Business leaders at a discussion meeting have expressed concern over the recent labour unrest, rising global interest rates and cost of imports that in turn hampered production in major industrial sectors like export-oriented garment, pharmaceuticals and leather industries.

Former Presidents and leaders of France-Bangladesh Chamber of Commerce and Industry (CCIFB) have expressed this view at discussion meeting at a city hotel on Wednesday.  

President of France-Bangladesh Chamber of Commerce and Industry (CCIFB) Md Muin Uddin Mazumder in his speech said “In year 2024, both Bangladesh and the global landscape have experienced significant political, environmental and economic events. It’s not only 2024, basically since 2019 the world is undergoing lots of unprecedented changes and facing new challenges.”

Globally, economies continue to face challenges from the lingering effects of the pandemic, geopolitical tensions, and inflation. The US and European economies have shown slowed growth, while China's growth is also expected to moderate. Many emerging markets are feeling the impact of these uncertainties, along with disruptions to global trade.

Md Muin Uddin Mazumder, also Managing Director of Synovia Pharma PLC (former Sanofi Bangladesh Limited), said that the ongoing Ukraine war and the Middle East conflict have led to fluctuating commodity and energy prices, disrupting supply chains. This volatility has implications for countries like Bangladesh, which relies heavily on energy imports and garments exports, and are vulnerable to external shocks.

These events reflect a year marked by political upheaval and economic pressures for Bangladesh and many other countries, he said.

Md Muin Uddin Mazumder said that economically, Bangladesh is grappling with rising inflation, declining industrial production, and reduced growth prospects. Key sectors like the garments, pharmaceuticals, leathers and other industries were disrupted by labor unrest, affecting exports and investor confidence. Rising global interest rates and the cost of imports, along with domestic interest rate, inflation, have dampened consumer spending, slowed growth, and impacted private investment.

However, the current interim government, headed by Nobel Laureate Professor Mohammad Yunus, has taken up a number of initiatives to combat the situations.

The interim government requested assistance from international organizations like the IMF and World Bank to stabilize the economy, addressing a foreign currency shortage that has impacted exports and foreign investors' ability to repatriate earnings.

Efforts to combat inflation and improve the fiscal situation are also underway. These actions, while essential, may not immediately resolve structural issues in Bangladesh’s economy but we believe, it will start giving results after a moderate time period, said Md Muin Uddin Mazumder.

“Though in the past years we have seen and currently we are experiencing unprecedented challenges globally, and yet, we have also witnessed remarkable resilience and adaptability within our community. Companies have adapted to digital platforms, invested in sustainability, and explored innovative strategies to overcome adversity. It is a testament to the strength of our member companies and their unwavering commitment to excellence” he said.

Former CCIFB president and incumbent Managing Director of the Managing Director & CEO of Energypac Power Generation Ltd Humayun Rashid in his speech has laid emphasis on energy security and creation of jobs in local economy as some 20 lakh youths enter the job market every year.

Humayun Rashid also said that Bangladesh should have a better business environment in the coming days as the country got the second independence on August 5, 2024 after the dictatorship has been removed through a student movement.

Former CCIFB president and incumbent Managing Director of Corona International, Corona Engineering Limited and Corona Power Generation M Maksud, said that conducive and improved environment that will help French entrepreneurs to invest in Bangladesh.

Former CCIFB presidents Shah Sayeed Kamal, Syed Farhad Ahmed, Maruf Alam and  Shafquat Matin also spoke on the occasion.