Economy
Exports Continue to Struggle in China Amid Sluggish Global Economy
China’s exports experienced a steeper decline than anticipated in October, reflecting the challenges faced by the world’s second-largest economy due to weakening global demand and a slow domestic recovery. The Chinese government has been working to stimulate economic activity in response to a significant property crisis and reduced consumption since abandoning its strict zero-Covid policy at the end of the previous year.
In October, exports, which have traditionally been a major driver of China’s economic growth, contracted by 6.4 percent year-on-year, according to data from the General Administration of Customs. This figure was considerably worse than the 3.5 percent decline forecasted by economists in a Bloomberg survey and slightly worse than the previous month.
With the exception of a brief rebound in March and April, China’s exports have been on a continuous decline since October of the previous year. According to Zhang Zhiwei of Pinpoint Asset Management, “Export growth remained sluggish as the economic momentum in the United States and Europe slowed,” and he noted that external demand is likely to remain weak in the coming months.
On the other hand, imports increased by 3.0 percent, defying expectations of a 5.0 percent decline and marking the first year-on-year growth since late in the previous year. This rise in imports may indicate a potential recovery in domestic demand within China, which has been weak for several months.
However, Zhang cautioned that the October increase in imports alone is insufficient to confirm a substantial improvement in domestic demand, and he suggested examining other indicators, such as retail sales. He also mentioned that “as fiscal policy has turned more proactive, a recovery in domestic demand is likely in the coming months.”
China’s economic growth in the third quarter was moderate, and Beijing is aiming to achieve its official target of “around five percent” expansion for 2023, one of the lowest targets in recent years. In response to economic challenges, the Chinese government has announced measures like issuing sovereign bonds and targeted stimulus efforts for specific sectors, particularly the struggling property market.
While China experienced deflation in July for the first time since 2021, it modestly rebounded in August. Nonetheless, analysts have cautioned that a relapse in the coming months remains a possibility.
Expatriate Bangladeshis sent approximately US$ 2.11 billion in remittances during the first 28 days of September in the fiscal year 2024-25, according to data released by Bangladesh Bank on 29 September.
Of this total, state-owned and specialised banks handled $679.10 million, while private banks received $1.43 billion in remittances.
Chief Adviser to Bangladesh’s interim government, Professor Muhammad Yunus, has vowed to expedite reforms and hold elections swiftly. Yunus, who recently assumed the role after the collapse of Prime Minister Sheikh Hasina’s 15-year administration, expressed his commitment during an interview with Tokyo-based news outlet NHK WORLD in New York on Sunday. He was attending the United Nations General Assembly at the time.
Following mass student-led protests that ended Hasina’s long-standing rule in August, Yunus stepped in as the leader of the caretaker government. Known for founding Grameen Bank, an institution providing microloans to the underprivileged, Yunus, along with the bank, earned the Nobel Peace Prize in 2006 for his efforts in poverty alleviation.
During the interview, Yunus emphasized that the interim government’s primary mission is to implement reforms promptly and ensure elections are held as soon as the groundwork is complete. He underscored the importance of success, stating, “Failure is not something that we can accept.”
Addressing the pivotal role of students in the ousting of the Hasina administration, Yunus acknowledged the sacrifices made by young people, referring to their involvement as part of a “revolution.” He highlighted his intention to engage the younger generation in shaping policy.
Furthermore, Yunus called for continued support from Japan, Bangladesh’s largest donor, during this crucial transition period. He stressed that Japan’s assistance is vital to stabilizing Bangladesh’s economy and fostering a democratic foundation in the nation.
Syeda Rizwana Hasan, the Adviser for Environment, Forests, and Climate Change, announced today that steps will be taken to restrict the use of polythene shopping bags to safeguard future generations.
Starting from October 1, polythene bags will be banned in shopping malls, followed by a ban in kitchen markets from November 1.
“Everyone must take responsibility and stop using polythene voluntarily. Action against polythene producers will begin from November 1,” Rizwana Hasan stated during a seminar.
The Department of Environment (DoE) organized the seminar to raise public awareness about alternatives to banned polythene bags.
Rizwana Hasan highlighted that the restriction on polythene will be executed in phases according to legal provisions, and discussions with shopping centers and store owners are ongoing to ensure a smooth transition.
She also announced plans to make the government secretariat a plastic-free zone by December.
Other speakers at the seminar included Environment Secretary Dr. Farhina Ahmed, DoE Director General Dr. Abdul Hamid, Director Rajinara Begum, President of the Shop Owners Association Muhammad Helal Uddin, and Md. Arifur Rahman Bhuiyan, Assistant Professor of Environmental Science at BUP. They discussed the harmful effects of polythene and the need for alternative products.
Earlier, Rizwana Hasan inaugurated a fair showcasing eco-friendly alternatives to polythene bags and visited 24 stalls. The fair featured products from government and private entrepreneurs, including reusable bags, jute bags, paper bags, and items made from bamboo and cane.
