Reforms on in financial sector, there’ll be little pain: Dr Mustafizur

Economist Dr Mustafizur Rahman, Distinguished Fellow of the Center for Policy Dialogue, emphasised on Saturday that the ongoing reforms in different sectors including financial sector may cause temporary discomfort, but this should be accepted for long-term benefits.

Speaking as the chief guest at the Debate for Democracy competition held at Dhaka's FDC on Saturday (August 21), Mustafizur addressed the importance of these reforms in ensuring good governance in the financial sector. The event was presided over by Debate for Democracy Chairman Hasan Ahmed Chowdhury.

Mustafizur noted, “We are currently in a period of reforms. There will be some pain in this process, but it is necessary for the medium and long-term gains. We must tolerate this temporary discomfort for the greater good.”

He highlighted that financial transaction information from five major industrial groups has been requested to ensure transparency and accountability. Mustafizur assured that depositors and responsible businessmen have no reason to worry about the reforms being implemented in banks and other financial institutions.

Addressing concerns, Mustafizur pointed out that while some businessmen have caused damage to the financial sector, the ongoing reforms are focused on strengthening institutions rather than individuals. He also acknowledged the challenges of recovering money smuggled abroad but stressed that efforts are being made to stabilise weak banks through new boards or administrators, ensuring depositors' safety.

Hasan Ahmed Chowdhury added, “The upcoming white paper from the interim government is expected to expose all financial irregularities and corruption. It's crucial to stop the bleeding in the financial sector, bring loan fraudsters and money launderers to justice, and ensure visible punishment.”

He stressed the importance of restoring the independence of Bangladesh Bank and called for political will to ensure transparency, accountability, and good governance in the financial sector.