Jeffrey Sachs: A New Macroeconomic Strategy

One really doesn't need so much complicated paper to express core policy messages. Definitely, someone like Jeffrey Sachs's stature,  it would be even easier. And he wrote a wonderful article while giving a new, relevant and realistic macroeconomic strategy, which may be applicable across economies. Probably, his policy suggestions are more appropriate for the developed world, however some of them are closely related with economies like Bangladesh too. Lots of issues are here to think/rethink. People who claim themselves macroeconomist, or want to be good macroeconomist in future may spend 15-20 minutes for reading this, and get enriched.

Link for the article.  

Bangladesh Development Update, WB (October 2014)

World Bank releases its flagship publication (Bangladesh Development Update, October 2014 edition) with recent economic developments, structural reforms and an update on readymade garment industries.

Link for the report.

WB Report on Export Opportunity

South Asia Economic Focus (Fall 2014), World Bank provides depth analysis on growth potentials of South Asian nations and its link with export opportunities in these economies.

Link for the report.

Forbes interviewed on BD's Stock Markets

Forbes interviewed Shahidul Islam, CEO of VIPB Asset Management Company, on the Bangladesh's stock markets, its potential and recent upturn of stock market indicators. While talking on the equity market issues, Islam also points out a few basic problems and potential of the Bangladesh economy.

Link for the interview.

It seems, time has come up again to talk about stock market volatility issues. Definitely, the way the market has been moving during the last couple of months is quite surprising. It's true that a new government came to the power which may stabilize the concerns of the long-term investors. Foreign investment in Dhaka stock market soared in recent months like anything. For example, in September 2014, overseas investors bought stocks worth Tk.5.9 billion, and sold worth Tk.1.6 billion, showing a 403% rise in net investment compared to the same period last years. This trend reflects the current buying mood of investors. 

HOW LONG? Retail investors would probably need to be more concerned about the selling mood than the buying mood of big investors. 

Bangladesh-India Trade: NTM & NTB

Asjadul Kibria writes in the Hindu on India's non-tariff measures and non-tariff barriers towards Bangladesh's exports into it while comparing the same aspect from Chinese point of view and concludes that more accommodation is required from India's side to allow Bangladesh's exports. This is a must read one if one wants to know the basic facts on trade gaps between Bangladesh and India.

Link for the article.

IMF ECF Mission Statement

The Statement of IMF Mission for 5th Review under the Extended Credit Facility with Bangladesh hailed Bangladesh's progress in macroeconomic stability. Key points are as follows:

• Despite a moderation in exports, foreign exchange reserves have continued to increase and have reached adequate levels, inflation has declined, the fiscal deficit is contained and public debt is on a downward path;
• With a calmer political environment economic activity and strong domestic demand, real GDP growth is expected at about 6.25% in FY2015;
• However, the introduction of a new VAT, a key government reform to boost fiscal space for development spending, is facing delays.

The link for the statement.

ADO 2014 Update

Asian Development Bank publishes its flagship publication Asian Development Outlook 2014 Update with a focus on global value chains and Asia's role in it. One may read the Bangladesh chapter also.

Link for the Update.

Bangladesh Economic Update, ADB (June 2014)

Asian Development Bank publishes its flagship publication on the Bangladesh economy (June 2014 Edition).

Link for the report. 

Kenneth Arrow: Path Breaker

Finance & Development, IMF profiles Kenneth Arrow, one of the most respected economists, a Nobel-prize winning theorist who has done pioneering work in various areas of economics science.

Link for the profile. 

Views of Five Nobel Prize Winners

Five Nobel winners, namely, George Akerlof, Paul Krugman, Robert Solow, Micheal Spence and Joseph Stiglitz talks what they see as the biggest problem facing the global economy of the future, as summarized by Finance & Development, IMF.

Link for the article.

Economics Generation Next!

Finance & Development, IMF selects 25 Economists under 45 years of age who are shaping the way it thinks about the global economy. Among 25, 13  are specialized in macroeconomics, 5 in microeconomics, 5 work on development economics, and the rest 2 on public policy.

Those interested may see the link: Generation Next !!! 

Bangladesh among Top 5 Fastest Growing Key Emerging Economies in 2014!

Well, it is quite a long title to define the character of these countries, but it's wonderful to know that Bangladesh is among top 5 fastest growing key emerging economies in 2014 in terms of GDP in PPP terms, ranked by Euromonitor International (Top 5 Fastest Growth Key Emerging Economies in 2014). Despite large political instability in the middle of the fiscal year, achieving over 6.0% GDP growth is per se a praiseworthy economic performance. However, it doesn't also reflect Bangladesh's right potential in terms of GDP growth due to large infrastructure shortage and serious lack of governance for delivering public resources. These are not just demands anymore, but necessities. 

New Development Approach of India!

Probably, one of solid recent ideas to reform the planning process of least developed countries (LDCs) like Bangladesh came out from India’s newly elected Prime Minister (India’s East Asian Dream). The idea is clear: reduce the dependence on bureaucratic-based planning process to more allocation to the priority sector based ideas.  Also, it was rightly recognized the fact that Five-Year Plan process is quite old-fashioned and based on the philosophy of command-based economy, and thus cannot reflect the current needs of market-based economies. The success is inevitable, if implementation follows the dream.

As a LDC, Bangladesh may like to think the similar realistic approach. It seems that the planning process of Bangladesh needs a real boost, based on priority rather than general intervention by the government, as described in the Five-Year Plan. The country needs more focused-priority needs such as infrastructure and power, as medium term measures, for ensuring the smooth business process of the private sector. For getting the long-term benefits of development, it must ensure the high quality of education and health services. Simple!   

Bangladesh Remittance Survey Results!

Mr. Zahid Hussain writes based on the survey results made by Bangladesh Bureau of Statistics on four broad categories; (i) who are migrants; (ii) whom and how do they remit; (iii) how significant are remittances; and (iv) learning experiences.

Link for the blog.

Keystone Quarterly Review (June 2014)

Keystone publishes its flagship publication (Keystone Quarterly Review, June 2014) with economic stories on social safety nets in Bangladesh, slowdown in remittance inflows, and some other issues.

Link for the review.