Planning in Bangladesh

Presented ByNameTanzim AhmedDebika DasSumaita RafiaMahbuba Rumi Syfur Rahman Masum

Department of Public Administration. Shahjalal University of Science & Technology.

Objectives of The Study

To Know the Planning Process in BangladeshTo Know the Objectives, Goals & Achievement of Five Years PlanningTo Know the Evaluation Five Years Plans

Planning

-Anticipatory Decision Making Process -Process of Making Plans for Something.-Identify What the Organization Wants to

Do-Prepares a Sequence of Action Steps to

Achieve Some Specific Goal.

Set Goal

Gather Data

Analyze Data

Alternative

Strategies

Implement Plan

Monitor Plan

Forecast

Select Suitable Strategy

from Alternativ

es

Authority

Planning Process

Planning in Bangladesh

Planning Commission is the Central Planning Organization of the Country.Planning Commission Prepares Perspective Plan , Five Years Plan, ADP.Planning Commission Mainly Works Through NEC, ECNEC.Planning Division Works as the Secretariat of the Planning Commission

Development Strategy

Five Years Planning(6th(2011-15) & 7th(2016-20)

Perspective Plan (2010-2021)

Vision-2021

Annual

Developm

ent

Programme

(ADP)

Perspective Planning Refers to Long-Term Planning in which Long Range Targets are set in Advance for a period of 10,15, or 25 Years.

Perspective Plan

Operationalized Through Several Short-Period Plans of 4, 5 or 6 Years. World’s First Perspective was in Soviet Union (1945-55) Bangladesh First Perspective Plan is Vision-2021

The Plan will be Implemented Through the Sixth Five Year Plan(2011-2015) and the Seventh Five Year Plan (2016-2020).

Perspective Plan in Bangladesh(Vision-2021)

Objective:• Raising Per Capital Income to US $

2000• Become a Middle Income Country • Reduction of Unemployment Rate to

15 Percent.• Decrease in the Number of People

Below Poverty Line to 25 Million.• Increase GDP Growth Rate to 8%• Extreme Poverty will be Around

8.9%• Create 3.0 Million Surplus Jobs

Five Years Plan

-A Government Plan for Economic Development over a Period of Five Years.-Word “Five Years Plan” first Used by Plato in his Book “Republic”.-Introduced by Joseph Stalin in Russia (1928-32)-Introduced by China in Asia

Five Years Planning in BangladeshIntroduced by Liaquat Ali Khan in 1950 in Pakistan.Three Five Years Planning in Pakistan from 1955-1970Introduced by Bongobondhu Sheikh Mujibur Rahman in BangladeshEstablished Planning Commission in 1972First Five Years Plan (1973-78)Seventh Five Years Planning is Running

Five Years Planning Process Evaluation of Past Plan

Performance by GEDGED Prepares of Technical/

Policy Framework Indicating Desirable and Realistic Growth

Rate

Reconciliation of Sectoral Plans with the Macro Framework of FYP

Resource Forecast in Co-operation with IRD, FD, ERD Reconciliation

Resources/DemandsSector Divisions Prepare Sectoral

Plans/Programmes

Demand of Resource by

Ministries/Agencies

Place before NEC for Approval

Annual Development Programme

An organized list of projects in various sectors for a year out of a five-year plan period for implementation of the government's development policies, programmes and investments in the plan

Process of Annual Development ProgrammeEstimates the Resources Availability for the ADPConsult the ADP for the Previous Year

Preparation of the Draft ADP by Programming Division Review by Programming Division

ADP Final Draft Submitted to the Planning Commission for Finalization Submits the final ADP to NEC for formal Approval

Planning CommissionPakistan Planning Commission.1953

1956

1971

1972

1975

1977

Planning Board (was renamed as East Pakistan Planning Department.) Planning Cell

Bangladesh Planning Commission

Planning Cells in Different Ministries/ Divisions

External Resource Mobilization. (Later it was placed under M/O Finance)

ChairpersonPrime Minister

Vice ChairmanMinister of Planning Member

SecretarySecretary, Planning Division

Member, Socio-Economic Infrastructure Division

Member, Programming Division

Member, Industries and Energy Division

Member, Agriculture, Water Resources and Rural Institution Division

Member, Physical Infrastructure Division

Member, General Economics Division

Structure of Planning Commission

Functions

Formulates PolicyPrepare Short, Mid-term and Long-term Plan Perspective PlanFive years PlanPreparation of ADP Poverty Reduction Strategy PaperEvaluation of plans & their impact on the economic development

Linkages with other Ministries/Divisions/Organizations

PlanningCommission

NEC/ECNEC

Economic Relations

Divisions(ERD)

Finance Division

Ministries/

Divisions

Implementation

Monitoring and

Evaluation Division

(IMED)

National Planning

& Developm

ent Academy (NPDA)

Internal Resources

Divisions(IRD)Banglad

esh Institute

of Develop

ment Studies (BIDS)

Statistics Division (BBS)

Objective:Economic Rehabilitation of War Damaged Economy

Reduce PovertyAgriculture & Industrial DevelopmentIncrease the Rate of Growth of GDPCreate EmploymentIncrease Per Capital Income

Sector

Target

Achievement

GDP 5.5%

4%

Industry

7.1%

-0.3%

Agriculture

4.6%

3.7%

Power & Gas

11% 32.7%

First Five Years Planning (1973-1978)

Objective:Economic DevelopmentControl Population GrowthRural DevelopmentIncrease the Rate of Growth of GDPCreate EmploymentSelf-Sufficiency in Food

two Years Planning (1978-80)

Objective:

Equitable GrowthRural DevelopmentExpansion EmploymentReducing Population Growth RateAchieve Self-Sufficiency in Food

Sector

Target

Achievement

GDP 5.4% 3.8%Industry

8.4% 4.8%

Agriculture

5% 3.5%

Per Capital Income

3.5% 3.2%

Second Five Years Planning (1980-1985)

Objective:Ensure Enough Supply of Basic NeedsInduce Private Investment in Agriculture & IndustryDevelopment of InfrastructureIncrease the Rate of Growth of GDPCreate Employment

Sector

Target

Achievement

GDP 5.4% 3.8%Industry

10.10%

4.02%

Agriculture

4% 1.7%

Power & Gas

9.60%

17.39%

Third Five Years Planning (1985-90)

Objective:

Removal of illiteracyAccelerating Economic GrowthReduce PovertyEconomic DevelopmentIncrease Self-Reliance

Sector Target

Achievement

GDP 5% 4.15%Industry

9.02%

7.05%

Agriculture

3.42%

0.98%

Power & Gas

9.28%

15.31%

Fourth Five Years Planning (1990-1995)

Objective:Reduction of Population Growth RateEnsure Gender EqualityIncrease Employment OpportunityDevelop Socio-Economic InfrastructureSelf-Reliance & Food Production

Sector

Target

Achievement

GDP 7% 5.21%

Industry

13.94%

Agriculture

4% 4.6%

Power & Gas

9.28%

5.96%

Fifth Five Years Planning (1997-2002)

-Prepared by IMF & World Bank-Require countries to produce a Poverty Reduction Strategy Paper as a condition for debt & meet the Millennium Development Goals (MDGs).-Formulated & Implemented Interim Poverty Reduction Plan from 2003-2011 by Bangladesh Government.-Given In Stead of Five Years Planning

Poverty Reduction Strategy Paper (2003-2011)

Plan Period

Plan GDP

2003-05 Interim Poverty Reduction Strategy Paper

6.21%

2005-08 Unlocking the Potential: National Strategy for Accelerated Poverty Reduction (NSAPR-!)

6.41%

2009-11 Steps Towards Change: National Strategy for Accelerated Poverty Reduction (NSAPR-!!)

6.33%

Objective:

Eradicate PovertyAccelerate Growth Rate of GDPIncrease Gross Domestic InvestmentSociety free from CorruptionEqual Right of Women

Sector Target

Achievement

GDP 8% 6.7%

Industry

25% 17%

Gross Domestic Investment

32% 26.4%

Sixth Five Years Planning (2011-2015)

Objective:Creating Large Number of EmploymentControl InflationIncrease GDP Growth RateReduce Poverty Rate & Ultra Poverty Increase Per Capital Income

Sector Target

Present Situation

GDP 8% 7.2%Poverty Rate

18.6%

29%

Ultra-Poverty Rate

8.9%

Per-Capital Income

2000$

1465$

Seventh Five Years Planning (2016-2020)

goals of Seventh Five Years Planning

Higher Income Employment OpportunitiesIncrease GDP Growth RateBecoming a Middle Income Country on the Basis of Per-Capital IncomeTo Ensure Equity and Social Justice for allAchieve Sustainable Development Goals Higher Standard of LivingDecrease Population Growth Rate

Sector FY16

FY17

FY18

FY19

FY20

GDP (%) 7.0 7.2 7.4 7.6 8.0Inflation (%) 6.2 6 5.8 5.7 5.5Gross Domestic Investment (%)

30.1

31.0

31.8 32.7 34.4

Private Investment (%)

23.7

23.9

24.4 25.1 26.6

Public Investment (%)

6.4 7.1 7.4 7.6 7.8

National Savings (%)

29.1

29.7

30.2 30.7 32.1

Job Availability (Million)

1.9 2.2 2.6 2.7 3.0

Macroeconomics Scenario of Seventh Five Years Planning

Plan Plan Size (Million TK)

Actual Expenditure (Million TK)

First Five Years Plan

44,550 20,740

Two Years Plan 38,610 33,590Second Five Years Plan

172,000 152,970

Third Five Years Plan

386,000 270110

Fourth Five Years Plan

620,000 598,480

Fifth Five Years Plan

1959,521 1373,630

Sixth Five Years Plan

13,47,000 10,67,000

Seventh Five Years Plan

26,90,800

Scenario of Five Years Plans

Center of Attention of Five Years Plans

First Five Years Plan

Fifth Five Years Plan

Third Five Years Plan

Second Five Years Plan

Fourth Five Years Plan

Seventh Five Years Plan

Sixth Five Years Plan

Economic Rehabilitation of War Damaged Economy

Self-Sufficiency in Food

Ensure Enough Supply of Basic NeedsReduce Poverty

Food Production & Electricity

Increase Gross Domestic Investment

Creating Large Number of Employment Power & Gas

evaluation of Five Years Planning

First Five Years Plan was Based on Socialist Economy & Nationalization of Industry. Academician-Bureacrats Conflict After 1975, Political Ideology Changed & the State Turns into Privatization following Structural Adjustment by World Bank & IMFIn 1991, Political Context Changed but State and Govt. Continues Privatization In 1997, Govt. follows Previous Tradition. In 2003, Govt. Follows PRSP in Stead of Five Years Plan. In 2009, A New Political Concept Build up & State Create Long Term Perspective Plan.

Barriers of Five Years Plan

Natural DisasterFailure of Foreign Aid & InvestmentPolitical InstabilityLack of Appropriate Statistical Data & InformationLack of Skilled ManpowerInflationRed-Tapism Lack of CapitalLack of Specialists

RecommendationCreate Sustainable Environmental Plan & InfrastructureTo Ensure of Foreign Aid & InvestmentPolitical StabilityCo-Ordination of Different Statistical ReportProvide Situational Training Skilled ManpowerMonetary Policy Must be Planned According Five Years Plan

References Islam N (2009). Development Planning in Bangladesh:A Study in Political Economy. Dhaka: The University Press Limited. Islam N (2004). Looking Outward: Bangladesh in the World Economy. Dhaka: The University Press Limited. Hossain M (2003). Development Administration in Bangladesh . Dhaka: Hasan Publishers Planning Commission.(2016). http://www.plancomm.gov.bd/ Vision-2021. (2016). http://www.bbs.gov.bd/

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