The COVID-19 Pandemic, Post-pandemic Challenges and Poverty Dynamics in Bangladesh: Evidence from a Longitudinal Household Survey
Citation: Fielding, D., Raihan, S., Imai, K., Das, U., and Uddin, M. (2024). The COVID-19 Pandemic, Post-pandemic Challenges and Poverty Dynamics in Bangladesh: Evidence from a Longitudinal Household Survey. SANEM Publications, Dhaka, Bangladesh.
Bangladesh has witnessed remarkable economic growth and development in the last three decades. However, the COVID-19 pandemic, followed by the Russia-Ukraine war and the global energy crisis, has put Bangladesh to the test on several frontiers. There is a growing need to understand the impact of the COVID-19 pandemic and the post-pandemic challenges on poverty, inequality, employment, education, healthcare, and food security in Bangladesh. This study aims to provide insights into these parameters based on a nationally representative household survey.
Based on the survey findings, this study recommends five key policies. First, the government needs to roll out social security programmes across the nation as stipulated in the National Social Security Strategy (NSSS). Particular attention must be given to the urban poor and new poor households. Second, there should be more budgetary allocation and specific policies for the education sector to address the issue of children missing in education, reduce school dropout rates, and recoup the learning loss impeded during the pandemic. Third, it is high time the government emphasises increasing the tax net and restructuring the existing tax frame. This is because increasing budgetary allocations for the education and social security programmes would require a larger fiscal space. Fourth, the government needs to undertake more active labour market policies to reduce the unemployment rate among men, youth, and permanent returnee migrant workers. And lastly, the government must undertake alternative and complementary policies to reduce the inflationary pressures on households. This should include, more increased monitoring of the market, as well as liberalising the import tariff on many of the staple foods in Bangladesh. An increased supply of essential foods (such as dairy, meat, fruits, etc.) would help Bangladesh to tame down the price level. This should be complemented with supporting fiscal and monetary policies.
