Defaulting public sector organizations

Public organizations that do not settle their accounts with other public bodies or private ones in the same category have been standing in the way of better functioning of the public sector as a whole. The defaulter public organizations sometimes face formidable difficulties in clearing or servicing their debts. But the difficulties, in many cases, are their own making ; these bodies, cannot, therefore, expect a sympathetic attitude towards their default status.
Besides, there ought not to be sympathy or undue consideration shown to defaulters of any category for the simple reason of the streamlined and efficient functioning of the economy. Usually, defaulters in the private sector are scorned in the media and hard demands are made on them to make them perform their non performing loans. But the opposite is the case in respect of the public sector where many public sector organizations with even adequate resourceful conditions deliberately withhold payment of their dues to other public sector bodies pushing the latter into serious financial and consequently other problems.
Biman Bangladesh is a case in point. The national flag carrier has been a losing concern for long due mainly to unconcern or corruption of its management. It was expertly assessed several times that the airline could be a profit earner in no time with better management. This was the assessment even before it was turned into a corporate body for more efficiency. But the lack of profit even before the corporate existence of Biman did not mean that it could not at all service its debts. It had good and regular earnings even in that low period to be able to go on at least partly but regularly paying off its debts. But its management was gripped by the traditional mentality that it did not have to bother with paying anything in the way of debts if the recipient was a government owned body. Thus, it did not pay month after month the jet fuel it procured from the state run Bangladesh Petroleum Corporation (BPC). BPC was suffering unbearable financial problems as a result.
There are public utility organization like the Dhaka Electricty Supply Authority (DESA) and Water and Sewarage Authority (WASA) that have huge claims against their public and private sector clients. The non payment of their dues by these defaulting clients has been creating enormous troubles for these organizations in balancing their budgets or to take up routine maintenance and development works. The utility bodies are seen somewhat proactive nowadays in collecting their dues from private clients. But there seems to be no such enthusiasm in doing the same in relation to their customers in the public sector.
There is a very pressing need for all public organizations to become conscious in varying degrees and take realistic measures with reasonable hope of success to get their dues settled by the defaulting organizations.