, and billions more people will have the opportunity to benefit from the global economy. Background: The aim of the MDGs is to encourage development by improving social and economic conditions in the world's poorest countries. They derive from earlier international development targets, and were officially established following the Millennium Summit in 2000, where all world leaders present adopted the United Nations Millennium Declaration. The Millennium Summit was presented with the report of the Secretary-General entitled ‘We the Peoples: The Role of the United Nations in the Twenty-First Century’. Additional input was prepared by the Millennium Forum...
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...CHAPTER 1 MACROECONOMIC SITUATION [The economy of Bangladesh has successfully tackled the contagion effect of global economic crisis and managed to maintain a sustained growth. According to a provisional estimate, the economy has posted a growth of 6.66 percent in FY2010-11 against that of 6.07 percent in FY2009-10. This performance is mainly attributable to the sustained growth in agriculture sector coupled with recovery of growth in industry sector and the satisfactory performance of service sector. During this period, higher growth in revenue mobilisation and prudent budget management helped maintain macroeconomic stability and discipline in fiscal front. Furthermore, the increasing global demand for goods and services after recovery has helped achieving higher growth in foreign trade, while soaring global food and non-food prices has created inflationary pressure in the country. Alongside adopting various administrative and structural measures, monetary policy instruments have also been used to reduce the inflationary pressure. Moreover, slower growth in remittance inflows and higher import demand due to massive investment in infrastructure sector including the power sector, the current account balance and exchange rate was under pressure during the last quarter of FY2010-11. However, this situation did not emerge as a big challenge to the macroeconomic stability. The foreign exchange reserve remained steady at above US$ 10 billion during this period. Overseas job replacement...
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...A Chronicle of Last Three Years: Building the Future Budget Speech 2012-13 Abul Maal Abdul Muhith Minister Ministry of Finance Government of People’s Republic of Bangladesh Dhaka 24 Jaisthya 1419 7 June 2012 Contents Issues Permission Page 1 Chapter I: Introduction and Background Tribute, Acknowledgement, The Vision, Budget: A 1-4 Tool for Realising the Vision Chapter II: Macroeconomy and Global Perspective Global Perspective, Growth, External Sector, Remittance and Manpower Export, Current Account, 5-7 Foreign Exchange Reserve and Exchange Rate, Inflation, Monetary Policy Chapter III: Budget for FY 2011-12: Problems and Corrections Revised Revenue Targets, Revised Expenditure Targets, Budget Deficit, Revised ADP, Recent Economic Scenario, Economic Strategies Chapter IV: FY2011-12 Budget Structure Assumptions: Global Economy, Monetary and Fiscal Space, Sustained Growth in Agriculture, Private Sector Investment, Revenue Mobilisation, Inflation Structure: Estimates of Revenue Income, Estimates of Expenditure, Budget Deficit and Financing, Annual Development Programme, Overall Expenditure Structure Chapter V: Reform Programmes Public Financial Management: Medium Term Budget Framework, Multi-module Database (iBAS), Reforms in Expenditure Management, ADP Implementation, New Budget Classification Structure and District Budget, Information Technology in the Public Financial Management, Strengthening Audit Ensuring Private Participation in the Infrastructure Sector: Public-Private...
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