Public Enterprise Reform: A Review of Policies and Privatisation in Bangladesh

Abstract

Bangladesh, as a developing country, has commenced public sector reforms and privatisation of state-owned enterprises following the actions and advice of different actors in different periods of its history. Though the policy mimic reforms in developed economies, this needs to be understood in the context of Bangladesh. This paper, therefore, reviews the country’s industrial policies from its independence and international aid donors’ assistance strategies to have a holistic look at the country’s policy choices over the last four decades. The study finds that Bangladeshi governments have taken many steps towards privatisation since the mid-1970s on the advice of aid donors, however, the privatisation programmes have not brought the expected outcomes and there have no actual steps taken to uphold the interests of employees. The study has captured insights about the reform policies in Bangladesh and has several implications for policymakers as the country is still struggling to come out of poverty.