Possible impacts of removal of Yunus from Grameen Bank March 13, 2011Posted by bdoza in BANGLADESH, ECONOMY, GOVERNANCE, POLITICS.
Tags: Dr. Muhammad Yunus, Grameen Bank
Fazle Hussain Abed,founder and chairman of BRAC in a statement on the removal of Dr. Yunus from Grameen Bank said that the haste removal will create in-confidence among the borrowers. Either they will delay the payments or withdraw the money hastily. He asserted that Grameen Bank and like organizations are unique in character and it will be difficult to maintain it by the normal banking system. One thing Fazle Hussain abed didn’t mention is the in-confidence it will create on the social entrepreneurs.
A general notion would be, ‘the government may remove anybody from any organization, public or private, whenever it likes; it can remove the bosses, how popular he is at home and abroad . It may not be true only for Grameen Bank, each and every organization or institution in Bangladesh that is in someway under the control of Government may face the same ordeal. In a country where judiciary is dictated by the government, there is no way out for the victim’.
The attempt to remove already created a stir. USA and other countries have expressed their concern. Finance minister tried to explain the steps taken by the government in a meeting of ambassadors and representatives of international bodies. The impact of the meeting on the ambassadors and others present in the meeting was expressed by Mr. James Moriarty, the ambassador of USA as he said his government is deeply troubled by the move.
The move will create a bad impression about the attitude and intellect of the present leaderships and integrity and independence of institutions of Bangladesh.The hope on the present political and administrative system of Bangladesh will be lost.
The citizens of Bangladesh are closely following the incident. They are judging the prudence of this government and forming a notion about this governance that will be reflected in the next election.
It may be easy to take the control of Grameen Bank but it will not be easy for the government to run it properly. Government has already shown its in-aptitude in running the share market and other financial institutes. Any attempt to run Grameen Bank if ends in failure, then the attempt will be boomerang for the government. As 4 crore people are directly or indirectly connected with Grameen Bank, they represent a huge vote base for any party. Any displeasure of them will be enough to shatter the dream of any political party. Rehman Sobhan, leading think-tank of Bangladesh economic policies urge the government to listen to the 8 million owners of Grameen Bank.
So government should deal with the issue very cautiously.
An ordinary citizen