Saturday, December 19, 2009

Financial crisis on vulnerable households in Bangladesh

Empirical evidence found support about effects of the financial crisis on vulnerable households in Bangladesh and pointed out as a complex breakdown for globally transmitted shocks. Indeed, the food insecurity emerges as a result of this crisis and the consequent adverse impact on the economy.


Classified two fold effects on both macro and household level explains the slowdown of agricultural export, volume of trade, migration, unemployment, lowering job opportunities, upward trend of food prices, which cuts the per capita food expenditure, and a cumulative effect on households earnings that leads to child labor.


Ongoing responses and recommendations on the macroeconomic and public sectors subsidized vulnerable groups including bank and non-blank financial institutions, enhancing social protection programme (e.g. food for work, cash for work), acceleration of ADP implementations. Suggested follow up assessment on the macroeconomics and sectoral performances strengthening the present system and linkages between macro and micro levels.

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