Conflicting situation in Middle East may affect Bangladesh economy: PM

The conflicting situation in the Middle East may affect the economy of Bangladesh, Prime Minister Sheikh Hasina said in the parliament today (8 May).

"It can be presumed that the brunt of the conflicting situation in the Middle East may affect the social, political, and economic aspects of Bangladesh as well as the whole world," she said while responding to a question from Samil Uddin Ahmed Shimul, MP for Chapainawabganj-1, during the prime minister's scheduled question-answer session in parliament.

Sheikh Hasina mentioned the possibility of a slight rise in inflation due to instability in the global market, inconsistency in market management, and the increase in global fuel prices.

In addition, the disruption of the commodity supply chain due to the conflicting situations may increase transportation costs related to exports primarily to Iran or neighbouring regions, she observed.

She noted that "exporters may face tougher competition for this, as the cost of manufacturing and supplying products increases."

The premier said she has directed all concerned ministries or departments to monitor the ongoing events in the Middle East and determine their own course of action.

"I've given instructions to take necessary preparations, especially considering that this conflict might prolong, and assessing the impact on various sectors," she added.

The premier, however, said there is uncertainty regarding the magnitude of this conflict and what will be its economic impact. 

"To deal with the situation, there may be a need to support the sector with an emphasis on export trade," she said.

Mentioning that Bangladesh is against all forms of conflict, Sheikh Hasina said: "We believe in the path shown by Father of the Nation and the principle - "friendship to all, malice towards none."