Economic Corruption Inhibits Business Growth
Stakeholders call for enhanced corporate social responsibility in Bangladesh

State Minister for Labour and Manpower Mr. Md. Lutfar Rahman Khan, MP delivers his speech as the Chief Guest. From left to right are: Mr. Ahsan Ullah Master, MP, Mr. Syed Manzur Elahi and Mr. Al-Ameen Chowdhury

Participants at the CPD dialogue on Corporate Responsibility Practices in Bangladesh: Where do We Stand? identified corruption as one of the most threatening factors which limits the prospects of business growth in Bangladesh. Corruption must be eliminated to restore competitiveness of Bangladesh corporate sector and to ensure a sustainable development of the country.

The dialogue held at the CIRDAP Auditorium, Dhaka, on August 4, 2002 was attended by a cross-section of people including entrepreneurs, corporate executives and officials, researchers, academicians, politicians, journalists, members of the civil society, members of the diplomatic corps and representatives from the development partner organisations. State Minister for Labour and Manpower of the Government of Bangladesh, Mr. Md. Lutfar Rahman Khan, MP attended the dialogue as the Chief Guest. Opposition lawmaker and Chairman of Bangladesh Institute of Labour Studies (BILS) Mr. Ahsan Ullah Master, MP was the Special Guest. Mr. Al-Ameen Chowdhury, Secretary, Ministry of Industries, Government of Bangladesh, was the Guest of Honour. Mr. Syed Manzur Elahi, a former Advisor to the Caretaker Government of Bangladesh and a Member of the CPD Board of Trustees moderated the session.

The keynote presentation was made by Dr. Ananya Raihan, Research Fellow, CPD. Dr. Raihan presented the major findings of the CPD-TERI (UK) study on Corporate Responsibility Practices in Bangladesh: Evidence from a Benchmark Study .The study was undertaken by a CPD team which included Dr. Debapriya Bhattacharya,

Executive Director, CPD, Professor Mustafizur Rahman, Research Director, CPD and the presenter himself. According to the study, a section of corrupt businessmen in alliance with corrupt officials and politicians have contributed to the continuing decadence of business ethics in the country. Dr. Raihan pointed out that the level of interaction among the stakeholders is very low which is proved by the widespread reluctance on the part of the companies in taking the opinion of the stakeholders into consideration in formulating their corporate goals and strategies. The study findings showed that if the corporate sector of the country was to do business in an increasingly competitive world they would need to shoulder more social responsibility and pay attention to improving, the working environment in Bangladesh. More investment is required in the area of human capacity building-he said.

Pointing out the relevance of the issue for Bangladesh, CPD Executive Director Dr. Debapriya Bhattacharya noted that country's industrial sector is passing through a transition when its negotiating strength at the global level is likely to depend on the extent to which the corporate entities comply with the global business standards. Mr. Syed Manzur Elahi observed that compliance with environmental, social and labour standards is not a matter of choice for Bangladesh if she is to pursue an export-led growth. Terming the corporate social responsibility issue as a big step towards ensuring required standard in business, Srameek League President Mr. Ahsan Ullah Master, MP thought that generating wealth in a fashion which is socially or ethically unjust or unsustainable would prove to be counter-productive in the long-run. The Chief Guest of the session, State Minister for Labour and Manpower of the Government of Bangladesh, Mr. Md. Lutfar Rahman Khan, MP lent his supports to the concerns raised in the CPD study as regards corporate practices in Bangladesh and its market access implication. He mentioned that the government considers the business standard issues as very urgent and pointed out that it is not an easy task to attain.


Former Foreign Secretary Mr. Farooq Sobhan takes part in the open floor discussion. Former State Minister for Health and Family Welfare Prof. M. Amanullah and a noted Industrialist Mr. Saidur Rahman are also seen in the picture