The New Nation - Internet Edition

NOTWITHSTANDING the optimism expressed by various sources from time to time about the poverty situation in Bangladesh, the fact is that a vast number of people continue to be poor. A report in this paper on Wednesday highlighted that the number of the abject poor in the population rose by 35 per cent in five years although over 400 non-governmental organisations and the government worked for poverty reduction. The findings were on the basis of the latest survey conducted by the official body, the Bangladesh Bureau of Statistics (BBS). It found that the number of the abject poor in the country is 27 million while the figure in the year 2000 was 20 million. The survey also revealed that the number of poor people or those not in abject poverty but considered to be poor, also rose in the same period. The number of the poor was estimated at 91 million in the year 2000 while the number increased to 94 million in 2005. Thus, the overall poverty situation appears to have worsened.

There is thus no room for relaxation from a thinking that anti- poverty measures are making a major impact with some 94 million of the country's over 140 million remaining in the ranks of the poor. According to credible assessments of the country's reputed economists, the fruits of economic growth in recent years have been monopolised by a small section of the population and even the trickle- down theory has not worked so much. Wealth concentration in a few hands, lack of distributive justice in economic policies and corruption have clearly frustrated the desire to relieve a much bigger number in the population from the pains of poverty. Therefore, policy makers will have to address these issues effectively and at the fastest to make a meaningful headway against poverty. Poverty reduction is linked to economic expansion and growth.

Bangladesh is often pointed at as a lucrative market as it has so many people living in it. The present market size of nearly 50 million people with reasonable purchasing power is not a small one. It provides ample opportunities for businesses, local and foreign. But the demand situation could be far higher if more people could be helped to climb out of poverty at an early date. In sum, the entire cycle of economic activities spins faster when more people create demand. The resulting increases in production, jobs and income add up to boost the GDP size to increase individual and national wealth. Thus, poverty reduction makes preeminent sense from the perspectives of economic growth, business expansion and rise in the overall standard of living of the people.