Corona lockdown costs Tk 840bn

Staff Correspondent

19 March, 2021 12:00 AM printer

Bangladesh has incurred a loss of Tk 840 billion for lockdown due to coronavirus in FY 2019-20, according to a report prepared by the ministry of finance in collaboration with banks and financial intuitions.

The report titled 'Covid-19 Shock and Economic Recovery' mentioned that coronavirus has adversely affected the lives and livelihoods of people along with economic loss of Tk840 billion, which was around 3 per cent of the country’s Gross Domestic Product (GDP) in FY20.

The report said the pandemic caused the country’s GDP to be trimmed to Tk 27.963 trillion from the projected Tk28.859 trillion while the growth rate has been cut by 2.96 per cent to 5.24 per cent.

The economic value of the loss in GDP was estimated at around Tk 840 billion.

The estimation of sector-specific losses and to what extent the losses have been recovered by the incentive packages would be finalised by June this year, sources at the ministry said.

 “Work is underway to assess the entire damage to the country's economy due to Corona. Detailed information will be available before June. At that time we will be able to give a final account of the sector-specific losses,” an official concerned added.

The ministry official also said the country's macro-economy has remained stable for the last 12 years, which made it possible to implement incentive packages quickly and effectively.

Replying to a quarry, he said, “Correct measurement and a recovery report of Covid-19 pandemic will help us prepare the right plans to fight against any disaster in future.”

The ministry of finance, Bangladesh Bank, other state-owned banks and the Bangladesh Bureau of Statistics (BBS) have been working to prepare the final reports on the financial loss caused by the pandemic.

At the end of FY20 for three consecutive months, everything including factories, offices went under lockdown to prevent the spread of coronavirus.