The announced government policy of providing emergency loans with low interest might not be very effective for the betterment of the economy, Policy Exchange Chairman Dr M Mashrur Riaz said.
"Had the government made progress in the country's health sector on its own, the economy would have been boosted," he said while sharing his thoughts on the proposed budget for the fiscal 2021-22.
Dr M Mashrur also noted that generating loans from the private sector will damage the economy.
"In this case, the economy can be kept afloat by selling savings certificates," he added.
He also criticised the government for failing to increase economic capacity.
"The government has made arrangements to keep the economy afloat through foreign loans of Tk97,000 crore, but it is necessary for the government to increase its capacity," the policy Exchange chairman said.