Country’s present macroeconomic condition is very good compared to the situation prevailed nearly one year ago.

World Bank Vice President for the South Asia region Johannes Zutt came up with such remark during a meeting with Finance Adviser Dr Salehuddin Ahmed at later’s office at Bangladesh Secretariat today.

The Finance Adviser briefed reporters after the meeting.  

When sought about the opinion of the World Bank delegation on the overall macroeconomic situation of the country, the Finance Adviser said, “the World Bank has commented that the macroeconomic state is now very good.” 

“Nearly a year ago, we had thought that the situation would be very difficult for us to handle, but now we think we are on the right track,” Salehuddin said.

He said Zutt in his new capacity would look into the operations of the World Bank in the South Asia while under the new system his office would be in New Delhi instead of Washington DC as per bank’s changed decision.

The Finance Adviser said Zutt is well aware of the World Bank’s continued support to Bangladesh in various projects as well as in budgetary support.

He said the World Bank delegation expressed satisfaction on Bangladesh’s overall current macroeconomic situation as nearly one year back it was assumed that Bangladesh would fall into tough challenges.

Dr Salehuddin Ahmed said that the World Bank Vice President has acknowledged the better condition of the country’s financial sector, balance of payments, and the foreign exchange sector.

Stressing importance on the private sector, he said the World Bank Vice President suggested for private sector development alongside giving focus on attracting more FDI.

On the whole, the Finance Adviser said, Johannes Zutt acknowledged the current better economic condition of Bangladesh compared to the other countries.

Referring to his previous assignment as the World Bank country director in Bangladesh nearly 10-12 years back, the adviser said, Zutt in a positive sense has noted that there had been a lot of changes in Bangladesh over the years in the areas of the development of physical infrastructures.

The issues relating to the operations of the IFC were also discussed in the meeting.

Answering to a question, the Finance Adviser said that the interim government has availed whatever support it had sought from the World Bank.

He informed that the next cycle of expected support would be raised in the upcoming Annual Meetings of the World Bank-IMF Group in October.

Replying to another question, Dr Salehuddin said that the World Bank is happy over the reform initiatives in the financial sector including in the NBR.

He said the restructuring of banks has already started from the Bangladesh Bank while they would also like to see the full implementation of the decision of separating the NBR into two entities although it would take some time.

Salehuddin said, there were also discussions over the Chattogram Port, container terminal at Laldia while the World Bank agreed to extend support in the infrastructural sector.
 
When asked about the US tariff issue, the Finance Adviser said that it is not possible now to divulge on the issue in details as the Commerce Adviser and leader of the negotiation team upon his return would inform about the development.

The World Bank’s new Vice President for the South Asia Region, Johannes Zutt, arrived in Dhaka yesterday.
 
The World Bank as one the first development partners to support Bangladesh since its independence, has so far committed about $46 billion to Bangladesh, mostly in grants or concessional credits.