Institute for Planning and Development Calls to Dismantle Illegal Economy Around City Services
The Institute for Planning and Development (IPD) has expressed deep concern over a recent murder in Kafrul, Dhaka, which is linked to illegal activities surrounding garbage collection, sidewalk encroachment, and extortion. The organization asserts that this incident is not isolated but rather a manifestation of the dangerous nexus between vested economic interests and political influence in urban management. IPD emphasizes that merely relying on law enforcement operations is insufficient; the underlying structure of this illegal economy must be dismantled. The institute highlighted that a culture persists in national politics where party positions and political identities are often exploited for illicit financial gain rather than public service, a trend that has not abated despite public expectations following a major political shift in July.
IPD's Executive Director, Professor Adil Muhammad Khan, noted that media reports and law enforcement statements point to illegal economic interests, political influence, and local dominance as driving forces behind the killing. He described this as a dangerous reality stemming from a long-established urban illegal economy and political patronage. Regarding waste management, IPD stated that citizens, despite paying holding taxes, are frequently forced to pay extra for garbage removal, creating a non-transparent system that facilitates extortion and illegal financial transactions. The organization suggested that City Corporations could enhance revenue and eliminate middlemen by bringing the entire waste collection and disposal process under their direct, modern, and transparent management. Furthermore, IPD identified a powerful urban mafia operating through the occupation of footpaths, public land, canals, water bodies, and open spaces, sustained by political influence and muscle power, which obstructs citizen movement, damages the environment, degrades quality of life, and hinders planned urban development. The absence of elected councilors and reliance on administrators in City Corporations has weakened accountability, allowing local illegal groups to grow stronger. IPD recommends seven measures, including strict legal action against those involved in extortion and land grabbing using political identities, bringing waste collection entirely under City Corporation control, reclaiming footpaths and public lands, ensuring transparency in all urban service leases and financial transactions, swiftly returning City Corporations to elected representative governance, and adopting a coordinated national plan to eradicate the urban illegal economy.
The IPD's concerns highlight a systemic issue where the provision of essential urban services becomes a lucrative, albeit illicit, enterprise. This phenomenon is often driven by incentive structures that reward rent-seeking and political patronage over efficient public service delivery. The analysis suggests that a lack of robust, democratically elected local governance and accountability mechanisms creates fertile ground for such illegal economies to flourish. In the context of an increasingly urbanized future, addressing these governance deficits is crucial. Without transparent systems and genuine local representation, the cycle of corruption, encroachment, and violence tied to urban resource control is likely to persist, undermining sustainable development and citizen well-being. Future urban planning must prioritize strengthening local institutions and ensuring that service provision is governed by clear, enforceable regulations that disincentivize illicit economic activity.
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