– Humaira Binte Kabir

The employment generation, sound law and order situation, controlling the prices of essentials and good education and health system and reducing the poverty level are some indicators of a sound economy. Since the ungracious ouster of former Prime Minister Sheikh Hasina on August 5, 2024 through a mass protest, Nobel laureate Professor is steering the economy of the country who took the oath on August 8, 2024 as the head of the interim government. Foreign direct investment, disciplining banking sector , restoring law and order situation and overall holding a credible, transparent and reliable national election are some major challenges through which Bangladesh is going through
The employment generation in a national economy The employment generation in a national economy is the most pressing in a country, said president of American Chamber of Commerce Syed Ershad Ahmed.
Bangladesh’s unemployment rate has surged to its highest level in recent years amid ongoing economic and political instability.
According to the latest quarterly labour force survey released today by the Bangladesh Bureau of Statistics (BBS), the country’s unemployment rate stood at 4.63% in the October–December quarter of the current fiscal year as per the 19th International Conference of Labour Statisticians (ICLS) standards.
This marks a significant increase from 3.95 percent recorded during the same period last year.
Under the 13th ICLS definition, which BBS also still uses, the unemployment rate was reported at 3.69% as of December 2024, up from 3.20% a year earlier.
Moreover, the number of unemployed individuals in the country has risen to 27.3 lakh under the 19th ICLS framework, up by 330,000 from 24 lakh in the same quarter of the previous year. Under the 13th ICLS, the total number of unemployed now stands at 26.1 lakh, also showing a year-on-year increase of 206,000.
Economists attribute the rise in unemployment to high inflation, poor investment climate, and rising bank interest rates, which have discouraged business expansion and job creation.
According to BBS’s definition, an individual is considered unemployed if they did not work for at least one hour in the past seven days but were available for work during that period and the following two weeks, and actively looked for paid employment or profit-oriented work in the past 30 days.
The BBS had previously been publishing labour force survey data based on the 13th ICLS guideline of the ILO. However, in line with global practice, where most countries now follow the 19th ICLS framework, BBS recently started releasing data using the updated methodology as well following criticism from experts and stakeholders.
According to BBS, employment estimates vary depending on whether the 13th or 19th guidelines of the ILO are used.
Under the 13th ICLS guideline, individuals are considered employed if they worked for at least one hour in the past seven days for pay, profit, or family consumption – such as producing goods for their own household.
However, the 19th ICLS guideline classifies only those who worked for at least one hour in the past seven days for pay or profit as employed, excluding unpaid family or household work.
As a result, key labour market indicators, such as labour force size, employment, unemployment rate, population outside the labour force, and labour force participation rate, differ depending on which guideline is applied.
Business leaders have once again sounded a dire warning over the rapidly deteriorating law and order situation nationwide, declaring that pervasive extortion has become an “intolerable burden” on their daily operations.
At a discussion hosted by the Dhaka Chamber of Commerce and Industry (DCCI) today (21 May), they expressed deep disappointment, stating that their hopes for an improvement in law and order since the government change last August have been dashed; instead, the situation has worsened, severely impacting both small and large businesses amidst a rise in extortion, theft, mugging, and the hijacking of goods.
The size of the Annual Development Programme (ADP) of Bangladesh for the FY2025–26 has been proposed at Tk Tk 2,30,000 crore, lower by Tk 35,000 crore from running budget.
The decision was finalised at an extended meeting of the Planning Ministry held on Tuesday, chaired by Planning Advisor Wahiduddin Mahmud.
In the current fiscal year, the original ADP allocation was Tk 2,65,000 crore, which was later revised downward.
For the upcoming fiscal year, the draft ADP outlines that Tk 1,44,000 crore will be sourced from domestic resources, while Tk 86,000 crore will come from foreign project assistance. The ADP will fund a total of 1,142 projects across various sectors.
The transport and communication sector has received the highest allocation in the draft ADP, with Tk 58,973 crore. The power and energy sector follows with an allocation of Tk 32,392 crore, while the education sector is set to receive Tk 28,557 crore.
Most sectors have experienced a reduction in allocations compared to the current fiscal year, reflecting the government’s strategy to prioritise essential sectors while maintaining fiscal discipline.
The final approval of the ADP is expected later this month at the meeting of the National Economic Council (NEC), to be chaired by Chief Adviser Professor Muhammad Yunus.
Meanwhile, BNP standing committee member Amir Khasru Mahmud Chowdhury said that no investment would come to the country until an elected government comes to power.
“In the last nine months, investment has gradually slowed down. Investment is not possible without stability. No investment would come until an elected government takes office – which is a common culture across the world,” he said.
Amir Khasru made the view while addressing a memorial meeting organised at the National Press Club on Tuesday to mark the second death anniversary of Gonoshasthaya Kendra founder Zafrullah Chowdhury.
Amir Khasru said investors’ question at the last investment summit was when will elections be held in the country?
No domestic or foreign investor will invest in the country based on someone’s appearance, he claimed.
The interim government behaves like an elected government and talks like Hasina what she always said, “I was doing everything for development, so no need for election,” said the senior BNP leader.
The democratic journey has yet to start in Bangladesh and it will only begin with the election, he said, adding that none of those who are now teaching reforms have been seen on the streets for the past 17 years.
Everyone has proposed reforms. But where there is consensus, the government is not telling, said questioning why are they not telling? If someone thinks that Hasina’s ownership has been transferred to someone else, they will decide what will happen in the country. This responsibility has not been given to anyone. The only one who can decide is the people of the country, Amir Khasru added.
Meanwhile, the World Bank has warned that an additional 3 million people in Bangladesh are expected to fall into extreme poverty in 2025, as the extreme poverty rate is projected to rise from 7.7 per cent to 9.3 per cent.
The global financial institution made the disclosure in a latest report titled ‘Bangladesh Development Update’. It forecast that the weak situation in the labour market would continue in the current year, while general people, particularly those vulnerable to extreme poverty, may register a decline in their actual income.
Chief of Army Staff General Waker-Uz-Zaman has stated that the national election should ideally be held by December this year.
Addressing senior officers at the Dhaka Cantonment yesterday (Thursday), he reaffirmed his earlier stance that the right to determine the country’s future path lies with an elected government.
Bangladesh has been going through a transition period since the ouster of former Prime Minister Sheikh Hasina. Students, transport workers, the newly–launched National Citizen Party (NCP) leaders and workers, general students, Bangladesh Nationalist Party (BNP) leaders and different Islamic are staging protest on different issues. The daily life has been impacted by various demands as roads are being blocked. Foreign direct investment is drying up. Against this backdrop, a strong political government elected through a transparent, credible, reliable parliament election is likely to improve the situation.

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