Resume all business activities

We welcome the government’s decision to allow the export-oriented factories to resume production from August 1. The manufacturers are now looking forward to the busy days ahead to boost production and prepare to fulfill the export orders. However, resumption of export-oriented garment industries is hardly enough. We want all business activities to open as well as we cannot put in jeopardy livelihoods of millions of workers and employers. We have seen the detrimental impacts of several nation-wide lockdowns in the wake of Covid-19, especially on low-income, subsistence workers and workers who are dependent on daily wages. Even in good times, raising funds is difficult for small businesses and startups and even more so in times like these. Of course, there should not be any compromise regarding maintaining the strictest health standards in the business units once they are opened. The livelihood concern of the poor can no longer be overlooked.

If the markets are shut, demand will naturally fall. Any prolonged shutdown means that demand will go down. Production cannot continue if sales stop. All steps should be taken to ensure that the country does not get in the quagmire of such a vicious cycle.

In a country like Bangladesh blanket lockdowns cannot be a solution. According to all indications the Covid pandemic is not going away anytime soon. Bangladeshis are a resilient and innovative people. They will have to learn to live with the pandemic. The greatest challenge we face in the current crisis is striking the right balance between preventing not only the damage inflicted by Covid-19 but also that which comes from a severe contraction of economic activity. This challenge needs to be met as the economy must not be allowed to screech to a grinding halt.

We admit that in most developed countries, stay-at-home orders have been the cornerstone of the coronavirus response. But as we have learnt since the beginning of the pandemic, taking a one-size-fits-all approach does not fit with the needs of Bangladesh and most of the developing world. A huge number of Bangladeshis are part of the informal economy. They often also have no savings and need the money they earn each day to feed their family. In the developed countries the social safety network is strong. In countries like Bangladesh there is little data available on those working in the informal sector and consequently providing financial aid to them is virtually an impossible task for the government. The lockdowns, in addition to causing all sorts of misery, are not even stopping the spread of the virus.

Focusing only on the health challenges and not paying attention to the economic issues will result in significantly higher economic costs, and will also undermine the health imperatives. We believe that a protracted lockdown will not necessarily have the effect of ridding the country of the virus, but it will result in unacceptably high health and economic consequences.

We must find smart strategies for reopening businesses while minimising health risks. Extended lockdowns are economically unsustainable. The authorities need to formulate a unified health and economic strategy that allows for full economic activity while inhibiting the uncontrolled spread of the virus.

The concerned agencies should follow a very concerted strategy of what has succeeded across the world which is testing, contact tracing and massive vaccination strategy. That is a better solution for Covid-19 pandemic, than imposing lockdowns at regular intervals. Economic activity should not be adversely impacted. If lockdowns continue to impact economic activity, more people will slip below the poverty line and will have a huge impact on the future of millions. The planes and trains must operate, our ports must run, our exports must take place, our businesses must function without hindrance.

The government should enforce adequate health guidelines that will necessarily shield our businesses and industrial workers from virus infections.