AK Enamul Haque, the director general of the Bangladesh Institute of Development Studies (BIDS), advocated for an increase in public expenditure and the need to address corruption concerns to cater to the growing needs of the expanding population. Speaking at a seminar titled “Economic Transformation and the Banking Sector: Budget 2026–27” organized by Unnayan Shamannay in Dhaka, Haque highlighted the impact of population growth on demand, investment requirements, and the national budget size.
Haque emphasized the importance of boosting supply capacity through higher public investment to meet the escalating needs. He underlined the necessity of government spending in a high-cost economy. Stressing the urgency to assess corruption levels and implement effective measures to combat it, Haque also underscored the significance of banking sector reforms. He emphasized the central bank’s role in maintaining discipline in the banking system and safeguarding the integrity of the banking profession.
Addressing the issue of nearly Tk 6 lakh crore in non-performing loans, Haque pointed out the lack of accountability for individuals and institutions involved. He suggested that holding them responsible and imposing penalties could help in reducing defaulted loans. Haque noted the government’s tendency to heed the recommendations of international bodies like the IMF and the World Bank, which often highlight corruption concerns in evaluating large-scale infrastructure projects.
Despite these challenges, Haque emphasized that the solution lies in combatting corruption rather than avoiding infrastructure projects. He stressed the importance of reducing corruption while continuing to develop infrastructure to attract both domestic and foreign investments. The panel of discussants at the seminar included Shahidul Islam Zahid, a professor at Dhaka University, and Faruq Mayeenuddin Ahmed, vice chairperson of BRAC Bank. The session was chaired by S M Zulfikar Ali, acting chairman of Unnayan Shamannay, with the keynote paper presented by Mahfuz Kabir, research director of the Bangladesh Institute of International and Strategic Studies.