Tk 31,903 billion 7th 5-Year Plan draft awaits adoption | Greenwatch Dhaka | The leading online daily of Bangladesh

Tk 31,903 billion 7th 5-Year Plan draft awaits adoption


The draft of the 7th Five Year Plan (FY2016-FY2020), aiming to accelerate employment generation and reduce poverty, is now ready and awaits the Prime Minister’s suggestions.
“The final draft of the 7th Five-Year Plan is ready and we’re awaiting Prime Minister’s suggestions in this regard,” member of General Economics Division (GED) of the Planning Commission Prof Dr Shamsul Alam has said.
He said senior cabinet members, including Finance Minister AMA Muhith, Planning Minister AHM Mustafa Kamal, PM’s Economic Affairs Adviser Dr Moshiur Rahman and senior officials from the GED are likely to be present during the presentation.Prof Shamsul Alam said the GED will present the contents of the document before Prime Minister Sheikh Hasina and some Cabinet members for their final suggestions, if any.
He said after incorporating possible suggestions, especially from the Prime Minister, the document will be placed before the National Economic Council (NEC) meeting for its final approval.
The GED of the Planning Commission has drafted the 7th FYP to raise the country’s economic growth to 8.0 percent in the terminal year (Fiscal Year 2019-2020) of its implementation period.
According to the draft 7th FYP, Bangladesh will require an investment of Tk 31,903 billion (US$ 399) to implement it in a bid to boost its economic growth to 8.0 percent in its terminal year (FY) of 2020.
GED officials said some Tk 28,851 billion (US$361b) or 90.4 percent of the total required investment is projected to come from domestic resources while Tk 3,052 billion or 9.6 percent from external sources.
The proposed development plan is expected to get a boost mainly from the private sector which has proposed an investment of Tk 24.65 trillion or 77.3 percent of the total required fund.
The public sector investment is expected to be Tk 7.25 trillion (22.7 percent of the total investment) during the plan period, of which 88 percent will be from domestic resources and 12 percent will come from external sources.
The GED early this year started framing the 7th FYP as the execution period of the 6th FYP ended on June 30 this year.
The government earlier framed the Perspective Plan (2010-2021) targeting double-digit growth by 2021. As per the plan, the government prepared the 6th FYP. The 7th FYP will be implemented in the next 5 years until FY 2020.
According to the draft 7th FYP, Bangladesh’s economy will grow at 7.0 percent rate in the current FY2016, 7.2 percent in FY2017, 7.4 percent in FY2018, 7.6 percent in FY2019 and 8.0 percent in FY2020.
The proposed plan also aims to contain inflation at 6.2 percent in the current FY16, 6 percent in FY17, 5.8 percent in FY18, 5.7 percent in FY19 and 5.5 percent in FY20.
It also eyes to raise the gross domestic investment to 30.1 percent of GDP in FY16, 31 percent of GDP in FY17, 31.8 percent of GDP in FY18, 32.7 percent of GDP in FY 19 and 34.4 percent of GDP in FY20.
Besides, the national savings is expected to rise to 29.1 percent of GDP in FY16, 29.7 percent of GDP in FY17, 30.2 percent of GDP in FY18, 30.7 percent of GDP in FY19 and 32.1 percent of GDP in FY20.
The proposed plan aims to reduce also moderate poverty to 18.6 percent by FY20 and extreme poverty to 8.9 percent by FY20.
The draft 7th FYP has projected the creation of 3.6 million jobs at home and abroad next year. In the terminal year of the FYP, projection is there to create 4 million jobs.
An additional 18.7 million jobs will be created during the tenure of 7th FYP, and there will be 12.5 million new entrants in the labour force during the period.- UNB


Comments are closed.