The rest of the bonds are given to RMG firms and deemed exporters, which are mostly suppliers of accessories and inputs to the RMG industry. [...] The dummy variables includes the following: a dummy for special bonded warehouse taking the value of 1 from 1978 (when it was introduced) for RMG and 0 otherwise;1 MFA = 1 over 1975–2004 for RMG and 0 otherwise to capture the effect of the Multi-Fiber Arrangement; BBLC = 1 over 1987–2017 for RMG and non-RMG and 0 otherwise, to control for the impact of back-to-back letters of credit; and EBA = 1 o. [...] The target for revenues, usually set up during the time of the annual budget, has a significant bearing on the trade policy stance of the country. [...] The current trade policy stance, while allowing a free trade regime in the RMG sector, perpetuates the high degree of protection to the domestic (import substituting) industries, at the expense of emerging and potential export industries. [...] In view of this, Bangladesh needs to bring an urgency to articulating a roadmap for trade reform that will promote export diversification and maintain the dynamism of the RMG sector, and then implanting the roadmap in a calibrated, deliberate and transparent manner.
Authors
- Pages
- 19
- Published in
- India