Less numbers of privately-owned business in the country have steeped in to join the government’s battle against growing outbreak of coronavirus in the country. Economists have urged the private businesses to take care of at least their staff to ease the burden on the government. “Private organizations must come forward with the government to tackle the situation. Even all the sectors are affected, but the businesses have the capability to do some for the country. If all private organizations at least help their staff, the pressure on the government will reduce to some extent,” said Dr Selim Raihan, executive director of South Asian Network on Economic Modeling (SANEM).
Data from Bangladesh Bureau of Statistics shows that the number of businesses in the country is about 78 lakh. According to a 2019 survey by International Finance Corporation (IFC), eight percent large industries in Bangladesh hold a large amount of capital while 37 percent is held by small companies and 14 percent by medium industries.
Thirteen big companies those operated in construction, agriculture, garments, telecommunication, electronic, food, steel, mobile, and medicine have annual revenue of Tk 8,500 crore to Tk 14,500 crore, it says. These organizations are AK Khan Group, Bashundhara Group, Meghna Group, Square Group, TK Group, Akij Group, Beximco Group, United Group, City Group, PHP Group, Pran Group, and Partex Group.
Some other groups whose annual revenue is between Tk 4500 crore to Tk 8500 crore are Noman Group, BSRM Group, KDS Group, Ha-Meem Group, ACI Group, Transcom Group, Violatex Group, Pacific Jeans, Confidence Group and Walton Group. Companies, however, are yet to make any significant impact on the government’s fight against Covid-19.
Amid the virus outbreak, the government announced a set of stimulus packages of Tk 95,619 crore -- 3.3 percent of GDP – in to offset the economic fallout.
Some companies and non-government organizations took different initiatives but those have little impact. Renowned NGO BRAC will distribute Tk 30 crore among poor people while business conglomerate Bashundhara Group donated Tk 10 crore to Prime Minister’s relief fund. Beximco Group, Jamuna Group, United Group, Walton, Rupayan Group, Amin Mohammad Group, along with different government bodies contributed to the PM’s Relief Fund. Several banks and financial institutions followed the suit.
Bashundhara will set up a 2,000-bed hospital to treat coronavirus patients while e Bangladesh Garment Manufacturers and Exporters Association coordinates with five of its member companies to convert their production lines to manufacture 500,000 personal protective equipments (PPEs). Economist, however, urged the businesses to do more to defeat the virus. “If we do not win this fight, we will pay the price”, said Dr Selim.
