Central data server mulled to prevent mismatch in export statistics

The Export Promotion Bureau (EPB) is contemplating setting up a central database that will compile all export data from the National Board of Revenue (NBR) and the Bangladesh Bank to offer consistent export statistics.

During a meeting today (8 July), senior officials from the EPB, Bangladesh Bank, the NBR, and the Statistics and Information Division discussed the issue, according to sources present at the meeting.

All parties agreed on establishing the central database, using uniform data provided by the NBR, and currency rate by the Bangladesh Bank. They also agreed on updating the data on a daily basis, said the sources.

The meeting also discussed the major discrepancies between the data of the EPB and the Bangladesh Bank, agreeing that the primary reason was the multiple counts of export figures by the NBR. They identified the customs wing of the NBR mainly responsible for this issue.

However, an NBR official, wishing anonymity, told TBS that the issue of multiple counts which was occurring before were caused by NBR's software problems.

"It was fixed immediately after it was brought to our attention last April. As a result, there are no more issues from that side," he added.

He also mentioned that the discrepancies were due to the central bank and the EPB not using a common Customs Procedure Code (export code), and each organisation considering different data.

Anisur Rahman, director of Bangladesh Bank, who was present at the meeting, told TBS that discussions were held on ways to prevent such mistakes in the future. He, however, declined to provide further details.

According to the Bangladesh Bank, for the first nine months (July to March) of FY24, exports were overstated by over $10 billion from the actual figure of $31 billion.

An EPB official said they are working to correct the data for the last two fiscal years. However, they have not received any instruction to correct the data of the previous years.

Meanwhile, the business community and economists have called for a high-powered investigative committee to determine the actual reasons and identify the officials responsible for the significant mistake. 

They also expressed concern that this issue could undermine Bangladesh's statistical credibility internationally, affecting the country's GDP, per capita income, loan-to-GDP ratio, and other economic indicators.

Ahsan H Mansur, executive director of the Policy Research Institute (PRI), told TBS that it should be investigated whether the double entry was due to a software error or another factor. 

"We need to determine the extent of the mismatch and who is responsible," he said. 

The economist also said that it is crucial to find a way to prevent this from happening again in the future. 

"Data manipulation to show good economic health in Bangladesh is not new. The government claims non-performing loans are Tk1.84 lakh crore, but the actual figure is Tk4 lakh crore."

Business leaders in the country have long questioned the government's published data but have not received satisfactory answers. Instead, there have been allegations that last year, in a meeting, the central bank governor and other high officials scolded business leaders for raising these questions.

At a press conference on Saturday, Mohammad Ali Khokon, president of the Bangladesh Textile Mills Association, said, "Based on the misinformation, we were deprived by squeezing the cash incentive for export."