The central bank reconstituted the monetary policy committee with 7 members in the board meeting of the central bank on October 22.
The Central Bank has added Policy Research Institute of Bangladesh vice chairman Dr. as an economist to its monetary policy committee. Sadiq Ahmed.
This was stated in an internal letter of the Central Bank on Tuesday (November 7).
Earlier, the central bank reconstituted the monetary policy committee with 7 members in the board meeting of the central bank on October 22.
In this new format, a committee of seven members including four from the central bank and three from outside was formed. In that day’s meeting, some names were proposed as economists. Among them Dr. Sadiq Ahmed was appointed.
The chairman of this committee will be the governor of the central bank. Besides, there will be three more members of Bangladesh Bank – Chief Economist, Deputy Governor of Monetary Policy Department and Executive Director of Monetary Policy Department.
Outside the central bank, the remaining three are – the chairman of the economics department of Dhaka University, the director general of Bangladesh Institute of Development Studies (BIDS) and Dr. as an economist. Sadiq Ahmed.
Earlier, the monetary policy of the central bank had 8 members, all of which were members of the central bank.
According to the letter, the Director of Monetary Policy Department will serve as the member secretary of the committee. At the same time, this department will perform all the official work of the committee.
It is known that currently the central bank announces the monetary policy once every six months. Several meetings of the Monetary Policy Committee are held before this monetary policy is announced. The monetary policy for the January-June period of the next financial year 2023-24 will be through the new committee.
A senior official of the central bank said, “So far the monetary policy committee of the central bank has been informal. As a result, it has been facing criticism for failing to control inflation. So now the central bank has formed an institutional mechanism to formulate monetary policy. The target of the central bank is to keep inflation at 8% by December.” brought down to.”