Dhaka, Dec 07 (V7N) — Planning Advisor Dr. Wahiduddin Mahmud has raised concerns over a troubling disconnect in the financial sector, stating that while people's money remains in the banks, the banks themselves are struggling with liquidity. Speaking at a conference hosted by the Bangladesh Institute for Development Studies (BIDS) in Dhaka on Saturday morning, he pointed out that many large corporations have substantial figures on their balance sheets, but much of this money has moved out of the country.

Highlighting the country's economic challenges, Dr. Mahmud stressed the need for strategic measures to expand bilateral and regional trade to attract foreign investments. He also urged a focus on enhancing the value addition of services and manufactured goods to strengthen the economy.

World Bank Chief Economist Indermit S. Gill addressed the conference, emphasising the importance of investment and job creation as key strategies for escaping the middle-income trap. He highlighted the need for fostering entrepreneurship and integrating advanced technologies into work processes. "Investments in human resource development are crucial to achieving these goals," he noted.

The World Bank further recommended formulating comprehensive short, medium, and long-term plans to ensure a steady energy supply, critical for sustaining industrial growth and development.

The seminar brought together economists and policymakers, underscoring the urgent need to bridge gaps in financial and industrial policies to bolster Bangladesh’s economic resilience.

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