Bangladesh has still kept its place behind to confiscate barriers for business reformation. Here, a new venture needed a long time to set up. Even for industry, it takes 428 days on average to set up an electricity connection. Though current stability is business-friendly, this energy crisis causes discourage investment.
Various booming sectors are unable to enjoy this advantage due to the lack of uninterrupted gas and electricity. Product quality is been affected, which is making the market flooded with foreign products. Experts and economists were always loud to speak on these barriers to business start-up.
An expected progress hasn’t brought any success stories in Bangladesh, still kept behind competing for other countries. Consequently, the newly investment is being discouraged, as well as expansion hasn’t happened to the current factories, though the country is in a stable environment. There are also available investable money in the bank, and also the interest rates have decreased.
The World Bank recently published ‘Doing Business 2017’ report has highlighted the scarcity of fuel and electricity sector in Bangladesh. The indicator also said that the electricity obscurity in business made Bangladesh 187 among 190 other countries in the world.
World Bank’s ‘Doing Business 2017’ report says that the accessibility of electricity is the key factor to Bangladesh lagging behind amid other aspects. Entrepreneurs have to spend long periods of time to start off any venture. Receipt of loans, protection of small investors became worse than before.
Several reports of the World Bank, remarked earlier that the business cost is high in Bangladesh. Even, an analysis of a current fiscal budget has found no improved initiatives to build business-friendly environment and to reduce the business cost.
A satisfactory reformation hasn’t initiated in a competitive manner. Comparing to the outside world, except Afghanistan, Bangladesh is still lagging behind the other SAARC countries. So, starting a new business in Bangladesh termed as spending on an expensive ride.
A step to an incentive for entrepreneurs is needed. But in the budget, the cost has been increased for the entrepreneurial, which will make difficult to compete with the international market. Equally, the global economic crisis is still not completely out, whereas Brexit is a new alarm. A shrunk business cost in such a situation may increase the expected private investments. Accordingly, the government’s GDP growth target towards being a middle-income country, the private sector needed to increase the investment.
A study of Centre for Policy Dialogue (CPD) says the government is working with a target of 7.2 percent GDP growth for the next fiscal year.At least 80 billion crores are required for the investment in the private sector than ever before. The government will have to think about it.