Limited access order: A barrier to Bangladesh's development, experts warn

A recent workshop organised by the SANEM Political Economy Centre has spotlighted the pervasive influence of a limited access order on Bangladesh's development.

At the workshop, political economist Mirza M Hasan delivered a lecture titled "Bangladesh's Development Hindered by Limited Access Order," where he elaborated on the concept developed by renowned economists Douglas North, John Wallis, and Barry Weingast.

The limited access order framework categorises societies based on their access to economic, political, and social resources, with access restricted to a select group of elites who maintain control through the generation of rents.

These rents, economic returns above normal levels, are used to sustain power, manage violence, and ensure loyalty.

"Bangladesh is the best example of a limited access order, where the political system is dominated by a small group of elites controlling significant economic resources"

Political Economist Mirza M Hasan

Mirza M Hasan said, "Bangladesh is the best example of a limited access order, where the political system is dominated by a small group of elites controlling significant economic resources. These elites maintain power through corruption, patronage, and control over key economic sectors."

He added, "Wealthy individuals and groups fund political parties, ensuring political leaders' dependency on their support. This allows elites to influence regulations and policies, perpetuating their control over political and economic systems."

The workshop highlighted the significant implications of restricted access on Bangladesh's development trajectory. While GDP growth is evident, benefits are often unevenly distributed, leading to persistent inequality and limited societal progress.