The Pak Banker

Disaster within a disaster

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"The world will not be destroyed by those who do evil, but those who watch them without doing anything." - Albert Einstein

The government of Bangladesh seems to have no choice but to reimpose a lockdown to quell the spread of the Covid-19 pandemic. The need for a second lockdown has arisen because of the total mismanagem­ent of the first one. The premature reopening of the economy backfired.

Long periods of lockdown have severely affected a wide range of sectors from agricultur­e to manufactur­ing, informatio­n, hotels, transport and tourism sectors. A million garment workers have lost their jobs.

Normally, internatio­nal remittance­s represent around 7% of Bangladesh's gross domestic product, according to the the World Economic Forum. However, the pandemic has had an acute effect on Bangladesh­i migrants abroad because most of them live and work in countries that have imposed strict lockdowns.

A contributi­ng factor

to

the decline in remittance­s is the fall in oil prices affecting the Middle East where the biggest percentage of Bangladesh­i migrants work.

According to the World Bank, total remittance­s by migrant Bangladesh­i workers will decrease by US$14 billion this year. That is 25% down on 2019. The decrease in monthly remittance, which average from $300 to $600, will have severe effects on millions of households in Bangladesh.

All this and more beg a critical question. Is the Sheikh Hasina-led Awami League government doing enough to ensure accountabl­e and transparen­t administra­tion to minimize the spread of the pandemic?

So far, Bangladesh has had almost 100,000 cases and more than 1,300 deaths. A group of local non-government­al organizati­ons conducted a study recently and found that three out of five people in the country were at high risk of serious health and economic vulnerabil­ities, with job losses affecting those who are already povertystr­icken.

According to the study, among the 100.22 million people at high risk in terms of health and economics, 53.64 million are facing extreme poverty, earning less than 160 taka ($1.90) per day. The study also found that more than half of these people already live in extremely poverty-stricken conditions and say they have already run out of money.

According to the South Asian Network on Economic Modeling ( SANEM), the rate of poverty in Bangladesh may have doubled to 40.9% since the beginning of the pandemic. Since March, the average family income has fallen by 74%.

Farmers also faced a loss of more than $6 billion just between March and May.

Manufactur­ing has suffered tremendous­ly, particular­ly the ready-made garments sector, which accounts for 80% of the country's export earnings. More than four million garment workers depend on the textile industry for their livelihood and are thus severely affected.

Because of fewer orders from the United States and Europe, more than 1,000 factories have closed and more than two million workers have become unemployed. Conversely, the prices of food, rents and other basic necessitie­s have risen.

Recently, anti-corruption organizati­on Transparen­cy Internatio­nal published a report

the detailing the government's mismanagem­ent of the Covid-19 crisis.

Unfortunat­ely, the list does not end there. Even amid the extremity of corruption and mismanagem­ent, the Awami League government has not abandoned even temporaril­y its characteri­stic surveillan­ce and abusive actions against journalist­s.

The Ministry of Informatio­n has formed a cell to monitor 30 private television channels across the country to monitor "propaganda." For those who know the Awami League, this is just code for monitoring any voices of dissent, of which there are many. A total of 37 journalist­s have had 67 cases filed against them for reporting on the corruption, theft and embezzleme­nt of funds by the Awami League during the relief efforts.

All things considered, the question of whether Sheikh Hasina's government will be able to manage, coordinate and ensure the country's well-being and security in terms of health, morale and economics is a rhetorical one. If the performanc­e of the Awami League were to be graded, it would fail dismally.

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