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Published on June 11, 2014
The budget has been hailed widely as an “investment friendly” one, which is essential for realizing the target of 7.3% growth to be achieved by this year and 10% growth by 2021 as outlined by the Finance Minister in his budget speech. In this report we look at how the budget for the 2014-15 fiscal year deals with some of the key sectors for development and how these sectors fit in with the overriding objective of human development, namely: poverty reduction, food security, education, health, women’s empowerment and child welfare.
Poverty Reduction
When the Awami League (AL) government took office in 2009, around 50 million people were poor, of which 2.8 million were ultra or extreme poor. In the five years which passed since, despite a 1.16% population growth, the number of poor people have been brought down to 38.5 million and the number of ultra poor has been brought down to a little over 1.5 million. Thus, in the five years since AL came to office, 45% of the ultra poor have been pulled out of the clutches of extreme poverty.
Although initially the government’s target was to reduce poverty to 13.5% by 2021, in light of the successes in the last five years, this target has now been revised so that the target is to reduce poverty to 10.2% by 2021. As for extreme poverty, the government’s target is to eradicate it by 2018. To that end, apart from the various allocations for sectors which impact upon people’s wealth and income, TK 1.5 billion has been specifically allocated for programmes and projects to eradicate extreme poverty by 2018. The measures being adopted include:
Over the last five years, the government has adopted and implemented a number of social safety programmes such as stipend programme, special stipend programme for the physically challenged students, allowances for insolvent disabled persons, old age allowances, allowances for widows and divorced women, allowances for expecting and lactating mothers, food for works programme, test relief, gratuitous relief, food assistance for destitute mothers, char (off shore islands) livelihood project, one house one farm project, special allowances for Hijla (transgender) dalit (backward Hindu castes) and other neglected segments of society and so on. These poverty reduction social protection programmes will be continued in the current fiscal year too.
Additionally, steps have been taken for addressing the housing problems of marginalized sections of society. For instance, works are underway for providing houses for accommodating the cleaning staffs of Dhaka City Corporation. TK 500 million has been allocated for similar programmes in other divisional and district towns. The government has almost finalized the “National Social Protection Strategy” and steps have been taken to prepare a list of hardcore poor and a “National Population Register” for proper identification of beneficiaries of social safety net programmes.
Some of the current government’s future plans for eradication of poverty include:
Food Security
In its last tenure, the Awami League led government placed top priority to food security. Necessary allocations had been made to this sector to implement the National Food Policy and Bangladesh Country Investment Plan (CIP) 2009. There was adequate supply of food at fair price in the market throughout the government’s last tenure because of efficient management. In the present term, the government’s aim is to ensure food safety and its equitable distribution. In its last tenure the government planned to enhance the storage capacity of food warehouses to 2 million metric tons by 2015. Already the government has achieved to store the requisite quantity before time. The government now plans to increase the capacity to 2.5 million by 2025. TK 16.85 billion has been allocated for the food ministry.
Education
Country’s education sector received the highest allocation of TK 292.13 billion for fiscal year 2014-15. Of the allocation, TK 136.73 billion has been allocated for primary education and TK 155.4 billion for tertiary and higher education. In his budget speech, the Finance Minister outlined the government’s plans to implement most aspects of the Education Policy 2010 in the next four years.
Attention would be focused on improving the quality of education; adopting modern technology based teaching methods and continuing adequate infrastructure building. There will also be an initiative to improve the teacher-student ratio to an acceptable level. Madrassah education will be modernized to bring them in line with mainstream education, such as by introducing IT skills. Emphasis will also be laid on imparting vocational and technical education. Currently technical schools are being built in each Upazila. This is expected to be complete soon. There are plans to introduce vocational training courses at secondary and higher secondary school levels.
Innovative techniques are being considered and employed to give students the best possible outcome from their education. Discarding the traditional curriculum which encouraged rote learning without proper appreciation for lessons, the government has introduced creative questions in examinations. Universities are going to be built in every district of the country. The government has plans to formulate a Primary Education Policy, reorganising school management committees and Upazila and city education committees as well as implementing the Non-Formal Education Policy.
Within the broad coverage of Basic Literacy Programme throughout the country, there are plans to provide 4.5 million illiterate adolescents and people belonging to the age group of 15-45 years with basic literacy and livelihood training. Pre primary education has been introduced at all primary schools. The government has formulated an inclusive education manual for the mentally disabled children and people living in inaccessible areas. The relevant teachers have been trained on the manual.
In his budget speech, the Finance Minister outlined the government’s plans to produce skilled workforce, both for the local market as well as abroad. According to the plans, the government will produce a total of 260,000 skilled people for the local market in the next three years, and 1 million skilled people for the overseas market in the next 15 years. For the local market, the government has identified five growing sectors as requiring immediate influx of skilled labour: garments, construction, information technology, light engineering and ship building. TK 500 million has been allotted specifically for implementing the commitment of creating skilled workforces.
Health And Family Welfare
TK 111.46 billion has been allocated to the health sector which marks a rise from last fiscal’s allocation of TK 90 billion. In its last tenure, the Awami League government took the initiative to build 13,500 community clinics, one each for every 6 thousand people, with a view to extending the health care facilities to the grass root level. As of now, service delivery has begun at 12, 557 community clinics while 943 clinics are still under construction. The government plans to deliver maternal health care services through these clinics. The government’s ultimate goal is to reduce maternal mortality rate down to 143 per 10,000 live births.
The government is aiming to raise average life expectancy to 72 years by 2021. At the same time, they will strive to provide easy access to reproductive health service delivery system to reduce birth rate. The government is also working on expanding tele-medicine service. Moreover, special measures are being taken to introduce social health insurance programme, as early as possible, in order to bring down the medical expenses within the affordability of the poor.
Attempts will be made to enhance the skill of healthcare institutions and healthcare regulatory agencies. Initiative will be taken to build appropriate regulatory framework and enhance institutional and technical facilities for controlling the quality of herbal medicine. The National Drug Policy 2005 will be updated and the drug testing laboratory will be modernized.
Health And Family Welfare
TK 111.46 billion has been allocated to the health sector which marks a rise from last fiscal’s allocation of TK 90 billion. In its last tenure, the Awami League government took the initiative to build 13,500 community clinics, one each for every 6 thousand people, with a view to extending the health care facilities to the grass root level. As of now, service delivery has begun at 12, 557 community clinics while 943 clinics are still under construction. The government plans to deliver maternal health care services through these clinics. The government’s ultimate goal is to reduce maternal mortality rate down to 143 per 10,000 live births.
The government is aiming to raise average life expectancy to 72 years by 2021. At the same time, they will strive to provide easy access to reproductive health service delivery system to reduce birth rate. The government is also working on expanding tele-medicine service. Moreover, special measures are being taken to introduce social health insurance programme, as early as possible, in order to bring down the medical expenses within the affordability of the poor.
Attempts will be made to enhance the skill of healthcare institutions and healthcare regulatory agencies. Initiative will be taken to build appropriate regulatory framework and enhance institutional and technical facilities for controlling the quality of herbal medicine. The National Drug Policy 2005 will be updated and the drug testing laboratory will be modernized.
Women Empowerment And Child Welfare
The budget for fiscal year 2014-15 keeps a special allocation of TK1 billion for development of women. The Women Development Policy 2011 has been and will be the guiding document for women empowerment and their overall development in Bangladesh. In August 2013, Ministry of Women and Children Affairs formulated a national work plan for implementing the Women Development Policy, 2011. This policy clearly stated the responsibilities of each ministry/division regarding women development. 40 ministries took this document into consideration when preparing the budget for the fiscal year 2014-15.
TK 500 million has been allocated for children’s welfare programmes. In the next fiscal year, the government is committed ensuring the physical and mental development and fulfilling their nutritional requirements. The government has plans to update the National Children Policy in accordance with the UN Convention on Rights of Children. Child labour has already been banned during the last tenure and effective enforcement of the law is being closely monitored. The government plans to introduce child budget on a pilot basis from fiscal year 2015-16.
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