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Economy at sixes and sevens: Khaleda

Posted by methun

The government has rendered the economy toothless, the opposition leader has said.

"Every sector, including the garments industries, is in the grip of crisis," Khaleda Zia said, speaking at the closing ceremony of BATEXPO 2011 on Monday.

"Many local industries are being acquired by foreigners. This is an ill omen," she added.

The 22nd Bangladesh Apparel and Textile Exposition (BATEXPO 2011) was held at Bangabandhu International Conference Centre from Dec 10 to 12.

The BNP chairperson spelt out an 11-point charter of demands for the RMG sector on the occasion.

The demands include reducing Chittagong port charges, reduction of banking charges and interest rates, resolving gas and power crisis, ensuring the flow of working capital for the sake of industries, increasing the export promotion fund, building captive power plants, building central ETPs for industries, arranging low-rent dormitories for workers, making diplomatic efforts for quota-free access to American markets and making foreign Bangladeshi missions more effective.

"I want the owners to know, you will receive all kinds of cooperation from our side," Khaleda said.

"The government claims it is industries-friendly, but its deeds do not reflect that," she alleged.

"The income tax in garments industry has been raised by 50 percent, and there is a 15 percent VAT on floors and spaces used for garments industries," she added.

She urged the government to reconsider its decisions.

She alleged that remittance and foreign aid had declined and the labour market had shrunk.

"The economy is on the brink of collapse. There are no new jobs, factories are shutting down and commercial banks are suffering from loan crisis. The government is running the country on loans," she alleged.

Khaleda also alleged massive corruption in the government purchases related to new power plants.

"Power and gas have landed this industry in crisis," she said.

Speaking at the inauguration of BATEXPO, prime minister Sheikh Hasina had said, "We have added more than 2,500 MW to the national grid. Twenty-nine power plants have been set up (after her government assumed office) and we will soon add another 3555 MW to the grid."

"BNP government did not add even a megawatt of power to the grid," she had said.

Khaleda Zia, speaking to the RMG business leaders, said, "You must remember, workers are the life-force of a production industry.

"You must take more steps to improve their condition."

Khaleda congratulated BGMEA for their successful implementation of the new pay scale and introducing service-booking for the workers.

She warned that the global economic crisis was worsening and alleged that the government was not doing anything towards guarding the country against its impacts.

She also outlined various steps taken for the development of the textile sector during her term as the prime minister.

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