Kazi Zahidul Hasan :
The number of multimillionaire depositors in Bangladesh has increased by 10 per cent in the last one year from June 2016 to June 2017, reflecting rising personal fortunes but income inequality in the society.
Economists said the rise of multimillionaires is the evidence that a particular class of society become rich as a result of significant rise in their disposable income when income inequality and poverty remain a major challenge for the national economy.
The number of bank accounts holding from Tk 1 crore to above Tk 50 crore stood at 68,891 in June 2017 while the number was 62,418 in June 2016, according to the latest Bangladesh Bank (BB) report.
“The number of high-value accounts has witnessed a steady growth over the past decade as a result of rising personal income by a group of people in the society. Their income rise is linked by the recent expansion of businesses and formal and informal economy.
“But the dark side of the development is the rising inequality in the society as a smaller number of people reap the benefit of the thriving economy,” Dr Zahid Hussain, World Bank’s lead
economist in Dhaka, told The New Nation yesterday. Bangladesh now has several hundred of millionaires while the total number of millionaires was only five in 1972. It was just 47 in 1975. The total number of multimillionaires stood at 46,136 in 2014.
“Bangladesh has made great success in expanding economy, extending life expectancy and reducing extreme poverty and illiteracy, but income disparity remains a key problem,” said Dr Zahid Hussain.
He warned, “It requires urgent attention. The growing inequality could threaten Bangladesh’s gains.”
The BB figure show, a total of 853 people had accumulated more than Tk 50 crore in deposits while 54,317 had accumulated over Tk 1 crore in deposits at the end of June this year.
At the end of June 2016, 49,463 people had accumulated above Tk 1 crore in deposits in their bank accounts.
At the end of June 2017, a total of 387 people mobilized more than Tk 40 crore deposits, 177 people deposited more than Tk 35 crore, over Tk 30 crore by 259 people, Tk 25 crore by 455 and Tk 20 crore by 742 people. The number of people holding deposits of more than 15 crore is 1,707. The number of people who have deposited more than 10 crore is 2,698 and 7,733 have deposited more than Tk 5 crore.
“The increase in the numbers of multimillionaire account holders highlight the widening gap between rich and poor and how a tiny minority is getting rich to richer,” Binayak Sen, a leading economist told The New Nation.
He said the growing inequality is the biggest barrier to social and overall economic development in the country. “We must address the issue urgently if we want to be a viable nation with social justice,” he added.
“Bangladesh has made significant inroads in its fight against poverty. But the growing inequality could overshadow the spectacular success that the country has achieved in various sectors,” said economist Dr Hossain Zillur Rahman.
He said the rising number of multimillionaire indicates that a tiny section of people are getting richer while the majority is facing formidable challenge to cope with their constant income. We must look forward to do a lot for the struggling masses to sustain economic growth and social welfare.
The number of multimillionaire depositors in Bangladesh has increased by 10 per cent in the last one year from June 2016 to June 2017, reflecting rising personal fortunes but income inequality in the society.
Economists said the rise of multimillionaires is the evidence that a particular class of society become rich as a result of significant rise in their disposable income when income inequality and poverty remain a major challenge for the national economy.
The number of bank accounts holding from Tk 1 crore to above Tk 50 crore stood at 68,891 in June 2017 while the number was 62,418 in June 2016, according to the latest Bangladesh Bank (BB) report.
“The number of high-value accounts has witnessed a steady growth over the past decade as a result of rising personal income by a group of people in the society. Their income rise is linked by the recent expansion of businesses and formal and informal economy.
“But the dark side of the development is the rising inequality in the society as a smaller number of people reap the benefit of the thriving economy,” Dr Zahid Hussain, World Bank’s lead
economist in Dhaka, told The New Nation yesterday. Bangladesh now has several hundred of millionaires while the total number of millionaires was only five in 1972. It was just 47 in 1975. The total number of multimillionaires stood at 46,136 in 2014.
“Bangladesh has made great success in expanding economy, extending life expectancy and reducing extreme poverty and illiteracy, but income disparity remains a key problem,” said Dr Zahid Hussain.
He warned, “It requires urgent attention. The growing inequality could threaten Bangladesh’s gains.”
The BB figure show, a total of 853 people had accumulated more than Tk 50 crore in deposits while 54,317 had accumulated over Tk 1 crore in deposits at the end of June this year.
At the end of June 2016, 49,463 people had accumulated above Tk 1 crore in deposits in their bank accounts.
At the end of June 2017, a total of 387 people mobilized more than Tk 40 crore deposits, 177 people deposited more than Tk 35 crore, over Tk 30 crore by 259 people, Tk 25 crore by 455 and Tk 20 crore by 742 people. The number of people holding deposits of more than 15 crore is 1,707. The number of people who have deposited more than 10 crore is 2,698 and 7,733 have deposited more than Tk 5 crore.
“The increase in the numbers of multimillionaire account holders highlight the widening gap between rich and poor and how a tiny minority is getting rich to richer,” Binayak Sen, a leading economist told The New Nation.
He said the growing inequality is the biggest barrier to social and overall economic development in the country. “We must address the issue urgently if we want to be a viable nation with social justice,” he added.
“Bangladesh has made significant inroads in its fight against poverty. But the growing inequality could overshadow the spectacular success that the country has achieved in various sectors,” said economist Dr Hossain Zillur Rahman.
He said the rising number of multimillionaire indicates that a tiny section of people are getting richer while the majority is facing formidable challenge to cope with their constant income. We must look forward to do a lot for the struggling masses to sustain economic growth and social welfare.
