Prime Minister Sheikh Hasina today urged development partners to continue their financing on soft conditions until the global economy normalises.
“During this critical juncture (the global financial crisis), we’re noticing with dismay that many development partners are enhancing their interest rates, which makes the development financing in case of most of the projects ineffective,” she said.
The premier was addressing a programme at InterContinental Dhaka, celebrating 50 years of the partnership between Bangladesh and Asian Development Bank (ADB).
Sheikh Hasina stressed the need for coordination among the development partners to face more than one economic blow or impact.
“Development partners need to continue financing on soft conditions until the global economy returns to a normal state. Financial institutions and developed countries should pay special attention to it,” she said.
The PM said Bangladesh does not want charity, rather wants what’s due. “Being a part of the global community, we’re demanding for our fair share,” she added.
She said the global business partners are imposing unnecessary trade restrictions, which are hampering the overall supply chain further and thus pushing countries like Bangladesh into an economic crisis.
In the context of the current global economic situation, the premier requested ADB to go for soft and innovative financing approach as well as to put strategic importance on skills development, development of health sector, ICT-based entrepreneurs, human resources and standard infrastructures, and on fighting climate change.
However, she said, “We’ve noticed with satisfaction that ADB has always been beside Bangladesh with its innovative and technical assistance during our tough times.”
Sheikh Hasina said the world has been experiencing multiple challenges due to the ongoing Russia-Ukraine war, and resulting sanctions and counter-sanctions. “We are victims of this geopolitical crisis, in which we have no involvement,” she said.
“This is impacting our hard-earned achievements and leading us to an uncertain world. We don’t see immediate solutions to this crisis either,” she added.
The PM said most countries are encountering unprecedented food, fuel and financial crisis that have resulted in devaluation of currencies, depletion of foreign reserves, and acceleration of inflation. The most serious concern is that these are disproportionately affecting the poorest segment of the global community, she said.
The premier wished the event, tiled “Celebrating Bangladesh-ADB 50 Years of Partnership”, jointly organised by the Government of Bangladesh and ADB, a grand success.
She hoped Bangladesh’s relationship with ADB would be strengthened further in the days to come.
The PM said, ADB has become one of Bangladesh’s trusted development partners over the last 50 years. “During this period, ADB assisted us in almost all sectors for our socio-economic and infrastructural development,” she said.
“Over the last one decade, ADB’s assistance to Bangladesh has increased around three times. Presently, cumulative contribution of ADB has reached USD 28.38 billion that makes Bangladesh the third largest recipient in ABD’s portfolio,” she added.
Bangladesh is now implementing 54 projects with ADB’s financial and technical assistance, she went on.
The PM recalled with gratitude ADB’s immediate response during the Covid-19 pandemic with a substantial support of USD 2.29 billion to mitigate the health crisis. Recently, ADB has come forward with an emergency support of USD 230 million for addressing the impacts of devastating floods in northwest Bangladesh.
Besides, ADB has been extending low-cost financing for mitigation of and adaptation to climate change, she added.
Focusing on the country’s development, Sheikh Hasina said Bangladesh has been witnessing a momentous journey over the last one and a half decade. “We were able to maintain over 6.5 percent growth rate during this period,” she said.
She said there have also been outstanding progresses in reducing poverty, generating employment, dropping maternal and child mortality, increasing literacy rate and life expectancy, achieving food security and gender parity. “We also successfully managed the Covid-19 pandemic,” she added.
She said Bangladesh’s development efforts have been recognised by the global community.
“By next year, we will reach the milestone of a half trillion economy. Bangladesh is currently the 35th largest economy in terms of GDP, and with consistent economic growth we will be the 28th largest economy by 2030 and the 24th largest economy by 2036,” she said.
Finance Minister AHM Mustafa Kamal and ADB President Masatsugu Asakawa spoke on the occasion. Secretary of Economic Relations Division (ERD) Sharifa Khan made the welcome remarks, while ADB’s Country Director in Bangladesh Edimon Ginting delivered the concluding speech.