'Political peace vital for business'

Peace and harmony are very much needed in Bangladesh for it to overcome the severe fallouts of Covid-19, the ongoing Russia-Ukraine war and crisis in the Middle East, according to the Metropolitan Chamber of Commerce and Industry (MCCI).

This is because Bangladesh has the opportunity to benefit from changes in the global supply chain, with many countries reducing their dependence on China for sourcing industrial raw materials.

"They think depending on a single source is risky for business," MCCI President Md Saiful Islam told The Daily Star over phone.

Most countries have been facing challenges in business due to economic friction resulting from disruptions to the global supply chain.

But even in such tough times, Bangladesh has a silver lining as the country already proved to be a major manufacturing hub for other countries, especially when it comes to the apparel industry.

So, despite the volatile global economic downturn, 66 percent of Japanese companies in Bangladesh expressed interest in expanding their local operations.

Pointing to how Indonesia is already enjoying the benefit of shifting away from China as its primary sourcing destination, Islam said Bangladesh needs to exploit this opportunity.

However, this will only be possible if the country enjoys internal peace and harmony by maintaining political stability, he added.

Long-term political stability has been a major reason for the continuation of the country's commendable economic growth for more than the past decade.

This time too, maintaining stability in politics can prove Bangladesh's resilience in economic growth, and the country should take this opportunity through maintaining peace and harmony in its political arena.

Islam informed that the top executives of leading local businesses discussed means of facilitating political peace and harmony at a meeting at the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI).

At the meeting held last week, it was decided that businesspeople will hold a grand rally with white flags to call on all political parties to shun unhealthy activities, such as hartals and blockades, so that the economy can run smoothly.

The rally can be held in Dhaka any time the FBCCI directs the businesspeople to do so.

However, political instability before a general election is a regular phenomenon for the domestic economy as it has been taking place for many years now, Islam said.

Hartals and blockades are no longer effective political tools as the situation has changed a lot over the years.

This is because Bangladesh has gone from a $70 billion economy to a half-a-trillion-dollar economy at present. Besides, the country is heading towards a trillion-dollar economy now.

However, the long-term political instability creates a bad image of the country and consequentially the inflow of investment is affected, the MCCI chief also said.

If vehicles laden with goods for import-export purposes are escorted by law enforcing agencies during hartals and blockades, then business activities can run well even in such a tough time, he added.