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Contents
Particular
Page no.
Chapter- One: Introduction:
1. Describe the features of Bangladesh economy…………………………………………………………………………………………….…………….05
2. Discuss the economic problems of Bangladesh …………………………………………………………………………………..........………………08
3. Describe the solution of the economic problems of Bangladesh……………………………………………………………………..11
4. Explain the method or process of economic development…………………………………………………………………………..………14
Chapter-Two: Economic Development
1. Define economic development. ………………………………………………………………………………………………………………………………………………16
2. What is economic growth? ...............................................................................................................................................................................16
3. Define under developed country……………………………………………………………………………………………………………………………………….…..17
4. Define developing country…………………………………………………………………………………………………………………………………………………….…..17
5. Define developed country……………………………………………………………………………………………………………………………………………………….…18
6. Discuss the factors determining of economic development……………………………………………………………………………...18
7. Describe the features of developing country or Economy…………………………………………………………………………….…..21
Chapter-Three: Industrialization of Bangladesh.
1. Importance of industrialization in the economic development of Bangladesh…………………………….…..26
2. Causes of industrial backwardness of Bangladesh……………………………………………………………………………………………..…30
Or problems of industrialization of Bangladesh……………………………………………………………………………………………………….....30
3. Measures of rapid industrialization in Bangladesh…………………………………………………………………………………………..…..34
Or Key activities for rapid industrialization in Bangladesh ……………………………………………………………………………...34
Or Suggestion for rapid industrialization in Bangladesh………………………………………………………………………..….…………34
4. Nationalization of industry……………………………………………………………………………………………………………………………………………………….37
5. Causes of Nationalization of industry……………………………………………………………………………………………………………………………….37
6. Problems of Nationalization of industry………………………………………………………………………………………………………………………….39
7. Solution of problems of nationalized industries………………………………………………………………………………………………………….41
8. Role of small and cottage industries in the economy of Bangladesh………………………………………….…………….43
9. Problems of small and cottage industries in Bangladesh.……………………………………………………………………….………...47
10.
Measures to solve the Problems of small and cottage industries…………………………………………..……….....49
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
2
Chapter -Four: Agriculture in Bangladesh:
1. Characteristics of Agriculture in Bangladesh………………………………………………………………………………………………….…………52
2. Importance of agriculture in the economy of Bangladesh. …………………………………………………………………………..……55
3. Problems of agriculture in Bangladesh……………………………………………………………………………………………………………………….…….57
4. Solution of agricultural problems in Bangladesh…………………………………………………………………………………………….………60
5. Causes of subdivision & fragmentation of holding………………………………………………………………………………………………..63
6. Effects of sub-division & fragmentation of holding. ……………………………………………………………………………………………..64
7. Remedial measures for subdivision and fragmentation of holding. ……………………………………………………….….66
8. Problems of mechanization and modernization of agriculture in Bangladesh. ……………………………….…67
9. Prospect of mechanization of agriculture in Bangladesh……………………………………………………………………………………70
Chapter-Five: Foreign Trade in Bangladesh
1. Foreign trade of Bangladesh……………………………………………………..……………………………………………………………………………………………..73
2. Importance of foreign trade of Bangladesh……………………..…………………………………………………………………………………………….73
3. Features of foreign trades of Bangladesh………………………….……………………………………………………………………………………………75
4. Feature of Export trade……………………………………………………………………..…………………………………………………………………………………………..76
5. Problems of Export trade………………………………………………………………………………………………………………………………………………………………78
6. Measures to increase exports of Bangladesh…………………………………………………………………………………………………………………79
7. Causes of unfavourable balance of payment of Bangladesh…………………………………………………………………….……80
8. Measure to remove unfavourable balance of payment…………………………………………………………………………………………82
9. Foreign Aid………………………………………………………………………………………………………………………………………………………………………………………….…83
10. The importance of foreign aid in the economy of Bangladesh…………………………………………………………………..85
11.Disadvantages of foreign Aid………………………………………………………………………………………………………………………………………………….86
12. Formation of domestic capital……………………………………………………………………………………………………………………………………………87
Chapter-Six: Banking system in Bangladesh
1. Composition and management of Bangladesh bank……………………………………………………………………………………………89
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
3
2. Functions of the Bangladesh bank……………………………………………………………………………………………………………………………………..89
3. Role of Bangladesh Bank in Economic development………………………………………………………………………………………….90
4. Commercial banking in Bangladesh………………………………………………………………………………………………………………………………..91
5. Functions of the commercial Bank……………………………………………………………………………………………………………………………………..92
6. Role of commercial bank……………………………………………………………………………………………………………………………………………………………93
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
4
CHAPTER-ONE:
INTRODUCTION
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
5
Question -1: Describe the features of Bangladesh economy.
Answer:
Bangladesh is the developing country among the third world countries. She has huge population of
hers about 14.42 crore. The country has a lot of barriers but she has some positive scopes to enhance the
economic development. The features of the Bangladesh economy are as follows:
1.
Low per capital income
2. Dependence on agriculture
3. Lack of industrialization
4. Lack of proper capital
5. Lack of Education
6. Lack of technological knowledge
7. Lack of skilled entrepreneur
8. Lack of skilled manpower
9. Underutilization of natural resources
10. Wide-spread unemployment
11. Production of primary products
12. Dependent on foreign trade.
Elaboration of the points:
1.
Low per capita income:
Bangladesh has a low per capita of national income, that is, According to Economic Review report per
capita national income of Bangladeshi people.
2. Dependence on agriculture:
Bangladesh largely depends upon the agriculture and 61% people here live, directly or indirectly, on
the agriculture.
3.
Lack of industrialization:
Bangladesh is not enriched well with natural resources but she has a large number of populations
which can be used to produce more goods with a cheaper investment.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
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4.
Lack of capital:
Every Bangladeshi has a credit from birth so it is clear that Bangladesh has not enough capital to
invest into some sectors.
5.
Lack of Education:
The literacy rate is the education rate and the educated people in Bangladesh are rare actually. So
the huge lack of education facilities, school, college and universities education does not expanded into
its own shape.
6.
Lack of technological knowledge:
Bangladeshi people have no wide technological knowledge. As a result, they are suffering from
different types of problems such as they don’t know how to use modern equipment because they are
not well-educated.
7.
Lack of skilled entrepreneur:
People of Bangladesh income less as a result they save less as well as they invest less because the
vicious cycle of poverty is acute here. So simply there is little chance to invest in a sector. Political
unrest, unfavourable social and religious environment, unfavourable socio-economic infrastructure
and narrow mentality do not encourage an initiator or investor to invest.
8.
Lack of skilled manpower:
Bangladesh has a large number of population about 16 crore but she has a trouble of skilled
population, that is, there is less people who are skilled well. Bangladesh has a manpower of about 4.95
crore. Among them 3.74 manpower are male and the rest 1.21 crore are female (according to
Bangladesh Economic Review report 2012). People have no knowledge about modern production
system, technological knowledge and people here are really illiterate and uneducated so they cannot
make themselves as skilled manpower.
9.
Underutilization of natural resources:
Bangladesh has very limited natural resources of its own namely Natural Gas (32.6 Trillion Cubic
Foot approximately), hard rock, uranium (in Cox’s bazaar sea beach), silica sand, White clay, China
clay, salt, atomic minerals, coals etc.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
7
10.
Wide-spread unemployment:
Unemployment problem is the basic feature of Bangladesh economics. Here, most of the people are
uneducated and they have no knowledge about the new production system as a result they become
unemployed and another problem is ego-problem which hampers the accessibility of lower position in
the organization.
11.
Production of primary products:
Bangladesh produces the primary products which are agro-based and which is limited in amount. So,
it is difficult to build up an establishment and carry on the industry only for the limited raw materials.
12.
Dependent on foreign trade:
Bangladesh is largely dependent on foreign trade and commerce and the country has not sufficient
materials for the development of the nation. So Bangladesh depends on the foreign remittance, import
trade and the like.
To sum up, it may be said that the country has some vital characteristics of its own economy.
These features of the country prevails the country as a developing country.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
8
Question-: Discuss the economic problems of Bangladesh
Or discuss the causes of economic backwardness of Bangladesh
Or discuss the causes of low per-capita income and low standard of living of Bangladesh.
Answer:
Bangladesh has different economic problems these are given as follows:
1.
Negligence and exploitation before independence
2. Under-development or Backwardness in agriculture
3. Backwardness in industry
4. Underutilization of natural resources
5. Unemployment problem
6. Money inflation
7. Lack of capital/ insufficient capital supply
8. Lack of education/ low rate of education
9. Lack of technological knowledge
10. Lack of skilled initiator or entrepreneur
11. Lack of skilled manpower
12. Lack of effective policy making and their implementation
13. Defective production system
Explanation of the points:
1.
Negligence and exploitation before independence:
Bangladesh has passed different political periods. The country became independent from the
Pakistani era. But the country has exploited largely within the periods. In Pakistani period some
industrial establishment were established but the main purpose of the establishment of the industries
was to exploit and negligence the country.
2. Under-development or Backwardness in agriculture:
Bangladesh is a developing country. But the country’s agriculture is really undeveloped. Primitive
method of cultivating, lack of fertilizer, good seeds and lack of irrigation system are the major
problems in agriculture in Bangladesh.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
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3. Backwardness in industry:
The main reason behind the backwardness of the country is the country is in the backward position in
connection with industry. Without huge industrialisation there is no possibility of be industrially
developed. Lack of raw materials, capital deficiency, lack of technological knowledge and the
defective industrial establishment building system are the major obstacles behind the backwardness
of industry.
4. Underutilization of natural resources:
Another reason of logging on the backward position is underutilization of the natural resources.
Bangladesh has some more natural resources e.g., coal, natural gas, hard rock, silica sand etc. But the
country can’t make these natural resources into effective efforts because the country has some
shortage of skilled manpower, technological support, lack of capital and technological knowledge.
5. Unemployment problem:
Bangladesh has huge population of about 14.42 crore (2009) but most of them about 4.95 crore are
employed. They have no educational qualification, technological knowledge and working experience.
So the country has the large portion of people who are unemployed.
6. Money inflation:
Inflation is an on-going crisis for the country. There are some reasons behind the problem that are the
improper planning, defective budgeting system, lower mentality of businessman, hoarding of goods,
federation of businessman and the like. These barriers hamper the economic development of
Bangladesh.
7. Lack of capital/ insufficient capital supply:
The main precondition of economic development is formation of capital. Bangladesh has scarcity of
capital. The large portion of Bangladeshi is poor and lives in a substandard condition. They earn less
and save logically less so the formation of capital is relatively less.
8. Lack of education/ low rate of education:
The large portion population of Bangladesh is uneducated and illiterate. Without the education of
the large portion the country can’t develop economically. So the lack of education is a key problem.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
10
9. Lack of technological knowledge:
Bangladeshi people are not skilled enough about the technological knowledge. Lack of training
facilities, technical education the country faces some more problems and the economic development
of the country hampers well.
10. Lack of skilled initiator or entrepreneur:
Behind the economic backwardness of the country the role of skilled initiators is absent. Most of the
initiators of Bangladesh are uneducated and little educated, unskilled, suffering the loan deficiency
and like these problems.
11. Lack of skilled manpower:
Bangladesh has a huge population. Most of the manpower of the country is silently skilled because
there are different barriers such as lack of technological knowledge, proper training facilities and the
like.
12. Lack of effective policy making and their implementation:
Policies which are made by the imprudent leaders and the maker of such policies made well but the
implementation of these policies is so hard in our country. So, proper policy making and their
implementation is yet a problem.
13 Defective production system:
Defective production system of the country is another problem of the country. Bangladesh yet uses the
classical production system and uses the poor technological methods for cultivating land and the like.
To sum up, it may be said that the country has limited resources but it has huge population if the
population can be improved a labour market and taking initiatives for sustainable improvement.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
11
Question-3: Describe the solution of the economic problems of Bangladesh.
Answer:
As a developing country Bangladesh have some problem in its economy. The solution of these
problems are given below.
1.
Development of Agriculture
2. Rapid industrial development
3. Formation of capital
4. Proper utilization of natural resources
5. Expanding technological knowledge
6. Development of social infrastructure
7. Expanding education
8. Expanding foreign trade
9. Increase employment opportunity
10. Proper distribution of national income
11. Proper decision making
12. Control of population
13. control of inflation
14. Stability of price level of essential commodity
Explanation of the points
01. Development of agriculture:
The economy of Bangladesh is depend on agriculture. So the devolopment of agriculture is essential
for the economic development of Bangladesh. Modern technology must be used in the sector of
agriculture to increase production.
02. Rapid industrial development:
Rapid industrial development must be needed to develop the economic condition of Bangladesh.
Without industrial development economic development may not be possible.
03. Formation of capital:
To develop the economy of any country capital is needed. As a developing country Bangladesh need
too much capital to establish more industry or to expand business activities.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
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04. Proper utilization of natural resources:
Without proper utilization of natural resources no development is possible. Natural resources of a
country is its wealth. So only proper utilization of natural resources can make possible the economic
development of Bangladesh.
05. Expanding technological knowledge:
In every economic sector technological knowledge is most important. So to deveop the economic
condition of Bangladesh technological knowledge must be improved.
06. Development of social infrastructure:
Socio-economic infrastructure represents transportation system and communication system, roads and
highways, school-college-universities, electricity system, etc. If the socio-economic infrastructure is
improved the economic development is easier.
07. Expanding education:
Only the educated people know the way of development of an economy. To increase the rate of
educated people government of a country should take necessary steps.
Without increase the rate of education economic development cannot be possible.
08. Expanding foreign trade:
Developed countries are always tries to keep them free from any kind of dependency. Developed
countries try to help or assist the poor or developing or underdeveloped countries. So, they are less
dependent on the developing or underdeveloped countries in connection with foreign aid
09. Increase employment opportunity:
Unemployment problem is not acute in a developed country than that of in an underdeveloped or
developing country as well. The rate of unemployment is less acute in a developed country. So
Bangladesh should create employment opportunity for the unemployed person.
10. Proper distribution of national income:
To develop the economy of Bangladesh, the national income should be distributed properly. Proper
distribution of national income make the economic development smooth and positive.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
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11. Proper decision making:
Proper decision making is necessary for the economic development of Bangladesh. The government
should take proper decision in any king of trade or budget.
12. Control of population:
High rate of population is burden for any country. Bangladesh is one of the most populated country in
the world. These population is curse for us. To develop the economy, we should control the high rate of
population.
13. Control of inflation:
Inflation refers the weak condition of a economy. High price of essential commodity is occurs by
inflation. So to develop economy of a country, inflation must be controlled.
14. Stability of price level of essential commodity:
Unstable price level refers the weak condition of an economy. Stability of price level is nessessary to
develop the economic condition of Bangladesh.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
14
Question4-: Explain the method or process of economic development.
Answer:
There is controversy among the economists about selecting which one is perfect for a country. There
are two methods or process of economic development. They are balanced growth development method
and unbalanced growth development method.
1.
Balanced growth development method
2. Unbalanced growth development method
These are discussed in below1.
Balanced growth development method:
Balanced growth development process does not differentiate the economy into different sectors e.g.,
agriculture, industry, manufacturing sector, leather industry, and so on. This process simply balances
between or among these sectors and is known as the balanced growth development method. This
process is more preferable in the developed countries. Ragner Nurkse and Rosentein Rodan are the
supporter of the balanced growth development method. The main theme of this method is the
development of different sectors of the country in a balanced way.
2. Unbalanced growth development method:
Unbalanced growth development process does differentiate the economy into some more fields or
sectors, that is, this process emphasis on the separation of sectors of the economy to improve the sector
separately. In poor countries or developing countries it is to be applicable because the poor or
developing countries have low per capita national income, low living standard and which are not
sufficient equally. This process suggests the emphasis on one or two sectors or simply one sector of the
country to bring about the sustainable development of the sector. Professor Hirschman and Singer are
the supporter of unbalanced growth development method. The main gist of the method is that it is a
process of strains and stresses whereby some sectors will be stressed lonely by the government and the
rest sectors will remain idle but when the stressed sectors will be developed the rest sectors will go into
stress and this process will continue. If this process is continuing the economic development by an
unbalanced way will be possible.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
15
Chapter-TWO:
Economic Development
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
16
Question-1: Define economic development.
Answer:
Economic Development, promotion of more intensive and more advanced economic activity through
such means as education, improved tools and techniques, more available financing, better
transportation facilities, and creation of new businesses.
“Economic development refers to the process whereby the people of a country or a region
come to utilize the resources available to bring about sustained increase in per capita production of
goods and services.”
– Williams and Batrick
“Economic development is a process whereby an economy’s real national income increases
over a long period of time.” –Meier and Baldwin
So, economic development is a long term process whereby it is assumed that economic
development refers to that sustained increase in per capita national income, standard of living, high
rate of education, better average income opportunity and so on.
--------------------------------------------------------------------------------------------Question-2: What is economic growth?
Answer:
Economic Growth refers to an increase in the total amount of production and wealth in an economy.
Economic growth is defined and measured in two related ways. Specifically, economic growth may be
defined as.
(1) Increase in real GNP or NNP which occurs over a period of time, or
(2) Iincrease in real GNP or NNP per capita which occurs over time.
“Economic growth means more output, while economic development implies both more output and
changes in the technical and institutional arrangements by which it is produced and distributed.
– Kindleberger
In fine, we can say that economic growth is an upward movement of an economy for short period of
time, say one or two years, whereby it is assumed that the economy is growing and sometimes there
may have an interval which is not seen in the economic development.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
17
--------------------------------------------------------------------------------------------Question-3: Define under developed country
Answer:
Basically there is no single internationally recognized definition of underdeveloped
country/economy and the level of underdevelopment may vary widely within underdeveloped
countries with some underdeveloped countries.
“Underdeveloped countries are those which, compared with the developed countries, are
under-equipped with capital in relation to their population and natural resources.”
- R. Nurkse
“An underdeveloped nation is one regarded as being capable of substantial improvement in
its income level.”
- Paul A. Samuelson
In fine, the designations “developed” and “developing” as well as “underdeveloped” are
intended for statistical convenience and do not necessarily express a judgement about the stage
reached by a particular country in the development process. So the term underdeveloped country is
that one which development process is static in nature.
--------------------------------------------------------------------------------------------Question-4: Define developing country
Answer:
Developing country refers to the countries which are in process of development. There is no single
internationally-recognized definition of developing country, and the levels of development may vary
widely within so-called developing countries, with some developing countries having high average
standards of living.
Some scholars define developing country as follows:
******************************************
To sum up, we can say the country which regards as being capable of substantial improvement in its
income-level. Developing country is a term generally used to describe a nation with limited
development in their way of living.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
18
Question-5: Define developed country
Answer:
Developed country is that one which has sustainable improvement in the form of standard of living,
education rate and all its citizens get to enjoy a free and healthy life in a safe environment.
The term developed country is used to describe countries that have a high level of development
according to some criteria.
In fine it may be said that a developed country is that one which serve the population a standard of
living which has a standard education rate, and which country’s population has a high rate of per
capita national income.
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Question-6: Discuss the features of developed country or economy.
Answer:
The feature of developed country are as follows1.
High per capita income
2. Less dependency on agriculture
3. Less dependency on foreign trade
4. Less dependency on foreign aid
5. Proper utilization of natural resources
6. Adequate employment
7. Rapid industrialization
8. Available capital
9. Wide-spread education
10. Advanced technological knowledge
11. Skilled entrepreneurs
12. Skilled manpower
13. Improved production system
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
19
Elaboration of the points:
1.
High per capita income:
In a developed country, the people possess a high rate of per capita national income.
2. Less dependency on agriculture:
A developed country’s main characteristic is not to depend on agriculture other than industrial
development.
3. Less dependency on foreign trade:
Foreign trade is one of the best characteristics of a developed country. Developed countries produce
maximum goods or products or commodities in the country and export it to outside the world. A
developed country is developed in foreign trade.
4. Less dependency on foreign aid:
Developed countries are always tries to keep them free from any kind of dependency. Developed
countries try to help or assist the poor or developing or underdeveloped countries. So, they are less
dependent on the developing or underdeveloped countries in connection with foreign aid.
5. Proper utilization of natural resources:
Natural resources are very much important resource for a country. If some countries are enriched with
natural resources, they are advanced normally utilizing their natural resources easily. Proper ways of
mining, gas emerging system, and other natural resources emerging equipment and systems is required
for this purpose and the developed countries are industrially and mechanically improved in this
connection. China, United States America, some Middle East Countries are the example of the pattern.
6. Adequate employment:
Unemployment problem is not acute in a developed country than that of in an underdeveloped or
developing country as well. The rate of unemployment is less acute in a developed country. Here, there
is employment opportunity for the unemployed person. Unemployment rate in Japan, Iceland,
Canada, Greece, Italy, Brunei, France, Germany other developed countries is really less.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
20
7. Rapid industrialization:
Industrial development means transformation of pre-industrial society into an industrial society of
large-scale energy and metallurgy production. It is an extensive organization of an economy for the
purpose of manufacturing. Industrialization is one of the important characteristics. If a country is rich
with industry, it must be a developed country. In the country, a large income comes from the industrial
sector of the country.
8. Available capital:
Developed countries have a perfect use of total capital, that is, a developed country use income in a
year. There is no insufficiency of capital formation in a developed country. In a developed county,
national income and per capita national income is high and savings is generally high and therefore
investment is also high. So, this process of capital formation helps develop a country.
9. Wide-spread education:
In a developed country, high rate of education is a basic feature. More than 90% people here are
educated,
10. Advanced technological knowledge:
Advanced technological knowledge regarding the production, manufacturing system, and in the field
of agriculture as well as in the field of mining helps a country enhance the existing economic condition
of its own. Labourers of a developed country are usually skilled and possess developed and modern
technological knowledge. At present, if one country is developed in scientific and technological
sector, it is developed is believed.
11. Skilled entrepreneurs:
Maximum employers and workers of the developed countries are skilled well in connection with
educational qualification, technological knowledge and capital formation so it is easier for a
developed country to grow rapidly in economic concerns.
12. Skilled manpower:
Skilled manpower is another important characteristic of developed country. Education and training
facilities in a developed county are enough and thus it expand or produce more skilled manpower. As
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
21
a result, the skilled manpower produces more production within the limited time and energy as well as
efforts.
13. Improved production system:
All developed countries use the modern, technical and scientific method of production and using the
method the developed countries produces high-bridge corns and goods or foods.
--------------------------------------------------------------------------------------------Question-7: Describe the features of developing country or Economy, or features or characteristics of
Under-developed country or economy.
Answer:
There is no country which is static in its developing process. All countries try to enhance their own
position so all are developing country the term underdeveloped country is obscure here. By analysing
the economic structure of different underdeveloped and developing countries, we get some features of
developing and underdeveloped countries. These are given below:
1.
Low per capita income
2. Dependence on agriculture
3. Dependent on foreign trade
4. Dependent on foreign aid
5.
Underutilization of natural resources
6. Improper employment rate
7.
Lack of industrialization
8.
Lack of proper capital
9. Lack of Education
10. Lack of technological knowledge
11. Lack of skilled entrepreneurs
12. Lack of skilled manpower
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
22
Elaboration of the points:
1.
Low per capita income:
The main feature of underdeveloped and developing country is that the countries always possess the
low per capita national income. The underdeveloped and developing countries’ per capita national
income is relatively lower than that of the developed countries. The World Bank has classified the
world’s countries into three different classes on the basis of the per capita national income, that is, the
countries possess the per capita US$ 1314 and less is known as the underdeveloped countries and
countries which possess US$ 977 to 11,905 is known as the developing countries.
2. Dependence on agriculture:
Underdeveloped and developing countries are largely dependent on agriculture. This is the major
feature of the underdeveloped countries. More than 70% or 90% people depend upon the
agriculture.
3. Dependent on foreign trade:
Sometimes the underdeveloped and developing countries depend on foreign trade. The
underdeveloped and developing countries have no adequate food, industrial equipments,
machineries, and the like so these countries are largely dependent on the foreign trade and commerce.
4. Dependent on foreign aid:
Sometimes the underdeveloped and developing countries depend on foreign aid when they
(developing and under-developed) face natural calamities (like cyclone, tornado, tsunami and the
like) and in other connections (e.g., famine, food crises, defence) they need to get help from the
developed countries.
5. Underutilization of natural resources:
Lack of technological knowledge, capital, and skilled manpower the underdeveloped and developing
countries are not able to utilize the existing natural resources. Though, these countries have natural
resources. So it may be said that an underdeveloped country is characterised by the co-existence of
unutilised manpower on the one hand and of unexploited natural resources on the other hand.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
23
6. Improper employment rate:
In the underdeveloped countries the employment rate is so poor than that of the population. The major
portion of people here remains unproductive because in these countries there is no longer opportunity
to employ the rest of the people.
7. Lack of industrialization:
Rapid industrialization is another major feature of an underdeveloped or developing country. Lack of
capital, lack of education, lack of technological knowledge, and lack of skilled entrepreneur are the
major problems behind the rapid industrialization.
8. Lack of capital:
Lack of capital is the feature of the underdeveloped and developing countries. In a developed country
20% or more of total capital or GNI is used to invest but on the other hand in an underdeveloped or
developing country 5% to 10% of total capital or GNI is used to invest.
9. Lack of Education:
Underdeveloped or developing countries’ another characteristic is that these countries are poor in
educational sector. The majority of the population are here uneducated than that of the developed
countries.
10. Lack of technological knowledge:
Every underdeveloped and developing country has the lack of technological knowledge. In these
countries there are many natural resources but lack of technological knowledge these resources
remain idle in mine.
11. Lack of skilled entrepreneurs:
There have the lacking of skilled and educated entrepreneurs in the underdeveloped countries. They
cannot proper utilization of resources.
12. Lack of skilled manpower:
The population of the underdeveloped and developing countries are always large in amount but they
are not skilled at all. Lack of educational qualification, technological knowledge and the like is
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
24
absent in the underdeveloped and developing countries. So lack of skilled manpower in these
countries is another feature.
In brief, we can say that the above features are of an underdeveloped or developing country. If
these features are present in any country the country may be called as underdeveloped or developing
country.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
25
CHAPTER-THREE:
INDUSTRIALIZATION IN BANGLADESH
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
26
Question-1: Discuss the importance of industrialization in the economic development of Bangladesh.
Answer:
The importance of industrialization in the developing country like Bangladesh knows no bounds.
Basically Bangladesh is an agricultural based country, despite the importance of industry is
uncountable. Because in the modern age no country cannot depend on only agricultural sector for
their economic development. Rapid industrialization is the main cause of economic development of
various developed countries such as USA, UK, Japan, Canada etc. The importance of industrialization
is also existed in the Bangladeshi economy too. Industry plays a vital role in various sectors as for
national income, per capita national income, advancement of employment, acquiring financial
stability, supplying consumer goods to meet up the internal demand, supplying essential materials of
agricultural development, acquiring foreign currency etc. Now the importance of industry in the
economy of Bangladesh are given below at a glance:
1. Rapid economic development.
2. Increase national and per capital income.
3. Development of living standard.
4. Development of agriculture.
5. Solving unemployment Problem.
6. Proper utilization of natural resources.
7. Economic stability.
8. Reducing dependency on agriculture.
9. Earning foreign currency.
10. Bringing favourable situation in Balance of trade and Balance of payment.
11. Development of transportation and communication.
12. Socio-economic development.
13. Reducing the pressure of population of agriculture.
14. Reducing dependency on foreign country.
15. Development defence power.
Here the description is given below:
1.
Rapid Economic Development:
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
27
Industrialization is essential for the rapid economic development of Bangladesh. Mainly Bangladesh
is an agricultural based country. But it is not possible to develop the economy only by agriculture. So,
industrialization is essential for the rapid economic development of Bangladesh.
2. Increase National and Per Capital Income:
Industrialization is essential to increase the national and per capital income of Bangladesh. National
Income and Per Capital income is so low in Bangladesh. It is impossible to increase the national and
per capita income by through only agriculture.
Because, the rate of development of agriculture is comparatively slow. So, it is possible to increase our
national income by industrialization only.
03. Development of Living Standard:
To develop the living standard of people industrialization is essential. The standard of living of most
people in our country is so low. So, rapid industrialization should be done for gradually increasing
people in Bangladesh too.
04. Development of Agriculture:
The significance of industrialization is to develop the agriculture of Bangladesh. To develop
agriculture it is needed to various agricultural machinery, chemical, insecticide, irrigation etc. These
types of elements we get from industry. So, on behalf of the development of agriculture it is really
essential of rapid industrialization.
05. Solving Unemployment Problem:
The importance of industrialization is immeasurable to solve the gradually increasing unemployment
problem. The people of Bangladesh are increasing rapidly. As a result the pressure is going on
agricultural sector and unemployment problem is increasing.
06. Proper Utilization of Natural Resources:
We have a lot of natural resources such as jute, paper, and cement etc. The necessary goods of industry
such as jute, paper, and cement these are available in there. So these raw materials and also various
raw materials can be utilized properly by industrialization.
07. Economic Stability: Industrialization is essential to make the stable economy. But in our country
we see always various natural disasters such as drought, flood etc. So that our agricultural production
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
28
is always uncertain. But to produce the industrial goods these type of uncertainty is not there. So, to
solve the economy of Bangladesh from the uncertainty and instability industrialization is mostly
needed.
08. Reducing dependency on agriculture: At present the economy of Bangladesh is basically
depending on agriculture (32 present of national production). So reducing more dependency on
agriculture it is possible to develop the industrialization.
09. Earning Foreign Currency: It is possible to export more goods in foreign country by
industrialization. So rapid industrialization is essential to acquire the stability of foreign trade and
more foreign currency.
10. Bringing Favourable Situation in Balance of Trade and Balance of Payment:
The main problem of Bangladeshi economics is the lack of gradually increasing trade. In ease of
international trade comparatively we import more than the export. So we face the lack of balance of
trade. To remove this problem we have to increase our export and decrease our import. If we want to
develop our industry rapidly then we can increase our export and decrease our import. As a result the
balance of trade and balance of payment will be favourable to Bangladesh.
11. Development of Transportation and Communication: It is also possible to develop the transportation
and communication system by rapid industrialization.
12. Socio-economic Development: Industrialization is also essential to develop the socio-economic
infrastructure development of Bangladesh. By the result of industrialization per capita national
income and the consumption of goods will increase as regard to urbanization, school, college, hospital,
road etc. these type of infrastructure advantage will be organized and the socio-economy will also be
developed.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
29
Socio-economic development for industrialization
13. Reducing the Pressure of Population on Agriculture: When more industry will set up in our
country then the people will get the employee there. As a result the population pressure depending on
agriculture will be reduced.
14. Reducing Dependency of Foreign Country: By industrialization we can increase our production.
Through this way we can fulfil our local demand and also can export. As a result the dependency on
foreign country will be reduced.
15. Development Defence Power: Every independent country should have strong defence power to
save their sovereignty. So they need a lot of ammunition that can be produced in an industry. So, to
develop the defence power of our country industrialization is mostly needed.
Development of defence power for industrialization
So finally from the above discussion it has been cleared to us that industrialization is very much
essential for a country especially for the developing country like Bangladesh that can play a
significant role to increase the economic growth of Bangladesh.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
30
Question-2: Causes of industrial backwardness of Bangladesh.
Or problems of industrialization of Bangladesh.
Answer:
Bangladesh is an underdeveloped country in industry sector. Industrial contribution to the gross
production of Bangladesh is comparatively lower than the developed other countries. There has some
problems and obstacles in the way of industrialization of Bangladesh. Because of this problem still
Bangladesh has backward in industry sector. The causes of industrial backwardness of Bangladesh is
now given below at a glance:
1.
Colonial policy of British Government.
2. Pakistani exploitation.
3. Lack of capital.
4. Inadequate mineral wealth.
5. Insufficient power wealth.
6. Lack of experienced labour.
7. Lack of technical knowledge.
8. Lack of skilled entrepreneur.
9. Shortage of capital Goods.
10. Weak economic infrastructure.
11. Shortage of foreign currency.
12. Tendency to export raw materials.
13. Inefficient management.
14. Inadequate transportation and communication system.
15. Lack of proper planning.
16. Political instability.
17. Narrowness of Market.
18. Corruption.
Here the description is given below:
01. Colonial Policy of British Government: One of the most important causes of industrial
backwardness of Bangladesh is policy of British government. For 200 years they governed this
subcontinent. But they had no interest to set up any industrial in this area. They used this area as a
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
31
source of raw materials and the market of manufactured goods. This colonial principal of British
government is definitely responsible for this backwardness.
02. Pakistani Exploitation: One of the most causes of industrial backwardness of Bangladesh is the
negligence and exploitation principle of the former government of Pakistan. The governing body of
that time exploited this area like the British. They industrialized the former West Pakistan, which
money came from East Pakistan. As a result Bangladesh remains undeveloped in industry,
03. Lack of Capital: A lot of investment is essential for the industrialization. But in Bangladesh the
rate of investment is low for the poverty of the population. The total country’s investment is only 7.5 of
GDP in internal country investment. The entrepreneurs cannot collect necessary capital of industry for
the shortage of underdevelopment of Bangladesh industry.
04. Inadequate Mineral Wealth: Mineral wealth is very necessary for industrialization. But
Bangladesh is not fulfilled with mineral wealth. The development of industrialization of Bangladesh is
disturbed for the shortage of iron, coal, petroleum and other various valuable mineral wealth.
05. Insufficient Power Wealth: The power wealth is very necessary for directing factory, industry etc.
But there are many shortage of power wealth in Bangladesh. It is not sufficient for our need which we
found only from iron and oil in Bangladesh. But there is a probability of producing power from water,
but for the bureaucracy it is not been possible
.
06. Lack of Experienced Labour: Most of the labour of Bangladesh is illiterate, superstitious and their
productivity is also low. The industrialization of Bangladesh is disturbing for the shortage of educated
and experienced labour.
07. Lack of Technical Knowledge: It is necessary to have technological knowledge for the
industrialization of the country. But there is so much shortage of technological knowledge in our
country. There is not such opportunity of mechanical knowledge and training in our education system.
Shortage of mechanical knowledge of the labourers cannot maintain machineries properly.
08. Lack of skilled entrepreneur: There was predominance of the Hindu businessmen in area at the
time of British period. The Bengalis are deprived from the opportunity to set up factories in the British
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
32
ruled period. For this, there are shortages of experienced entrepreneurs to take risk to set up factories
in Bangladesh at present.
09. Shortage of Capital Goods: For industrialization mechanical and chemical instrument is essential.
But in Bangladesh this products are not produced sufficiently. So industrialization is not rapid in
Bangladesh.
10. Weak Socio-economic Infrastructure: The reason of weak Bangladesh economic structure is socioeconomic infrastructure. Transportation and communication system, making dam etc. are called Socioeconomic infrastructure. For long time colonial ruling these developments is not done properly. For
this, industrialization is done in a rapid way in Bangladesh.
11. Shortage of Foreign Currency: A lot of foreign money is needed to import machineries, tools, raw
materials of industries from foreign country. But in Bangladesh there is so shortage of foreign money.
The industrialization of Bangladesh is obstructed for the shortage of foreign money.
12. Tendency to Export Raw Materials: One of the important causes of industrial backwardness of
Bangladesh is to export a lot of raw materials. There is a lot of demand in foreign country which grows
in Bangladesh such as jute, leather etc. For this reason the businessmen of our country export these raw
materials in foreign country expecting a lot of profit.
13. Inefficient Management: The industrial development of any country mostly depends on proper
management and great direction. But there are various limitations of management to handle in our
country.
14. Inadequate Transportation and Communication System: For industrialization in our country great
transportation and communication is necessary. But in Bangladesh the transportation and
communication system is very inadequate. For the lack of development of this system it is obstructed to
collected raw materials, to transfer produced product to other location.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
33
Underdeveloped transportation and communication system
15. Lack of Proper Planning: For quick industrialization in any country proper planning is necessary.
In Pakistan period there is not existed any good planning of industrialization for Bangladesh industry.
16. Narrowness of Market: The industrial sector of our country mainly produced for local market. The
market of industrial product is small and for low income earner of the country. Since two decades the
increasing rate of GDP was 4% only. And increasing rate of agriculture was 2.7%. Narrowness of
market is one of the main problems for the backwardness of industrialization in Bangladesh.
17. Corruption: In Bangladesh corruption is the most severe problem for the development of industrial
sector. For corruption, industrialization is terribly obstructed.
18. Lack of political stability: In Bangladesh there is bad political practices is remaining. For this,
industrialization of Bangladesh is terribly obstructed.
The obstacles of industrialization of Bangladesh are described above. So a quick overcome is
expected from these problems by taking exact initiatives.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
34
Question-3: Measures of rapid industrialization in Bangladesh.
Or Key activities for rapid industrialization in Bangladesh.
Or Suggestion for rapid industrialization in Bangladesh,
Answer:
Bangladesh needs dynamic industrialization to develop economic condition. Industrial sector is only
one production sector in where it is possible to increase gradually the rate. Various important steps can
be taken for industrial development what are given below at a glance:
1.
Government patronization.
2. Encouragement of the private sector.
3. Capital formation.
4. Sufficient credit supply.
5. Increase of power supply.
6. Development of mineral resources.
7. Supply of skilled labour.
8. Increase of technical knowledge.
9. Import of capital goods.
10. Development of transportation and communication system.
11. Increase supply of foreign currency.
12. Creation of foreign market.
13. Proper industrial policy making.
14. Proper planning.
15. Proper management.
16. Political stability.
Here the description is given below:
1. Government Patronization: Govt. patronization is very much essential for rapid industrialization of
Bangladesh. The past industrialization process has interrupted the indifferent policy of govt. But at
present govt. has to play an active role for industrialization.
02. Encouragement of the Private Sector: By researching about industrial sector of Bangladesh and
East Asian countries it is found that, only private sector is efficient and dynamic. Where public sector
losses day by day, private sector acquires strong place under international competition market in the
field of garments industry and others. The reason of the success of private sector is that, they invest a lot
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
35
in line with the competition and their management system is very efficient. For the development of
industrialization maximum support should be provided to the private sector.
03. Capital Formation: For rapid industrialization a lot of capital has to be formed. To form capital it is
needed to encourage the public. By accumulating capital by developing many financial institution
capital may be formed.
04. Sufficient Credit Supply: Sufficient capital has to supply for rapid industrialization. Sufficient
credit has to supply to industries in minimum interest by establishing more commercial bank and
industrial bank.
05. Increase of Power Supply: We have to invent the power resources such as coal, petroleum, natural
gas etc. by surveying hugely in the country. It has to be ensured the development of power supply for
rapid industrialization. Coal, iron, and petroleum these precious mineral resources are very much
essential for power. For these reason we have to research and survey geographically to invent these
resources. If power supply is ensured properly, the industrialization will be increased.
06. Development of Mineral Resources: For the rapid industrial development, it is important to
develop the mineral resources. For industrialization coal, petroleum etc. is needed. For this, survey
should be done in a proper way.
07. Supply of Skilled Labour: We have to increase the labour’s skill for industrialization. The
illiteracy and ignorance of the worker has to remove by establishing school, college, university and
training centre etc.
08. Increase of Technical Knowledge: For developing industrial sector, it is important to expand
technical knowledge. For the objective of increasing technical knowledge, more technical schools,
agriculture colleges, polytechnic institutes have to establish.
09. Import Capital Goods: For rapid development of industrial sector, priority has to give in
importing capital goods.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
36
10. Development of Transportation and Communication System: The development of transportation
and communication system has to be ensured in a country. If the transportation and communication
system is developed, the carrying cost of raw materials would reduce and produced goods can send to
various places easily.
11. Increase Acquiring of Foreign Currency: Effective effort has to give to increase acquiring foreign
currency. By increasing export, acquiring foreign currency, it is necessary to import raw materials and
machinery. As a result development of industry will be accelerated.
12. Creating Foreign Market: We have to do huge publicity in abroad to create foreign market of
Bangladeshi industrial goods.
13. Making Effective Industrial Policy: Sound and specific industrial policy has to make for
industrialization. In the past industrialization was interrupted by the lacking of proper industrial
policy. The mobility of industrialization will be fast if we ensure the sound industrial policy such as
mutual role of govt. and non govt. sector, determine priority for setting various industry, giving
advantage of home and foreign investor sector etc.
14. Establishing Heavy Industry: We have to give more concern establishing heavy industry than
establishing consumer goods production industry. For this we have to set up more still industry,
electronics industry etc.
15. Development of Direction System: Direction system has to develop for industrialization. We have
to employment efficient and honest people in lieu of inefficient and dishonest people in the industries.
Then the production will be increased of these industries.
16. Making Sound Plan: Sound plan has to make for rapid industrialization in the country. We have to
create proper environment by making sound investment policy and its demonstration for
industrialization. If the above systems are taken, industrialization will be rapid in Bangladesh and
contribution to GDP of industry sector will be increased.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
37
Question-4: Define nationalization of industry.
Answer:
When the ownership of the industry is transferred to government hand from the personal hand is
called the nationalization of Industry. As a result the personal ownership is terminated and organized
the national ownership. By giving proper price govt. undertake these industries and these industries
are regulated by the direct control of govt. Nationalized industries are directed by govt. rather than
personal direction. After the independence, in 1972, in March Bangladesh govt. has declared the
nationalization policy to introduce the socialism in this country. According to this policy the major
industries of Bangladesh are nationalized. Which type of industry was nationalized the major of them
are jute industry, textile industry, sugar industry, paper industry, fertilizer industry, cement industry
and still industry etc. Besides those type of industry the govt. also nationalized more banks, more
insurance companies rather than foreign banks and insurance companies.
--------------------------------------------------------------------------------------------Question-5: What are the causes of Nationalization of industry?
Answer:
In 1972 Bangladesh Govt. has nationalized the major industries like jute mill, textile mill, and sugar
mill. In Pakistani region the minority person centralized the industries ownership. Then minority richer
was the owner of the majority industry and assets. As a result income discrimination was increased and
most of the people was deprived from the benefit of the economic development in society. For this
reason the claim of organizing the free exploitation society was gradually becoming stranger after the
independence of our country, under these circumstance from the very beginning govt. took the
nationalization policy. The main causes of nationalization of industry is given below at a glance:
1.
Termination of Exploitation
2. Proper Distribution of Wealth
3. Sound Management
4. Termination of Industrial Dispute
5. Rapid Economic Development
6. Reducing Income Discrimination
7. Introducing Socialistic Economy
Here the description is given below:
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
38
01. Termination of Exploitation: In former Pakistani age the capitalists were exploited our people
over the 20 years as the name of industrialization. To terminate this exploitation nationalization
decision was taken.
02. Proper Distribution of Wealth: To distribute the wealth properly among the overall people this
decision was taken.
03. Sound Management: By nationalization of industry govt. will become the owner of these
industries. So for it will be very easy to make proper policy and sound management on behalf of govt.
As a result the production will be increased.
04. Termination of Industrial Dispute: By the result of nationalization of industry worker’s torture will
be banned. The bad relation between worker and owner will be improving.
05. Rapid Economic Development: By the result of nationalization production will not be run for
increasing personal profit. Govt. will maintain the production management properly. As a result the
economic development of the country will be rapid.
06. Reducing Income Discrimination: In capitalist condition there is existence of wealth
discrimination between rich and poor. By nationalization of industries wealth may not be centralized
in capitalists. For this reason income-discrimination is reduced.
07. Introducing Socialistic Economy: Industrialization is essential for fee exploitation society. To rapid
economic development of the country by the limited resources and to ensure the proper distribution of
wealth it is essential to introduce socialism economy. Nationalization of industry is the primary step for
introducing socialism economy.
So the decision of nationalization of industries was taken to demonstrate the above issue and to
ensure the financial freedom of each people of the country.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
39
Question-6: What are the problems of Nationalization of industry?
Answer:
From the very beginning of the independence of our country Bangladesh govt. nationalized the main
industries those are jute industry, textile industry, sugar industry, paper industry etc. But after the
nationalization, these industries faced various problems. The main problems of nationalized industries
are given below at a glance:
1.
Lack of organization skill.
2. Lack of experience and honest of administrator.
3. Imperfect policy.
4. Lack of mutual trust.
5. Defective management structure.
6. Corruption and nepotism.
7. Lack of co-ordination.
8. Lack of specific target.
9. Lack of production cost.
10. Lack of socialistic output..
11. Lack of sincere.
Here the description is given below:
01. Lack of Organization Skill: After the nationalization the nationalized industries which problem
was faced that is lack of organization skill. From the very beginning of the independence the base
industries like jute mill, textile mill, sugar mill, were nationalized. To maintain these vast
nationalization sectors properly which type of organization skill is needed is not built up. So for the
production is reduced by the lacking of organizational skill of nationalized industries of Bangladesh.
02. Lack of Experience and Honesty of Administrator: Which types of administrator are employed
there to maintain the nationalized industry they are not so experienced in this way. Besides people
have a lot of suspicious about their duties and honesty.
03. Lack of Deliberate Policy: There is also lack of deliberate policy to nationalization of industry in
Bangladesh. The nationalization policy should be done when the production condition come back
general condition.
04. Conflict Management Infrastructure: After the nationalization a management infrastructure was
set up to maintain the industries that take the problem deeper have nationalized industries.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
40
05. Lack of Mutual Believe: Another main problem of nationalized industries are lack of mutual
believe at the various level of employed employee in an industry.
06. Corruption and Nepotism: After the nationalization of industry there increased corruption and
nepotism. Beyond the current rules and regulation there has given various advantage like
employment, promotion etc. In many case the tendency of embezzlement of govt. fund also increased.
As a result the success of nationalized industries was hampered.
07. Labour Dissatisfaction: When the labour’s portion was not ensuring in nationalized industry than
the labour dissatisfaction was seen among the labour. As a result the relation between labour and
management become weak and production also decreased.
08. Lack of Co-ordination: Another main problem is the lack of co-ordination among the various
departments of nationalized industry. For this reason the production become decreased.
09. Lack of Specific Target: Another problem of nationalized industries is the lack of specific target.
After becoming independent various industries was nationalized but no specific target was decided
for these industry. As regard the production was hampered in these industries.
10. Increasing Production Cost: Production cost increased recklessly in nationalized industry for lack
of necessary tools and materials. The power of industries and firms is not used fully. Moreover
production cost has been increased for not following the principle of reduced cost in directing
industrial organization. As a result majority of nationalized industry has been turned as a nonprofitable organization.
11. Lack of Socialistic Outlook: In Bangladesh, the main problem of state based industry is lack of
socialistic outlook. To direct an organization socialistic outlook is very important. But various workers
and labours who are working in these organization, has not got the socialistic mentality. For lacking of
socialistic outlook they became corrupted and dishonest. For these reasons lots of chaos is seen here
after independence. As a result production is decreased in this sector.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
41
12. Lack of Sincere Effort: At last, there not such sincere effort was seen to maintain the nationalized
industries as commercially with skill govt. announced the nationalization decision to demonstrate this
work properly which type of sincere and discipline is need that was not seen in the governance body.
For these problems after the nationalization nationalized industries faced the gradual loss and fail to
contribute to the national economy properly after the nationalization.
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Question-7: What are the solution of problems of nationalized industries?
To solve the problem and to develop the profit level of nationalized industries the measures should be
taken are given below at a glance:
1.
Management development
2. Removing Administrative Conflict
3. Making Rapid Decision
4. Removing Corruption and Nepotism
5. Increasing Training Facilities
6. Ensuring Partnership and Representation of labors
7. Proper Implementation of Principles
8. Increase of Supply of Raw Materials and Machinery
9. Determine of Specific Goal
10. Co-ordination
11. Reducing Production Cost
12. Sincerity
Here the description is given below:
01. Development of Management: The governance body of the nationalized industries should be
delegated the skilled and experienced person. Production should be increased by employing the
skilled and experienced person and to hand over the management to their hand.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
42
02. Removing Administrative Conflict: We have to change the managerial body in such a way so that
the present conflict to decision making is removed in case of production. For this we have to build-up
two-level management in lieu of existing three-level management.
03. Making Rapid Decision: To solve the problems of nationalized industries we have to take rapid
decision and to remove the procrastination of various unit levels in case of demonstration.
04. Removing Corruption and Nepotism: We have to remove the corruption and nepotism to
maintain the nationalized industries. If we remove the corruption, nepotism and embezzlement of fund
the nationalized industries success will be ensured.
05. Increasing Training Facilities: We also have to increase the training facilities of nationalized
industry’s labour. If we do that the skill and productivity will increase.
06. Ensuring Partnership and Representation of labours: Employment of labours has to ensure and for
the encouragement of labours, sometimes award has to give to the labours for the performance they
have done. Without that, for making decision in the unit stage every worker and labor has to be
included opportunity given by governance.
07. Proper Implementation of Principles: For various matters like appointment of labors, transfer,
promotion, leave etc. Proper implementation of principles has to be ensured.
08. Increase of Supply of Raw Materials and Machinery: Full goods use of the power of production
has to ensure by ensuring the regular supply of important machinery and raw materials of state based
industries.
09. Determine of Specific Goal: We have to take the effective system to determine the sound
investment policy and specific goal for nationalized industries and to achieve these.
10. Co-ordination: Co-ordination has to done in all work at various levels of nationalized industries. It
has to create the mutual trust and believe among the existence labour and employee of nationalized
industries and has to give adjusted effort for policymaking and realization.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
43
11. Reducing Production Cost: As far as possible cost minimization policy has to take to maintain the
industries and factories these should be directed as commercially.
12. Sincerity: At last, we have to create the honest and patriotic ‘Management Cadre’ to direct the
nationalized industries. They have responsible to survive these organizations from any situation by any
cost.
If we demonstrate the above condition very carefully and sincerely, the problems of nationalized
industries will remove and these industries will play a vital role to the development of our economy.
--------------------------------------------------------------------------------------------Question-8: Discuss the role of small and cottage industries in the economy of Bangladesh.
Answer:
Small and cottage industries are the small-scale industry. But in Bangladesh small and cottage
industries have a glorious part. It is a part and parcel of our tradition. Though the value on price of
small and cottage industries are few it can create more employment opportunity. Handloom industry,
bamboo and cane industry, leather industry, birhi industry, silk industry and hand spring industry and
these types of industry. The role of small & cottage industries are given below at a glance:
1.
Helpful profession of farmer.
2. Creation employment of opportunity.
3. Creation employment of opportunity of women.
4. Reduction Population Pressure on Agriculture
5.
Solve Unemployment Problem
6. Utilization of Countries Raw materials
7. Proper Development
8. Proper Distribution of Wealth
9. Savings of Foreign Currency
10. Protection of unhygienic environment of large scale industries
11. Proper Utilization of Generated Products of Large Scale Industries
12. Cottage Industries are not Easily Destroyed
13. Production According to Personal Test and Demand
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
44
14. Preservation of national tradition and fine arts
15. Management development
16. Removing Administrative Conflict
17. Making Rapid Decision
18. Removing Corruption and Nepotism
19. Increasing Training Facilities
20. Ensuring Partnership and Representation of labors
21. Proper Implementation of Principles
22. Increase of Supply of Raw Materials and Machinery
23. Determine of Specific Goal
24. Co-ordination
25. Reducing Production Cost
26. Sincerity
Here the description is given below:
01. Helpful Profession of Farmer: In our country small and cottage industry is a helpful profession of
farmer. This type of industry is very easy to handle by the uneducated farmer. So they get extra income
from this profession and its source of income is very help to increase their standard of living.
02. Create Employment of Women: There are mostly fifty percent women in our country. Among
them most women does not get enough opportunity to engage any job sector. But small and cottage
industry creates enough employment of women in our country.
Small and cottage industry create employment for women
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
45
03. Reduction Population Pressure on Agriculture: Our country is densely populated country. Over
population is the problem in our country. Agriculture is the main profession of population. So,
population mainly depends on agriculture. In the field of agriculture small and cottage industry
reduce the pressure of population.
04. Solve Unemployment Problem: Unemployment problem is a big problem in our country now- adays. Small and cottage industry plays an important role to solve unemployment problem mostly.
05. Utilization of Countries Raw materials: We have a lot of raw materials and natural resources that
is suitable to use in cottage industry in Bangladesh. It is very easy to set up a cottage industry with
these raw materials. By this way we can use our raw materials and natural resources properly.
06. Proper Development: The role of small and cottage industries are very important to proper
economic development. Basically the large-scale industries are established in the major areas and
special places so that we cannot achieve the proper development. But the small and cottage industries
can establish in all area so that proper development can achieve easily from it.
07. Proper Distribution of Wealth: Small and cottage industries has played a vital role to proper
distribution of national assets. Asset is centralized to the minority capitalist’s hand by the causes of
large-scale industries. As a result wealth discrimination is seen in our society. On the other hand,
another name of cottage industry is village industry because the general people of village involve to
this profession. So for the wealth is distributed properly.
08. Savings of Foreign Currency: There is a lack of foreign currency in Bangladesh. To establish the
large-scale industries we have to import a lot of machinery from aboard. For this we have to expand a
lot of foreign currency. But it is not needed to import machinery to establish small and cottage
industry. As a result we can save a huge amount of foreign currency.
09. To Safe from Unhygienic Environment of Large Scale Industries: Generally the large-scale
industries are established in the special area so for the many people come here to do job there. As a
result that area is become like a slum. Besides, these industries also use various chemicals so that their
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
46
environment is become unhygienic. But this type of disadvantage is not in small industries. So to save
the environment it is essential to set up small industries.
10. Proper Utilization of Generated Products of Large Scale Industries: In many times by products are
used in small industries of large-scale industries. A lot of raw materials are become unused in case of
large production of large industries. Under this circumstance only small industries can use this by
products properly.
11. Cottage Industries are not Easily Destroyed: Cottage industries are not centralized in a special
area. It is spread sporadically in all over the country. So by the causes of any natural disaster it is not
easy to destroy the whole cottage industry.
12. Production According to Personal Test and Demand: Small and cottage industries can produce
their product according to consumer test and demand. But in large-scale industries it is not possible. So
cottage industries are essential to produce the product according to consumer information.
13. Preservation of National Tradition and Fine Arts: Cottage industry helps us to preserve our
national tradition and fine arts. There is our national tradition. So to preserve our national tradition
and fine arts small and cottage industries are essential.
For the above reasons the importance of small and cottage industries are essential. Small and
cottage industries can play a great role to develop and mobilize our economy specially the rural
economy.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
47
Question-9: What are the problems of small and cottage industries?
Answer:
Small and cottage industry is the part and parcel of our tradition. Though in our country small and
cottage industry has a glorious part. But it has some limitations that are given at a glance below:
1.
Primitive or ancient method of production.
2. Shortage of capital.
3. Unavailability of loan facility.
4. Lack of Education.
5. Shortage of efficient and trained technician.
6. Shortage of raw materials.
7. Lack of power resources.
8. Limited and narrow market.
9. Unhealthy competition with large industries.
10. Inadequate communication and transportation system
11. Defective market system.
12. Low quality of product.
13. Lack of government patronization.
Here the description is given below:
01. The Ancient Method of Production: Still small and cottage industry follows the ancient method of
production. As a result more production cannot be increased easily. So it is one of the most important
problem of small and cottage industry.
02. Lack of Capital: Capital is the blood of setting up any industry. But small and cottage industry
needs more capital to set up it widely.
03. Lack of Loan: Small and cottage industry is called poverty line industry. In this industry general
people are involved to set up it. But lack of enough loan it cannot be set up easily.
04. Lack of Education: Education is an important key of headway. But lack of education small and
cottage industry do not run rapidly.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
48
05. Lack of Raw materials: To set up small and cottage industries and continue its production raw
material is needed. But lack of raw material it does not possible to increase production of this industry.
06. Lack of Power Resources: Though there are many sources of power resources in our country but it
does not utilize effectively. In this case small and cottage industry needs more power resources such as
gas, electricity, water etc. But lack of these resources small and cottage industry is hampered mostly.
07. Limited market: The produced goods of small and cottage industry do not get actual market. The
market of this produced products are limited. For this reason small and cottage industry continue their
production.
08. Inequality competition of big industry: It is one of the major problems of small and cottage
industry. Because the big industries influence on the small and cottage industries widely. As a result
small industries cannot survive in the inequality competition.
09. Low standard of product: Sometimes small and cottage industry produces low standard of
product. As a result these products rejected by the actual market customer.
10. Lock of Grading and standardization: It is another problem of small and cottage industry. To
increase selling of products grading and standardization is essential. But lack of attractive grading
and standardization small and cottage industry is disturbed day by day.
11. Lack of transportation and communication: Transportation is the symbol of development of a
country. Effective transport and system can bring a revolutionary change of a country. But small and
cottage dose not maintain effective communication system.
12. Lack of government support: The lack of government support is another problem of small and
cottage industry. The government does not help for the improvement of small and cottage industry.
But no industry can be set up without help of government.
In fine, we can say that small and cottage industry is a symbol of our custom. But the problems
related to it should be removed for betterment of it.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
49
-------------------------------------------------------------------------------------------Question-10: Measures to solve the Problems of small and cottage industries
Answer:
Though small and cottage industry are affected by many problems but these problems can be solved
by the following ways which are given at a glance:
1.
Using Modern Method of Production
2. Increase Capital Supply
3. Development of Education System
4. Grading and Standardization
5. Increment of Government Support
6. Widespread Advertisement
7. Development of Communication System
8. Ensure Raw-material Supply
9. Development of Selling System
10. Ensure of Skilled and Trained Labour
11. Increase Loan
Here the description is given below:
01. Using Modern Method of Production: Using modern method of production in small and cottage
industries production problem can be solved. Because more production can be possible by using
modern method of production.
02. Increase Capital Supply: By increasing capital supply in small and cottage industry, lack of
capital problem can be solved.
03. Development of Education System: Education is the backbone of a nation. So to solve the problem
of small and cottage industry development of education must be needed.
04. Grading and Standardization: To solve the product selling problem of small and cottage industry
grading and standardization must be needed. Because grading and standardization increases the
attraction of products.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
50
05. Increment of Government Support: The enhancement of setting up small and cottage industry
mainly depend on government support. So to solve the problem of small and cottage industry, the
increment of government help must be needed.
06. Widespread Advertisement: The produced products of small and collage industry can possible to
introduce to other country by widespread advertisement. So to solve products selling problem more
advertisement is essential.
07. Development of Communication System: To remove the transportation and communication
problem of small and cottage industry, communication system should be developed widely.
08. Ensure Raw-material Supply: For the increment of production raw material is needed. To solve
the production problem, the raw material must be ensured to increase supply.
09. Development of Selling System: For the solving of selling system of produced products of small
and cottage industry, selling system of this industry should be developed rapidly.
10. Ensure of Skilled and Trained Labor: For the increment of production skilled and trained labor of
small and cottage industry should be ensured properly.
11. Increase Loan: To set up small and cottage industry enough loan should be ensured properly.
In fine we can say that small and cottage industry is our symbol of national custom.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
51
CHAPTER-FOUR:
AGRICULTURAL IN BANGLADESH
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
52
Question-1: Discuss the characteristics of agriculture in Bangladesh.
Answer:
Bangladesh is an agriculture based country. The economy of Bangladesh is fully dependent on
agriculture. Though the Bangladesh is an agricultural country, the agricultural system of Bangladesh
is underdeveloped. The characteristics of agriculture in Bangladesh are given below at a glance:
1.
Old Method of Cultivation
2. Low Productivity
3. Sub-division & Fragmentation of Holding
4. Dependency on Nature
5. Subsistence of Farming
6. Landless Farmers
7. Uncultivable Land
8. Unskilled Farmer
9. Water logging & salinity
10. Uneducated Farmer
11. Lack of Capital
12. Insufficient Agricultural Credit
13. Insecticides & Diseases
14. Soil Erosion:
15. Low Productivity
Here the description is given below:
01. Old Method of Cultivation: The main feature of Bangladesh agriculture is traditional cultivation
and use of old technology. Still now our farmers are using plough, yoke, small ladder etc. instead of
using modern technology like power tiller, tractor, chemical fertilizer etc. So production capacity is
very low.
02. Low Productivity: Low productivity is another feature of agriculture of Bangladesh. Each acre
production amount of rice in Japan is 58 pound, in USA 47 pound. But in Bangladesh only 15 pound
rice is produced in each acre. In spite of being an agriculture dependent country, production of
agriculture is very low in Bangladesh.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
53
03. Sub-division & Fragmentation of Holding: For inheritance law and pressure of population, land
of Bangladesh is divided into different areas. As a result, cultivation of these lands is not possible in a
scientific way.
04. Dependency on Nature: The agriculture of Bangladesh mostly depends on nature because of
insufficient irrigation system. If it is not rained in monsoon period, people can’t produce crops
properly. Besides, every year agriculture is hampered by over rainfall, floods, storms etc.
05. Subsistence of Farming: Most of the farmers in Bangladesh produces agricultural product for
family needs. But other countries do agricultural task for business purpose. In Bangladesh, after
fulfilling family needs, the farmer sales the additional products. But this is very low in amount.
06. Landless Farmers: Most of the farmers in Bangladesh are landless. They cultivate others land. The
numbers of landless farmers are increasing day by day. Now 60% farmers are landless of total
numbers of farmers.
07. Uncultivable Land: Most of the lands in Bangladesh are uncultivable because of improper water
system. Now, many acres are uncultivable land in Bangladesh.
08. Unskilled Farmer: In Bangladesh, most farmers are uneducated as well as unskilled. There is no
progressive system for training of farmers. As a result they are remaining unskilled. And unskilled
farmers can’t produce product properly.
09. Water Logging & Salinity: Water logging & salinity is another characteristic of agriculture in
Bangladesh. There are many lands Bangladesh which are combined with water logging as well as
salinity. These lands are uncultivable which cause low productivity.
10. Uneducated Farmer: A large number of farmers in Bangladesh are underdeveloped. The
uneducated farmers do not know the proper usage of fertilizer, insecticides, proper seeds etc. For this,
the production is very low.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
54
11. Lack of Capital: Bangladesh is a poor country and most people live under poverty line. As a result,
farmers can’t invest huge amount of capital for the development of production and agriculture. They
also cannot use modern technology for want of capital.
12. Insufficient Agricultural Credit: Though Bangladesh is an agricultural country, the farmers can’t
take loan easily from bank because of poverty. If they take loan, they have to pay high interest rate. As
a result, they are uninspired to do agricultural task.
13. Insecticides & Diseases: Huge amount of crops are being damaged for the attacks of insects and
diseases. According to specialists, 10% of crops are being damaged for insects and disease.
14. Soil Erosion: Soil erosion is one of the characteristics of agriculture of Bangladesh. Soil erosion is
caused due to cutting of excess trees as well as, natural calamities which cause low productivity.
15. Low Productivity: Bangladesh is an developing country. The people can’t invest in a large amount.
So for the small amount of production the productivity is very low.
At last we can say that, these are the characteristics of agriculture in the economy of Bangladesh.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
55
Question-2: Discuss the importance of agriculture in the economy of Bangladesh.
Answer:
Bangladesh is an agricultural country. About 75% of people of total population are dependent on
agriculture directly or indirectly. Agriculture is the main source of income of 80% family in the rural
area. So agriculture is the backbone of Bangladesh economy. The importance of agriculture in the
economy of Bangladesh is given below at a glance:
01. Main Source of National Income
02. Main Occupation of People
03. Supply of Food
04. Supply of Raw Materials
05. Supply of Cloth
06. Supply of Building Materials & Fuels
07. Earning of Foreign Capital
08. Creation of Market for Industrial Product
09. Expansion of Trade & Commerce
10. Increase of Govt. Revenue or Income
11. Industrialization
Here the description is given below:
01. Main Source of National Income: Agriculture is the main source of national income of Bangladesh.
One fourth of national production of Bangladesh comes from agriculture. In the report of 2008-2009
the contribution of agriculture in GDP is. So agriculture is the basis of Bangladesh economy and main
source of National income.
02. Main Occupation of People: The main occupation of Bangladeshi people is agriculture. In
Bangladesh 51.69% of total people are engaged in agriculture. Agriculture creates more
employment opportunities. So agriculture is very important.
03. Supply of Food: Food is essential for living. Agriculture provides most of these foods such as rice,
wheat, pulse, potato, maize, vegetables, fruits etc. So agriculture is very important.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
56
04. Supply of Raw Materials: Most of the industries are dependent on agriculture for their raw
materials. Agriculture is the main source of raw materials of our jute, tea, sugar, cloth, tobacco, match,
paper etc. industries.
05. Supply of Cloth: Most of the raw materials of cloth are collected from agriculture. The raw
materials of cotton, ressom, possum, beyond etc. are come from agriculture.
06. Supply of Building Materials & Fuels: Agriculture supplies us various building materials and
fuels such as bamboo, wood, straw, cane, leaves of small tree etc. Thus agriculture fulfils our fuel
demand.
07. Earning of Foreign Capital: Foreign trade of Bangladesh is largely dependent agriculture. Jute,
tea, tobacco, shrimp, leather etc. are the main exporting product of Bangladesh by which foreign
currency is earned.
08. Creation of Market for Industrial Product: With the development of agriculture, the income and
Purchasing power of farmers will increase. As their income increase, their demand for industrial goods
will also increase. As a result, the market of industrial products is expanded.
09. Expansion of Trade & Commerce: Agriculture plays a vital role to expand trade and commerce. If
the production capacity of a country increases, the internal trade and commerce will expand. So
agriculture helps to expand trade and commerce.
10. Increase of Govt. Revenue or Income: The large source of Govt. income is agriculture. Rent of land,
revenue from transporting goods by rail or post etc. are sources of Govt. income.
11. Industrialization: Industries of Bangladesh are agriculture based. Maximum raw materials of
industries come from agriculture. So, agriculture of Bangladesh has a great importance for
industrialization.
Finally, we can say that, these are the main importance of agriculture in the economy of
Bangladesh.
--------------------------------------------------------------------------------------------Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
57
Question-3: What are the problems of agriculture in Bangladesh?
Answer:
Bangladesh is an agriculture based country. The economy of Bangladesh is fully dependent on
agriculture. Though the Bangladesh is an agricultural country, the agricultural system of
Bangladesh is underdeveloped. The characteristics of agriculture in Bangladesh are given below at a
glance:
01. Primitive Method of Cultivation
02. Low Productivity
03. Sub-division & Fragmentation of Holding
04. Uncultivable Land
05. Illiterate & Poor Cultivator
06. Lack of Capital
07. Landless Farmers
08. Subsistence of Firming
09. Disguised Unemployment
10. Dependency on Nature
11. Insufficient Agricultural Credit
12. Soil Erosion
13. Water Logging & Salinity
14. Unskilled Farmer
15. Pest & Diseases
16. Lack of Govt. Facility
Here the description is given below:
01. Primitive Method of Cultivation: The main problems of Bangladesh agriculture is traditional
cultivation and use of old technology. Still now our farmers are using plough, yoke, small ladder etc.
instead of using modern technology like power tiller, tractor, chemical fertilizer etc. So production
capacity is very low.
02. Low Productivity: Low productivity is another problem of agriculture of Bangladesh. Each acre
production amount of rice in Japan 58 pound, in USA 47 pound. But in Bangladesh only 15 pound
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
58
rice is produced in each acre. In spite of being an agriculture dependent country, production n of
agriculture is very low in Bangladesh.
03. Sub-division & Fragmentation of Holding: For inheritance law and pressure of population, land
of Bangladesh is divided into different areas. As a result, cultivation of these lands is not possible in a
scientific way.
Sub-division of land
04. Uncultivable Land: Most of the lands in Bangladesh are uncultivable because of improper water
system. Now, many acres are uncultivable land in Bangladesh.
05. Illiterate & Poor Cultivator: Most of the farmers are poor and illiterate. As a result, they can’t use
modern technology, fertilizer, machinery etc. For this, the overall production is low.
06. Lack of Capital: Bangladesh is a poor country and most people live under poverty line. As a
result, farmers can’t invest huge amount of capital for the development of production and agriculture.
They also cannot use modern technology for want of capital.
07. Landless Farmers: Most of the farmers in Bangladesh are landless. They cultivate others land. The
numbers of landless farmers are increasing day by day. Now 60% farmers are landless of total
numbers of farmers.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
59
08. Subsistence of Firming: Most of the farmer in Bangladesh produces agricultural product for family
needs. But other countries do agricultural task for business purpose. In Bangladesh, after fulfilling
family needs, the farmer sales the additional products. But this is very low in amount.
09. Disguised Unemployment: Disguised unemployment is another problem of Bangladesh
agriculture. The pressure of population in agriculture sector is so much because of less opportunity in
other sectors. As a result, there exists disguised unemployment in Bangladesh
10. Dependency on Nature: The agriculture of Bangladesh mostly depends on nature because of
insufficient irrigation system. If it is not rained in monsoon period, people can’t produce crops
properly. Besides, every year agriculture is hampered by over rainfall, floods, storms etc.
11. Insufficient Agricultural Credit: Though Bangladesh is an agricultural country, the farmers can’t
take loan easily from bank because of poverty. If they take loan, they have to pay high interest rate. As
a result, they are uninspired to do agricultural task.
12. Soil Erosion: Soil erosion is one of the characteristics of agriculture of Bangladesh. Soil erosion is
caused due to cutting of excess trees as well as, natural calamities which cause low productivity.
13. Water Logging & Salinity: Water logging & salinity is another characteristic of agriculture in
Bangladesh. There are many lands Bangladesh which are combined with water logging as well as
salinity. These lands are uncultivable which cause low productivity.
14. Unskilled Farmer: In Bangladesh, most farmers are uneducated as well as unskilled. There is no
progressive system for training of farmers. As a result they are remaining unskilled. And unskilled
farmers can’t produce product properly.
15. Pest & Diseases: Huge amount of crops are being damaged for the attacks of insects and diseases.
According to specialists, 10% of crops are being damaged for insects and disease.
16. Lack of Govt. Facility: Being a poor country, the Govt. of Bangladesh cannot give much facility in
agriculture. As a result, farmers are uninspired for production.
Finally, we can say that these are the problems of agriculture in Bangladesh
--------------------------------------------------------------------------------------------Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
60
Question-4: Solution of agricultural problems in Bangladesh.
Answer:
There are some problems in Bangladeshi agriculture. The problems which are related to
agriculture can be removed only by taking some measurable steps. The steps which may be taken to
solve the problems are stated below at a glance:
01. Modernization of Agriculture
02. Accumulation of Land
03. Development of Irrigation System
04. Education & Training of Farmers
05. Increase of Loan Facility
06. Supply of seeds & fertilizer
07. Supply of Insecticides
08. Flood Control
09. Remove of Salinity & Water Logging
10. Land Reform
11. Cooperative Firming
12. Development of Marketing System
13. Fair of Agricultural Product
Here the description is given below:
01. Modernization of Agriculture: Modernization of agriculture means the use modern technology and
scientific method of cultivation instead of old method in agriculture.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
61
Farmers using modern technology in agriculture
02. Accumulation of Land: To cultivate the land in scientific way, we should remove the sub-division
and fragmentation of holding. Because it is not possible to cultivate the sub-divided and fragmented
land in scientific way. So it is essential to accumulate the land.
03. Development of Irrigation System: We have to reduce the dependency on nature. As a measure,
we can dig deep cannel water pumps etc.
04. Education & Training of Farmers: Most of the farmers in Bangladesh are uneducated and they
don’t know how to cultivate the land by modern method. We should give proper training and
implement agricultural education among farmers.
05. Increase of Loan Facility: To remove capital deficit of farmer, the financial institutions should
provide loan to farmers at easy terms. Besides, by establishing krishi bank, cooperative bank, the Govt.
can give the farmers loan at easy terms.
06. Supply of seeds & fertilizer: To solve the agricultural problems, our Govt. should supply hybrid
seeds and fertilizer at cheap price to the farmers. The farmers can develop more by knowing more
about seeds and fertilizer.
07. Supply of Insecticides: In our country about 10% crops are damaged by insects. So the farmers
should protect crops from insects. For this, insecticides should be supplied among farmers at cheap
price.
08. Flood Control: To solve the flood problem, our Govt. should take steps. The Govt. should dressier
the river and build protective dam to protect crops from cyclone.
09. Remove of Salinity & Water Logging: The water logged land may be cultivated by extracting
water. We should make dam for which salinity water cannot come in the cultivable area.
10. Land Reform: To solve agricultural problems, land should be reformed. We have to give surety
that the actual farmer can get the owner’s land from the land lords.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
62
11. Cooperative Firming: The farmers should cultivate their lands through cooperative firming. By this
way, it is possible to implement scientific method of firming.
12. Development of Marketing System: The markets of agricultural product should be developed so
that the farmers get the fair price from their commodity. For this, cooperative sales market may be
formed.
13. Fair of Agricultural Product: For the help of agriculture, sometimes exhibition system may be
arranged. By this way the farmers are inspired.
At last it is said that these are the solution of agricultural problems in Bangladesh.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
63
Question-5: What are the causes of subdivision & fragmentation of holding?
Answer
There exists some causes of sub-divisions and fragmentation of holding in Bangladesh. The reasons
which are responsible for sub-division and fragmentation of holding are given below at a glance:
01. Law of Inheritance
02. Pressure of Population
03. Spirit of Individualism
04. Poverty
Here the description is given below:
01. Law of Inheritance: The main cause of sub-division and fragmentation of holding is law of
inheritance among Muslims and Hindu. According to Muslim law of inheritance, if a person die, his
property will be divided partly among his wife, son and daughter. According to Hindu law of
inheritance, if a person die, his property will be divided partly among son. As a result, the lands are
divided into small parts because they don’t want to take land at one place.
02. Pressure of Population: Another cause of sub-division and fragmentation is increasing pressure of
population. People of Bangladesh are increasing rapidly. But lands are constant. The increasing
people depend on agriculture. As a result, the land are sub-divided and fragmented for the pressure of
population.
03. Spirit of Individualism: Spirit of individualism is another cause of sub-division and
fragmentation of holding. In future, people live in extended family. But now people come to live single
family. As a result, lands are divided into small parts.
04. Poverty: Most of the people of our country are poor. So at the time of their financial crisis they sell
their lands. As a result, lands are sub-divided and fragmented of holding.
Finally we can say that these are the cause of sub-division and fragmentation of holding.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
64
Question-6: What are the effects of sub-division & fragmentation of holding?
Answer:
Sub-division and fragmentation of holding is great obstacle to the development of agriculture in
Bangladesh. This problem affects Bangladesh from different side. The effects of sub-division and
fragmentation of holding are given below at a glance:
1.
Modernization of Land
2. Wastage of Land For Boundary
3. Wastage of Time
4. Problems of Proper Cultivation
5. Problems of Irrigation
6. Problems of Supervision
7. Creation of social problems
Here the description is given below:
01. Modernization of Land: Modernization of land means the use of scientific method of cultivation.
But in Bangladesh for sub-division and fragmentation of holding, the scientific method of cultivation
cannot be applied.
02. Wastage of Land for Boundary: Large parts of land are wasted for subdivision and fragmentation
of holding.
03. Wastage of Time: Much time are wasted for sub-division and fragmentation of holding. Because
lands are not in same place. For this, farmers have to go one land to another land. As a result much time
are wasted.
04. Problems of Proper Cultivation: For sub-division and fragmentation of holding, it is not possible to
cultivate the land properly. As a result, the production is very low.
05. Problems of Irrigation: For sub-division and fragmentation of holding, lands are cultivated
different places. So it is not possible to accomplish proper irrigation. As a result, productivity of lands
is going down.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
65
06. Problems of Supervision: It is hard to supervise lands due to sub-division and fragmentation; lands
are divided into different places. Much time is also needed to supervise these lands.
07. Creation of Social Problems: Sub-division and fragmentation of holding create social problems
such as quarrelling between two farmers for the boundary of land. As a result, money and time are
wasted.
At last we can say that, if the sub-division and fragmentation is controlled, much land will be
saved. And will be very useful in the future for the agricultural of Bangladesh.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
66
Question-7: Remedial measures for subdivision and fragmentation of holding.
Answer:
The solution of problem of sub-division and fragmentation of holding is needed for the
development of agriculture of our country. The following measures which are given at a glance can be
taken for remedy of sub-division and fragmentation of holding:Here the description is given below:
01. Voluntary Exchange of Land: The farmers can accumulate their land willingly through mutual
exchange. If the farmer exchanges land, farmers of our country are not interested to exchange their
land with others. For this the success of this type of effort is very less.
02. Accumulation of Land: Sub-division and fragmentation of land can be reduced by accumulating
land through law. If the farmers do not agree to accumulate their own land, the govt. should compel
them to accumulate land by making law. The law was made in 1950 to accumulate land.
03. Modification of Law of Inheritance: The inheritance law is mostly responsible for sub-division and
fragmentation of holding. The inheritance law is to be corrected for remedy of sub-division and
fragmentation of land. So the inheritance law should be corrected in such way so that person who is not
farmer, cannot be the owner of land.
04. Co-operative Farming: The problem of sub-division and fragmentation of land can be solved by
introducing co-operative farm method. Small farm can be accumulated through formation of cooperative farm among farmers. It is needed to take initiative all over the country for creation of cooperative farm. For this the govt. of Bangladesh is giving special emphasis towards co-operative farm.
05. Population Control: If population can be controlled in proper way then it is possible to prevent the
sub-division and fragmentation of holding. Because if population growth rate becomes slower then it
will be possible to prevent sub-division and fragmentation of holding. But it is a lengthy process. But
population control is an effective way to control it.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
67
06. Industrialization: Industrialization is one of the solution for sub-division and fragmentation of
holding. Because if the employment is created in industrial sector then pressure will overcome from
the agriculture sector.
At last we can say that if following steps are done properly then it is possible to remove the
problem of sub-division and fragmentation of holding.
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Question-8: Problems of mechanization and modernization of agriculture in Bangladesh.
Answer:
Modernization and mechanization of agriculture means applying modern machinery in the
agriculture sector to increase the productivity. It is also done for rising national income. There are some
problems on the way to modernization mechanization of agriculture of our country which are given
below at a glance:
1.
Sub-division and Fragmentation of Holding
2. Nature of Land
3. Small Size of Land
4. Poverty of Farmers
5. Lack of Capital and Foreign Currency
6. Lack of Alternative Employment
7. Lack of Technological Knowledge
8. Illiteracy and Conservativeness Attitudes of Farmers
9. Problems of Maintenance of Machineries
10. Lack of Exact Technology
11. Small Size of Economic Holding
Here the description is given below:
01. Sub-division and Fragmentation of Holding: One of the main barrier to modernization and
mechanization of agriculture of our country is sub-division and fragmentation of land. It is not possible
to introduce modern cultivation method because of sub-division and fragmentation of holding.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
68
02. Nature of Land: Nature of land is the main obstacle on the modernization and mechanization of
agriculture of our country. The land of our country is very soft and muddy. So it is not possible to use
tractor, power tiller and other larger machinery in the land. For this reason nature of land is mainly
liable for barrier to modernization and mechanization of agriculture.
03. Small Size of Land: The inevitable problem of modernization and mechanization of agriculture of
our country is small size of agricultural land. The size of agricultural land should be wig for cultivation
by the help of modern machinery like tractor or bulldozer. But the use of modern machinery is possible
for small agriculture land.
04. Poverty of Farmers: Sufficient capital is needed for mechanization of agriculture. But most of the
farmers of our country are very poor. They cannot supply this huge capital. As result it is not possible to
purchase agricultural machinery like tractor, power tiller, pumping machine and so on.
05. Lack of Capital and Foreign Currency: Capital is the key of development. Nothing is possible
without necessary capital. Huge capital is required for modernization of agriculture. But the poor
farmers cannot purchase the necessary agricultural machinery on account of lack of capital. Lack of
capital is mainly liable for problem of mechanization and modernization of agriculture.
06. Lack of Alternative Employment: One of the principal problems of modernization and
mechanization of agriculture of our country is lack of alternative employment. Many people are
engaged in agriculture. If machine cultivation method is applied, many people will be unemployed.
So lack of a alternative employment is chiefly responsible for barrier to mechanization and
modernization of agriculture.
07. Lack of Technological Knowledge: Most farmers of our country are uneducated and ignorant.
Technological knowledge is needed for handling agricultural machinery. But there is lack of
technological knowledge of farmers of our country. Mechanization and modernization of agriculture is
hampering because of want of technological knowledge.
08. Illiteracy and Conservativeness Attitudes of Farmers: One of the outstanding problems of
modernization of agriculture of our country is illiteracy and conservativeness of farmers. Most of the
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
69
farmers of our country are generally uneducated. They mostly cultivated the land in the traditional
method. Besides they are not interested to use modern machinery of agriculture.
09. Problems of Maintenance of Machineries: The regular repair and preservation are required for
cultivation by the help of agricultural machinery. But accurate measures are not taken for repairing
and preserving agricultural machinery in our country. As a result modernization of agriculture is
hampering on account of problem of repairing agricultural machinery.
10. Lack of Exact Technology: The main problem of mechanization and modernization of agriculture
of our country is the lack of exact technology. Bangladesh is not developed in science and technology.
Every imported machinery from foreign country is not usable in our country. Again, for the lack of
proper technology, exact technological machinery what is suitable for Bangladesh has not been
invented. For that reason expected mechanization is not done.
11. Small Size of Economic Holding: One of the main problems of our country is the small size of
economic holding. For cultivating with tractor and bulldozer a big economic holding is needed. But for
being small size of economic holding it is not possible to use modern machineries.
At last we can say that, for the above mentioned problems rapid modernization and
mechanization of agriculture of our country is hampered.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
70
Question-9: Prospect of mechanization of agriculture in Bangladesh.
Answer:
Though there are a lot of problems of mechanization of agriculture in Bangladesh, still some
bright possibilities are existed. In these sectors which are given below at a glance mechanization of
agriculture can be applied in Bangladesh:
1.
Cultivation of Fallow Land
2. Cultivation in Dry Season
3. Cultivation of Marsh and Swamp Area
4. Production of IRRI and Borro Paddy
5.
Large Scale Co-operative Farm
Here the description is given below:
01. Cultivation of Fallow Land: There are 22 lacks uncultivated land in Bangladesh. To bring these
lands under the cultivation it is necessary to take the help of modern machineries. It is very hard to
bring those lands under the cultivation without mechanization. Without this, there still some uneven
and hilly area, in which place there is no crop is produced. In these places it is possible to produce crop
by the help of these machineries.
02. Cultivation in Dry Season: In dry season in our country it is very easy to use the agricultural
machineries. Because, by this time the soil remains soft and dry.
03. Cultivation of Marsh and Swamp Area: There are a lot of marsh and swamp area which are
remain unproductive all the year. With the help of power tiller these lands can be used easily.
04. Production of IRRI and Borro Paddy: For the cultivation of IRRI and Borro paddy it is necessary to
give irrigation. And for this purpose power tiller is needed, by using this it would be very easy to
cultivate.
05. Large Scale Co-operative Farm: At present most of the farmers of our country are eager to
introduce large scale co-operative farm forgetting release from the problem of small agricultural land.
Co-operative agricultural farm system has inaugurated in various regions of our country. So mechanic
agricultural method must be applied for creating large scale co-operative farm.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
71
After the above discussion we may come to the conclusion that there are bright prospect of
mechanization of agriculture of our country. If the above mentioned means are followed exactly, it will
be possible to do modernization of agriculture for our country.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
72
CHAPTER-FIVE:
FOREIGN TRADE IN BANGLADESH
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
73
Question-1: Define foreign trade of Bangladesh:
Answer:
Bangladesh is a developing country economy totally based on agricultural. Generally, foreign trade
means, trade relation between two or more countries. Actually foreign trade is related with export and
import.
Foreign trade of Bangladesh means export and import trade of Bangladesh. The foreign trade
of Bangladesh is not self-sufficient because here import in more than export. Every financial year
Bangladesh imports a lot of goods but exports a few goods.
Finally, we can say that, foreign trade of Bangladesh isa) Export of Bangladesh goods to other countries. As like readymade garments leather etc.
b) Import of the other countries goods/goods to Bangladesh such as-Raw materials of the industrial
machinery etc.
--------------------------------------------------------------------------------------------Question-2: What are the importance of foreign trade of Bangladesh?
Answer:
Bangladesh is a developing country. Though our economy is based on agriculture but foreign
trade a significant role for the development of our country. Given below important of foreign trade.
a) Proper utilization of natural resources:
Bangladesh has many unused natural resources. By foreign trade we can use them for much
purpose. So for proper utilization of natural resources foreign trade is necessary.
b) Export of agriculture product:
Bangladesh is an agriculture country. By foreign trade we can export many agriculture goods
such as tea, jute, lather, tobacco etc. It is very important for Bangladesh.
c) Meeting the emergency situation:
For meeting the emergency situation the important of foreign trade is not described in word.
Bangladesh is failed very year in many natural calamity such as flood, rain etc. Meeting this
emergency situation the foreign trade is very important.
d) Fulfilment of machineries and raw materials:
Bangladesh is not developed in industry sector. For better industrialization many machineries
and raw materials are needed. By foreign trade we can import machineries and raw materials.
e) Fulfilment of food shortage:
Bangladesh is a agricultural country but she is not fulfil in food. Every year, she has 15-20
lakhs food shortage. By foreign trade we can fulfilment our food shortage.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
74
f) Import of essential consumer product:
There are a large demand for essential consumer product such as cloths, medicine, food etc.
Foreign trade is necessary in this situations. By foreign trade we can import essential consumer
product.
g) Import of technology and technical knowledge:
Bangladesh is a developing country. There are a living in technology and technical
knowledge like other developing countries. By foreign trade we can import technology and technical
knowledge for our industrial development.
h) Market extension of domestic product:
For foreign trade the domestic product market is extended. So, foreign trade is important for
extension of domestic product market.
I) Increase of mobility of capital:
For foreign trade the mobility of capital is increased. International help in increased can ear
foreign capital. So, foreign trade is essential.
J) Earning of foreign currency:
For our economic development, we need money foreign currency. By extending export trade
we can earn foreign currency.
K) Protection of monopoly business:
Foreign trade helps us to protect monopoly business in the country. If there are no foreign
trade then the internal producer of the country we can earn their own business. Foreign trade protect
this.
L) Increase of international co-operation:
By foreign trade we can increase international co-operation of other trade related countries.
So, it is essential for our country.
M) Reduce of dependency of foreign aid:
Bangladesh is a developing country for our development foreign aid is much helpful. But we
can reduce this foreign aid by foreign trade. Foreign trade helps us to reduce of dependency of foreign
aid.
At last, we can say that, foreign trade is very important for our developing country. By foreign
trade we can learn about our country of the word. So, it is very important.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
75
Question-3: Features of foreign trades of Bangladesh:
Answer
Bangladesh is a developing country. Though our economy in based on agriculture but foreign
trade play a significant role for the development of our economy. Given below importance of foreign
trade:a) Export of agriculture product:
Bangladesh exports a lot of agriculture goods after meeting our loan demand, such as tea, jute
vegetable etc.
b) Import of industrial goods:
Bangladesh imports a lot of industrial goods became of falling in industry. Bangladesh in not
develop in industry. So she import many industrial goods every year.
c) Import of food drains:
Every year Bangladesh imports a plenty of necessary consumers good from abroad. Such as
rice, wheat, vegetable, oil etc.
d) Export of few product:
Bangladesh export a few product in abroad every year such as ready mate garments, tea,
lather, medicine etc. But the amount of export product is very little then import product.
e) Unfavourable terms of trade:
The importance feature of foreign trade is unfavourable terms to trade. Bangladesh export
raw materials and agriculture goods. The demand of their product is stop. But she import a lot of
industrial goods. So, the terms of trade is always unfavourable for Bangladesh.
f) Trade relation with a few country:
The trade relation of Bangladesh is related with UK, American, Indian, Rassia, Japan, Canada
etc. Those are very little numbers.
g) Trade relation with poller starling zone:Bangladesh export a few product in dollar starling related country. But import a lots of
products in out of dollar starling zone related country.
h) Good trade relation with neighbour countries:
The feature of Bangladesh foreign trade is good relation with neighbour countries such as
India, Nepal and Srilanka etc.
i) Trade relation with SAARC countries:
The features of Bangladesh foreign trade is trade relation with SAARC countries such India,
Nepal, Pakistan, Maldip, Srilanka etc.
j) Important reduce luxurious goods:
Import reduce of luxurious goods is an importance feature of Bangladesh. Foreign trade
Bangladesh sarkar reduce of luxurious goods agter the liberation war.
k) Export of manpower:
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
76
Bangladesh export a lot of manpower in the aboard. It is another feature of Bangladesh.
l) Wage earner scheme:
The importance feature of Bangladesh foreign trade is wage earner scheme. By this wage
earner scheme the foreign money of Bangladesh can import.
m) Maximum trade by waterway:
The foreign trade of Bangladesh is occurred mostly by sea way. About 90% foreign trade is
occurred by Mongla and Chittagong sea port.
n) Unfavourable balance of payment:
The feature of foreign trade of Bangladesh is unfavourable balance of payment. Because the
amount of import in more than export trade.
o) Priority of government sector:
After the liberation war the importance feature of Bangladesh. Foreign trade is priority of
govt. sector. The foreign trade of Bangladesh is become nationalized. The export of jute is become
nationalization by government. There are the importance feature of foreign trade of Bangladesh.
Bangladesh foreign trade is occurred in a few country. But all of them are important for our country.
For our people we have to export and import many goods from many country.
--------------------------------------------------------------------------------------------Question-4: Feature of Export trade:
Answer:
Like any other country, Bangladesh is a undeveloped country. Bangladesh has many mainly
import goods. Bangladesh has done goods of export. The features of export trade are discussed in the
below:
a) Export of raw materials and agriculture goods:
Bangladesh mainly exports raw materials and agriculture goods. Bangladesh is an agriculture
country. Bangladesh earns a lot of currency by exporting raw materials and agriculture goods.
b) Export of a few product:
Bangladesh exports a few product such as- tea, jute, lather, fish, paper etc. About 90%
foreign currency come from those product. But, the area of Bangladesh export trade is so small.
c) Priority of jute and jute goods:
The main feature of Bangladesh export trade is priority of jute and jute goods. The main export
product of Bangladesh is jute. About60% comes from exporting jute and jute goods.
d) Export trade relation with a few countries:
The export trade of Bangladesh is related with a few countries such as America, UK, China,
India, Russia, Germany, Japan, Poland etc. So, the export trade relation is not excluding.
e) Low price rate of export product:
The features of export trade of Bangladesh is low price rate of export product. The value of our
export product is very low quality. So, we con not select their perfect value and then those product
cannot extent in the market.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
77
f) Low standard of export product:
The features of export trade of Bangladesh is low price rate of export product. The standard
features of export product are not very high. So, our export income is not extent.
g) Less income from export:
We get less income from export than import. Our export product is very few. So we can not get
proper income to export them. It is an important feature.
h) Export of manpower:
Export of manpower is another feature of Bangladesh export trade. Bangladesh earns many
foreign currency. B exporting efficient and non-efficient ma power to many countries every year.
i) Increasing the contribution of non-jute product:
Increasing the contribution of non-jute product is another main features of Bangladesh trade.
In 1974-75 about 83.32% income come from exporting jute and jute product and about 16.68%
income come from non-jute product. But in 1993-94 about 12% income come from jute and jute
product and 88% income come from non-jute product.
j) Increasing role of non-traditional goods:
The feature of export trade of Bangladesh in increasing role of non-traditional goods. Such as,
garments fruits tobacco etc. The demand of non-traditional goods is increasing day by day in the
international market. Bangladesh earns a lot of foreign currency every year from this sector.
At least we can say, all of the above points are important feature of export trade of Bangladesh.
Export trade is increasing day by day in compare to past.
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
78
Question-5: Problems of Export trade:
Like any other underdeveloped countries Bangladesh faces many problems in export trade. The
problems of export trade of Bangladesh are given below:
a) Lack of diversity of export goods:
The main problem of export food/trade of Bangladesh is lack of diversity of export goods.
Bangladesh exports only a few product such as tea, jute, paper etc. In export trade no new goods are
added. So, the income from export trade is very poor.
b) Up and down of the price of the export goods:
The problem of export trade-off Bangladesh is up and down of the price of the export goods.
The demand of those export products are up and down in international market. It is a problem.
c) Low standard of exportable goods:
The standard of our exportable goods is not so high. So, they cannot place in the international
market. It is another problems of export trade of Bangladesh.
d) Suitable of jute and jute goods:
The main export good of Bangladesh is jute and jute goods have a market value in
international market. But many countries people use “artificial fibre” as the suitable of jute and jute
goods. So, the demand of jute goods are decreasing day by day. It is another problems of export trade of
Bangladesh.
e) Increasing cost of production:
For many inflation after the liberation war the production cost of various product is increase.
For increasing production cost the value of product is generally increased. It is another problem.
f) Inadequate transport facilities:
Another important problem of export trade of Bangladesh is lack of transport facilities, we
need many ships by the route of sea. But we have not adequate ships. So, we have to face problem in
export trade.
g) Trade syndicate:
The trade syndicate among the westerns develop countries in the problem of export trade of
Bangladesh. They demand or high tax on our export goods. So, Bangladesh faces a great problems.
h) Lack of vast publicity and advertising:
The main problems of our export trade is lack of vast advertising in abroad. So, this product cannot
get much publicity. It is a problem.
At least we can say that, we cannot develop our export trade. So, we have to find out our
problems and take necessary measures to solve those problems.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
79
Question-6: Measures to increase exports of Bangladesh:
Answer:
To increase our exports we have to take following measures. They are discussed below:
a) More production:
At first we have to increase our production to increase or export. By the side of jute, tea, lather,
paper, agricultural goods, use have to increase our industrial goods to export. By increasing more
production we can increase our export.
b) Maintain the standard of production:
To increase export, we have to maintain the standard of our export products. If we maintain
the standard of product then this product can cut the attention in market.
c) Reduction of cost production:
To increase export, we have to reduce the cost of production. If we reduce the cost of
production then the cost or value of the product is less. For that those export product can cut the
market. It is very important.
d) Relation of domestic consumption:
If we can reduce our domestic consumption then our export can be increased. So it is an
important measure. Example: if the internal demand of tea is decreased then we can export more tea.
e) Development of transport facilities:
We can export our product in abroad within short time by developing transport system. For
this, export will be increased.
f) Reduction of export duty:
To increase export, we have to reduce export duty. If export duty is reduced then the demand
of those product will be increased in the abroad. So, it is very important for our export.
g) Standardization of product:
Standardization of product is an important measure for increasing export. If we classified our
export product and maintain standard of product then the value of those product will be increased in
market.
h) Sending the delights or representative:
To examine the probability of exportable product market, in many country sending the
delights is very important. Sending the delights is another measure to increase export.
i) Vast publicity or advertisement:
To increase the productivity of our exportable product vast publicity is needed. By attending
in different international industrial exhibition, we can increase or export. It is very much important.
At last we can say from the above discussion by taking those measures we can increase the
export of Bangladesh and can earn many foreign currency.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
80
Question-7: Causes of unfavourable balance of payment of Bangladesh:
Answer:
The main problem of foreign trade of Bangladesh is unfavourable balance of payment.
Bangladesh has to import many products than import product every year. For this, unfavourable
balance of payment in created. The causes of unfavourable balance of payment of Bangladesh are
given below:
a) Damage of independent war:
The main causes of unfavourable balance of payment are damage of industries during
independent war. For that, production is less and saw lacking in foreign
trade.
b) More import of machineries:
Bangladesh has to import more machineries every year to develop our industry sector and for
the damage of industry during liberation war. Bangladesh has to import more machineries. It is the
causes of unfavourable balance of Bangladesh.
c) Increase food shortage:
One of the cause’s o unfavourable balances of payment of Bangladesh is not fulfilled in food.
Every year, it has import more foods from abroad. So, increase of food shortage is a problem.
d) Low increasing rate of export:
Low increasing rate of export is another problem of unfavourable balace of payment of
Bangladesh. Bangladesh is not developed in export trade. So, for export trade there creates
unfavourable balance of payment.
e) Increasing rate of import:
Increasing rate of import in another problem of unfavourable balance of payment of
Bangladesh. Bangladesh import many goods every year. So, it creates problem in balance of payment.
f) High price of importable goods:
In recent world market, the price of importable goods such as- petroleum, wheat, oil, fertilizer,
raw materials of industry and other essential goods in increased day by day. And high price of
importable goods in one of the important causes of unfavourable balance of payment.
g) Low price of exportable goods:
Low price of exportable goods is another causes of favourable balance of payments. The price
of the exportable goods if not satisfied. For that reason, there increasing the lack in trade.
h) Money inflation:
Another season of unfavourable balance of payment is money inflation. After the liberation
war here placed money inflation. For many inflation, the production cost and value of product is
increased.
i) Unfavourable terms of loan:
Another important cause of unfavourable balance of payment is unfavourable terms of loan.
Bangladesh has to import products in high credit from the credit from doner countries. For this cause,
create unfavourable balance of payment.
j) Payment of foreign loan:
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
81
Bangladesh has to pay loan with high interest to the another countries every year. So, it is one
of the causes of unfavourable balance of payment.
k) More expenses on invisible needs:
More expenses on invisible heads is the another causes of unfavourable balance of payment.
Import to import many product from abroad, Bangladesh has expense on invisible heads. Such assanding education, purchasing ship from abroad etc. For those, she had to expense many foreign
currency.
From the above discussion we can say, those are the cause of unfavourable balance of
payment. Our government has to those causes.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
82
Question-8: Measure to remove unfavourable balance of payment:
Answer:
To remove unfavourable balance of payment, the distance between the export cost and
import is reduced. To remove unfavourable balance of payment the following measures shall be taken.
They are discussed below:
a) Increase of production:
At first we have to increase our production to remove unfavourable balance of payment.
Production of the exportable goods will be increased.
b) Increase of export:
Increase of production and decrease of internal demand we can export our many product in
abroad. So, increase of export is another measure to remove the unfavourable balance of payment.
c) Export increase of non-traditional product:
Another important measure in export increase of non-traditional product such as ready mate
garments, tobacco, fruits etc. It is important measures.
d) Self-sufficient in food range:
In present Bangladesh has to import about 15-20 lakhs ton foods every year. By selfsufficient in food range we can remove the unfavourable balance of payment.
e) Reduction of import:
It is another important measure to remove this problem. It can reduce import than we can
overcome this unfavourable balance of payment.
f) Restriction of import of luxurious goods:
For the purpose of removing unfavourable balance of payment, the import of luxurious goods
should be restricted. For that, the import cost will be reduced and the balance of payment is ok.
g) Promotion and development of export oriented industries:
For removing unfavourable balance of payment, promotion and development export oriented
industries shall be build up then we can export many goods.
h) Establishment of import substitute industries:
We establish many import substitute industries to remove it. Them we can reduce the
dependency on import industries. It is important measures to remove unfavourable balance of
payment.
i) Favourable terms of loan:
Another important course of unfavourable balance of payment is “unfavourable terms of loan”.
So, to remove unfavourable balance of payment we have to take loan on favourable terms from
abroad.
j) Protection of money inflation:
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Department of Management Studies
18th Batch (BBA)
University of Rajshahi
83
To remove unfavourable balance of payment, protection of money inflation is needed. If we
reduce money inflation then we can also reduce production cost and value of product. So, it is
important for removing unfavourable balance of payment.
k) Quality development of exportable goods:
To remove unfavourable balance of payment we have to develop the quantity of exportable
goods. Then the demand of our exportable goods is increased in the world market.
i) Reduction of interest rate of export loan:
If we can reduce the interest rate of export loan, then we can improve our balance of payment.
m) Extension of XPL scheme:
Extension of XPL scheme is another removal of unfavourable balance of payment. By
extending XPL scram we can increase the export of non-tradition product.
n) Development of private sector:
To remove unfavourable balance of payment development of private sector, besides of govt.
sector to increase export in private sector. The sufficient opportunity should be given the exporter.
At last from the above discussion, we can say that, if we take this measure then we can reduce
the unfavourable balance of payment.
--------------------------------------------------------------------------------------------Question-9: Foreign Aid:
Answer:
When one country takes help or loan for the economic development from abroad in called
foreign aid. Developing countries take loan or help from the developed countries for economic
development. This help is called the foreign aid.
For the development of developing countries external resources must be collected. These
resources are two types
a) private capital flows
b) official development assistance (ODA)
In private capital flows, private debt flows means the debt bond and another private bond,
which are given by commercial bank, private non-debt flows a means foreign direct investment and
the portfolio investment of have debenture. There is no charitable element in private capital flows; ti is
not called foreign aid.
Foreign aid means grants and loans, which in given by foreign govt. or agency to a developing
country for development and welfare with charitable condition so, for the foreign aid and official
development assistance. There must be two characteristics. Such as
a) The main purpose of the transaction in the development and welfare of receiving country.
b) Being charitable characteristics, it must be minimum 25% govt. granted elements.
So, one country take or loan for economic development from abroad in called the foreign aid.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
84
The kinds of Foreign aid:
Developing countries get various kinds of aid and load from other country. Foreign aid is
classified in the various kinds. They discussed in the below.
a) Project Aid:
Generally developed countries give prefect aid to developing countries are able to realize
their special project. As a result, developed machines, part of machine, materials etc are given to
developing country for prefect development.
c) Technical assistance:
Sometimes developed countries give technical assistance to developed countries. Developed
countries provide skilled machine, essential machines and tools for increasing technical knowledge
and research. This kinds of aid are known as technical assistance.
c) Commodity aid:
An outstanding part of foreign aid in given by product for fulfilling the demand of essential
commodities of aid taken country, crops, materials of industry, machine etc are given, This kinds of aid
are known as commodity aid.
d) Taka aid:
USA, Canda, Japan etc countries sometimes give foreign aid. Developing countries sell this
food in their own country and spent this money in various project work. This kind of aid in known as
taka aid.
e) Private foreign investment:
Sometimes private entrepreneurs of foreign country invest capital in developing country
directly or purchase share and debenture indirectly. This kind of direct or indirect investment in
known as the private foreign investment.
Above the discursion, they are the kinds of foreign aid. Foreign aids are essential for
developing country. So Bangladesh needs foreign aid also.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
85
Question-10: The importance of foreign aid in the economy of Bangladesh:
Answer:
Bangladesh is a developing country. Foreign aid in very essentials in the economy of
Bangladesh. The role of foreign aid in the economy of our country in discussed on the following:a) Fulfilling the lack of capital:
The main problem of economic development of BD in lock of capital. Most of the people are
poor and their per capital income in so low. As a result, it in impossible to supply essential capital for
economic development. In this situation foreign aid in taken to remove the lack of capital.
b) Development of Industry:
Adequate machine raw materials and other expensive things are very required in rapid
industrialization of Bangladesh. Most of this products are imported from foreign. For this we need
sufficient foreign currency. But, we have a great lack of capital. So, we have to take foreign aid for
collecting essential machines and raw materials.
c) Development in agriculture:
The economy of Bangladesh in mainly dependent on agriculture. For modernization of
agricultural system and development, purchase of agricultural tools, well seeds, purchase of fertilizers,
pump etc. are very essential. It in possible to collect required elements of agriculture through foreign
aid.
d) Proper utilization of natural resources:
They are no many resources which are not used properly in our country. It is not possible to
utilize the resources because lack of capital. For example- There in a great possibility of oil, coal, gas
etc. in Bangladesh. Foreign aid can play a vital role in searching and this resources utilizing properly.
e) Importance of technological knowledge:
Development technical knowledge in very essential in development of economy of a country.
But there is a great lack of technical knowledge in Bangladesh in this situation, Lock of technology
may be removed by foreign aid.
f) Solution of unemployment problem:
The population of Bangladesh in increasing day by day rapidly. For this reason,
unemployment problem is also increasing. By taking foreign aid. Bangladesh can establish more
industry and increase the facility of unemployment. As a result the problem of unemployment will be
solved and income and living standard and will also be increased.
g) Increase of standard living:
Without foreign aid, In Bangladesh cannot increase of the standard living of people. So,
foreign aid must be needed to solve the problem.
Above the discussion, we can say that, foreign aid are essential for developing country. So,
Bangladesh needs foreign aid also. Bangladesh cannot improve without foreign aid.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
86
Question-11: Disadvantages of foreign Aid:
Answer:
For economic development foreign aid is very much essential. But it has many disadvantages.
The disadvantages of foreign aid are given below:
a) Unfavourable condition of foreign aid:
Foreign aid is given by mainly conditionally. At the time of help donor countries give various
conditions to the done countries. This condition cannot always good for the liberation of a country. So,
unfavourable condition of foreign aid in main disadvantages.
b) High rate of interest:
Every country has to pay high rate of interest for giving foreign aid. This high interest rate is a
burden for a country. So, high rate of interest is another disadvantages.
c) Effect of development planning:
In many purposes, the development planning of done country is determine by the wise of
doner country. This is hamper for developing programme. It is another dis-advantage of foreign aid.
d) Bad use of resources:
The foreign capital investor always thinks their own interest. So, they use the other countries
resource. By the bad use of resources the economics infrastructure of a country is marked. So, foreign
aid is very much hamper is this side.
e) Lack of opportunity of technical knowledge:
The foreign investor does not employee countries people to the important sector. So, the people of
one country cannot learn technical knowledge and technology. So, the internal employees of a
country cannot learn any technical knowledge from abroad. It is another disadvantage.
f) Barriers of planned economy:
Sometime the help cannot proper time. This help hampers to the planned economy. So, sometime
foreign aid being barriers toward planned economy. It is another important disadvantage.
g) Dependence on others:
Foreign aid helps on country to depend on others for that, one country cannot be selfsufficient. It is one of the disadvantages of foreign aid.
h) Bad effects of political activities:
Sometimes the political activities of a country are hampered by foreign aid. The donor country
activities her interest. So, the political activities of a doner country are hampered. So, bad effects of
political activities is another disadvantages of foreign aid.
Finally we can say; “Trade not aid” should establish in our mind. Foreign trade had many
disadvantages. We should always conscious about foreign aid.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
87
Question-12:. Formation of domestic capital:
Answer:
For the development of our country the importance of foreign aid can not be described in
word. But too much measures to reduce dependence on foreign aid. The measure to reduce
dependence on foreign aid are given below:
a) Formation of domestic capital:
To reduce dependence on foreign aid at first, we have to increase our domestic capital. By
increasing the amount of saving we can people for saving. By this way we can reduce dependence on
foreign aid.
b) To achieve self-sufficiency in food:
For reduce dependence on foreign aid we have to achieve self-sufficiency in food. It is so much
important. Bangladesh has to import many food every year. By increasing production, we can be selfsufficient in food.
c) Establishment of alternative industry to take import:
Establishment of alternative industry to take import is another important measures to reduce
dependence on foreign aid. Now-a-days we have to import many goods and to make up their cost we
have to take aid. By establishment alternative way to import is an important remedy.
d)Expansion of export:
By increasing export we can earn foreign currency and then the dependence on foreign aid
can be reduced. So, increasing export is a last way to reduced dependence on foreign aid.
Form the above discussion we can say that all of them are essential for reduce dependence on
foreign aid.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
88
CHAPTER-SIX:
BANKING SYSTEM IN BANGLADESH
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
89
Question-1: Composition and management of Bangladesh bank:
Answer:
Bangladesh bank is the central bank of Bangladesh. After banking getting independence.
According to the Bangladesh bank ordinance 1972. The Bangladesh bank established with all the
liabilities and assets of state bank of Pakistan located in Bangladesh. Bangladesh started its activities
on 16 December in 1971.
The total payable asset of Bangladesh bank in 3 corer. Tk. This total money is paid by the
govt. So, this bank is totally directed by the govt. The director’s board has the whole authority to direct
the bank with one governor, two deputy governors and 8 directors, the Bangladesh bank. Governor is
the chairman of the bank. He is selected by the government for three years. The deputy governor also
selected by the govt. There is a creative committee for directly daily activity.
The members are the man selected by the government amongst the government, deputy
governor and the directors. The main office of Bangladesh bank is located in Dhaka Motizil and there
is a branch office in Khulna, Rajshahi, Bagura Shylet, Rangpur, and Barisal. For the smooth
functioning of the bank there are severed section of the bank such as banking sector, accounting
sector, control of banking sector, established sector, experiment sector, communication and publication
ssector etc.
--------------------------------------------------------------------------------------------Question-2: Functions of the Bangladesh bank:
Answer:
Bangladesh bank is the central bank of Bangladesh. It has several important functions which
are giver below:a)Issuing Note:
The main function of Bangladesh bank is issuing note in the country. Bangladesh bank follows
the minimum reserve system for issuing note policy. It issues the note in the market according to proper
demand.
b) Functions as a government bank:
Bangladesh bank act as a bank of other bank. It keeps all the account of other bank and give
them credit when necessary with a small intersects. It also keeps 5% reserve of scheduled bank or
their deposit.
c) Banker of the other banks:
Bangladesh bank act as a bank of other bank. It keeps all the account of other bank and give
them credit when necessary with a small intersects. It also keep 5% reserve of scheduled bank.
d) Credit control:
One of the main function of Bangladesh bank is credit control. By giving more credit create
money defilation. So, Bangladesh bank control the credit through bank tare policy, open market
policy. Reserve rate variation etc.
e) Control of foreign exchange:
Bangladesh bank control the foreign exchange. For getting proper exchange rate in trade. It
takes necessary steps and it also controls, balance of trade and payment.
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
90
f) Functions as cleaning house:
Bangladesh bank acts as a cleaning house of the other banks because for directing daily
activities the bank get cheque, draft, pay order etc. from the customers and for collection this money
scheduled bank, there is created a internal banking exchange which is solved by the central bank.
g) Loan issuing and its supervision:
Bangladesh bank issue loan to the Govt. when necessary and supervised the different deeds
such as different bond, securities issued by the Govt.
h) Other functions:
In spite of the above function, Bangladesh bank has some other function such as economic
research work, collection and supply of data, preparation data and report and publication, training of
the bankers and creation of economic planning etc.
Above the discussion, we can say that, there are the activities or functions of the Bangladesh
bank.
--------------------------------------------------------------------------------------------Question-3: Role of Bangladesh Bank in Economic development:
As a developing country like Bangladesh, Bangladesh play a vital role. In spite of its general
works Bangladesh bank do some extra activities. Development of banking system, planning and
exciting, agricultural and industrial development are described below:a) Development of banking system:
The banking system of Bangladesh is undeveloped. Bangladesh bank plays a important role
to develop banking system. Now, the total number of banks in Bangladesh is 7,500.
b) Issue loan:
The main barrier of economic development of Bangladesh is lack of capital. The loan system is
not sufficient in commercial bank and other loan issuing organization Bangladesh bank provides
capital to the commercial bank and other loan issuing organization.
c) Maintaining the stability of the price level:
Bangladesh Bank provides money for price stability and open market policy for credit
control.
d) Employment
Through the order of establish new banks and branch offices of existing band, Bangladesh
Bank creates employment opportunity.
e) Development of agriculture and industry:
Bangladesh Bank helps to develop trade in Bangladesh through providing loan. It also helps
in import and export business.
f)Development Planning:
Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
91
Bangladesh Bank helps the government and other planners to develop the country by
technical, physical, mental, practiced, training Bangladesh Bank play very important role in the
sector.
g) Control of foreign exchange:
Selection and control of foreign exchange rate is the main purpose of Bangladesh Bank.
Above the discussion, we can say that, the role of Bangladesh Bank in economic development
in very important. Bangladesh Bank play’s vital role for economic development.
--------------------------------------------------------------------------------------------Question-4: Commercial banking in Bangladesh:
Answer:
Commercial Bank of Bangladesh was under non-govt owned before of independence. It the
time of Pakistan, maximum owner of commercial bank was Pakistan. Two commercial bank was under
the owner of Banglai names estern mercantile bank and eastern Banking Corporation. 15 commercial
bank was in Bangladesh before independence. The total Branches of commercial bank was 1094.
Among the bank, 10 west Pakistani bank with 929 branches and 3 foreign bank with 14 branches was
active Bangladesh. The Head office was in Dhaka of due 2 Bank. The total branches was 151 of that
two bank and their total capital was 70 core taka.
The govt. of Bangladesh nationalized the post commercial bank for making socialistic country
after independence. The govt. established six stated commercial bank 1977 on 26 march. The mane of
the bank established renewed. The name of the bank are Sonali bank, Janota bank, Agrani bank,
Rupali bank and uttora bank. Now, 4 bank are under the govt. owned names, sonali bank, jonota
bank, Rupali and Agrani bank. Besides the two bank are under the non-govt owned name- pubali
bank and uttora bank. Besides this bank, many non-govt owned bank has established names National
bank, the city bank, the IFIC bank, Islamic bank, Estern bank, Dhaka bank etc.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
92
Question-5: Functions of the commercial Bank:
Answer:
The main functions of the commercial bank are described in the below:a) Talking deposit:
The main function of the commercial bank is to take extra money of people as a deposit. There
are three types of taking deposit. Such as1) Current deposit
2) Saving deposit
3) Permanently deposit
b) Inspiration for saving
Another functions of commercial bank is to give the inspiration of people for saving. The
commercial bank gives interest on saving. The commercial bank plays a vital role in capital formation.
c) Giving credit:
The commercial bank gives loan for trade, industry etc. This bank gives loan as accurate
capital for short time not the long time.
d) Creating exchange system:
The commercial bank creates exchange system of different note. Only Bangladesh bank can
create note. But the commercial bank issues bank draft, travel cheque, bill of exchange as a media of
exchange.
e) To help in Business:
The another main function of commercial bank is to help in business by giving information as
well as by issuing bank draft, travel cheque, hundi etc.
f) To give loan in agriculture sector:
By giving loan facilities is agricultural sector is another functions of commercial bank because
about 32% national income come from agricultural sector.
g)Another function:
There are some another functions of the commercial bank. They are1) Deposit valuable things.
2) Selling and buying of share in favour of owner.
3) Giving insurance premium.
4) Collect hundi infavour of owner etc.
Above the discussion, we can say that the commercial bank perform.
The above important activity.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi
93
Question-6: Role of commercial bank:
Answer:
Commercial bank play a vital role in economic development of Bangladesh. The role of
commercial bank is described in the below:a) Capital formation:
Capital is the essential element for economic development. Commercial bank takes deposit
through giving interest on this loan. As a result, commercial bank plays a vital role in capital
formations.
b) Giving inspiration in investment:
The main function of commercial is to invest of saving money in different sectors. Commercial
bank give loan a on sector of production whom have no money but interested.
c) Extension internal business:
Commercial bank also helps in extension of business Commercial bank, gives short term in
business which helps to extending the business sector.
d) Helps in developing industry:
Commercial bank play an important in developing industry Commercial bank gives loan
easy terms for developing industry. This bank gives support current capital.
e) Helping in developing agriculture sector:
Commercial bank also plays an important role in developing agriculture. As a developing
country, there is great need of sufficient loan in agriculture sector. Commercial bank gives this loan for
developing agriculture sector.
f)Extension of foreign trade
In foreign trade, Commercial bank also plays a vital role. Foreign trade creates
communication with different country. Commercial bank helps to extend foreign trade through
buying and selling with foreign currency.
g) To increase capital formation:
Commercial bank transfer capital from one place to another place. Commercial bank role to
increase capital formation.
Above the discussion in this way, Commercial bank plays an important role for economic
development.
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Edited by Md. Al-amin Hossen
Department of Management Studies
18th Batch (BBA)
University of Rajshahi