Bangladesh: PM Hasina calls for strategy to reduce subsidies

The Prime Minister of Bangladesh has advocated the need to gradually come out from the subsidy system in the power and energy sector, reports the official news agency BSS. Briefing the media after the meeting of the Executive Committee of the National Economic Council (ECNEC) on Tuesday, Planning Minister M A Mannan said that the process will start and it will need to be done gradually and gently. The subsidy should be given to the right places like slum communities, farmers and poor,’ the PM was quoted as saying. Prime minister Sheikh Hasina said that a huge subsidy is provided now. ‘We’ll have to come out of the subsidy. The subsidy is not a just thing. Some people are getting it and some others are paying for it.’
The minister said that the government has been giving subsidies in many  sectors. He said the Prime Minister has suggested coming out from the subsidies gently which should also be economically acceptable. State Minister for Planning Dr.Shamsul Alam said that power sector subsidies are costly and there is a need to reduce subsidies for the industrial sector. However, he said that the subsidy in the agriculture sector would continue as usual. Shamsul Alam said no discussion was held over agricultural subsidy in the meeting. ‘The agricultural subsidy will continue as it will help increase production,’ he said.