Sanem also recommended for setting up a monitoring unit to oversee the entire process
South Asian Network on Economic Modelling (Sanem) yesterday recommended four measures to the government for successful implementation of the stimulus package to address the impact of coronavirus.
Sanem also recommended for setting up a monitoring unit to oversee the entire process.
“I appeal that a national monitoring committee should be formed immediately where representatives of government organizations, NGOs, civil societies, business organizations, and labour organizations will be included. It is very important to establish such a monitoring system as soon as possible,” said Sanem Executive Director Dr Selim Raihan.
He suggested that all unnecessary expenditures of the government, for example, various unnecessary development plans and unnecessary projects in the budget needed to be suspended or cancelled immediately.
The money saved from could be utilized for the stimulus package, he added.
Secondly, he suggested for borrowing from international organizations like the World Bank and the International Monetary Fund (IMF).
Borrowing from the banking sector was the third recommendation.
“We know that despite the current fragile state of the banking sector the government has already borrowed money more than what was planned for the whole financial year. However, if the government borrows further from the banking sector, I think it should be done judiciously with sufficient caution,” the economist said.
The executive director of Sanem further remarked, “If the above mentioned three options are exhausted, then the fourth option will be to print money. But I think it should be the last resort.”