The Dhaka Chamber of Commerce and Industry (DCCI) has expressed deep concern over rising import cost of essentials, industrial raw materials, intermediary goods and spare parts and its adverse impact on the overall economy.
"There is a crisis in the country's money and foreign exchange market. We are not sure whether growth achieved so far in small and medium enterprise sector will continue in the coming days due to political uncertainty," MA Momen, DCCI president told newsmen at a 'Meet the Press' at its auditorium yesterday.
Import cost of essential commodities, industrial raw materials, intermediary goods, and spare parts has gone up because of sharp depreciation of taka against US dollar, he explained, warning the economy will see a serious crisis if dollar problem is not solved on an urgent basis.
The DCCI president said present situation in the money and foreign exchange market is highly volatile. Presenting statistics, he said dollar rate is now over Tk 72 while average price in the last financial year was Tk 61.39.
Some private banks are delaying in sending the money against letters of credit (L/Cs) due to shortage of the greenback. As a result, Bangladesh's image is being eroded abroad as an importing country and foreign exporters are pushing prices of their products up, Momen went on.
On the other hand, industries are facing serious power crisis and low pressure of gas, he observed. "Shortage of power and gas is hitting overall industrial and agricultural production and transportation system hard and these should be solved on priority basis."
There is enough scope to solve the present power shortage, but lack of proper policy and timely initiative is badly affecting the industries, the DCCI leader added.
"We will not be able to attract foreign investors although the overall incentive package is very attractive," he said, adding that political stability, infrastructure and economic stability are pre-requisites to attract foreign investment.
"But it is very unfortunate that we are far behind to overcome these issues and conflicting politics is not in favour of achieving the goal," Momen said.
Small and medium enterprise sector recorded a 13.3 percent growth during July-October period of the current fiscal and small industries saw a 9.5 percent growth, the DCCI president said. "But present situation has cast doubt whether the trend will continue."
DCCI directors and other leaders of the chamber were present at the programme. Around 75 percent members of DCCI run small and medium industries.
