State minister for finance Waseqa Ayesha Khan on Tuesday said that the government had intensified its efforts to transform Bangladesh into a developed nation by 2041 through economic stability, science education, scientific research, innovation and support for the agriculture sector to ensure food security.
The government has aimed to leverage technology across all sectors, digitise services, optimise marine resource utilisation, enforce financial sector discipline and foster a favourable environment for industries and investments, she said while addressing a luncheon meeting of the American Chamber of Commerce in Bangladesh.
The monthly luncheon meeting titled 鈥楧riving Financial Inclusion for Smart Bangladesh鈥� was held at Westin Hotel in the capital Dhaka on the day.
The state minister in her address outlined ambitious targets for Smart Bangladesh, including achieving a per capita income of at least $12,500, reducing poverty rate to less than 3 per cent, limiting inflation to 4-5 per cent and maintaining a budget deficit below 5 per cent of GDP.
She affirmed plans for a fully digital economy and promoting science and technology-based literacy.
Referring to prime minister Sheikh Hasina鈥檚 commitment to promoting cashless transactions, Waseqa emphasised the significance of financial inclusion and easy access to financial services in reducing poverty and enhancing e-commerce.
She said that the government was actively encouraging digital payments, targeting 30 per cent cashless transactions by 2025 and aiming for complete adoption by 2031, as discussed during inauguration of Smart Bangladesh Taskforce Meeting.
The state minister said that financial inclusion in Bangladesh had been advancing steadily, marked by growth in deposit, loan and mobile financial services鈥� accounts.
Companies like bKash and Nagad have played a crucial role in expanding financial access, especially inw rural regions, she said.
Waseqa urged AmCham and its members to invest in textiles, gas and petroleum, pharmaceuticals, banking and fintech to help achieve a developed and smart Bangladesh by 2041.
US companies Mastercard and Visa have significantly contributed to financial inclusion and the creation of a cashless society, she added.
AmCham president Syed Ershad Ahmed identified unemployment, inflation, lack of adequate logistics and policy uncertainty as major challenges for the economy of Bangladesh.
Every year, an additional two million graduates exacerbate the ongoing shortage of employable skills, amid the challenges posed by artificial intelligence and automation, he said.
Ershad said that to generate more employment opportunities, it was crucial to diversify the country鈥檚 exports and facilitate increased local and foreign investments.
He termed inflation as a significant challenge for Bangladesh.
The AmCham president mentioned that, despite having good policies, implementation gaps were widespread in the country.
He also highlighted inadequate logistics infrastructure and policy, leading to increased lead times and higher costs compared to competitors, that was affecting business competitiveness.
Demanding automation of the National Board of Revenue, the AmCham president highlighted that automating taxation would increase revenue.
He urged the government to streamline customs procedures, foster a business-friendly environment and lower the cost of doing business.
Ershad said that introduction of the Crawling Peg System was a commendable initiative to stabilise the exchange rate but in the current economic landscape, more effective policy decisions were imperative to tackle declining foreign exchange reserves, balance of payment deficits and challenges in the banking sector to ensure sustainable GDP growth.