Police open fire at Bangladesh protesters, 3 dead….

Sources :Police fired guns and used batons on crowds of stone-throwing opposition activists in several Bangladesh towns Sunday, killing at least three people and injuring more than 100, a news report and doctors at two hospitals said.

The opposition party said 1,200 of its activists were arrested, but the figure could not immediately be confirmed.

The main Bangladesh Nationalist Party and its key Islamist ally Jamaat-e-Islami are demanding an independent caretaker government oversee elections. The government of Prime Minister Sheikh Hasina scrapped the 15-year-old system last year, saying it contradicted the constitution.

The opposition, led by Hasina’s archrival former Prime Minister Khaleda Zia, says elections will be rigged if held under the current government and without a caretaker system in place.

Clashes during Sunday’s nationwide protests were reported in about a dozen towns, Desh television station said.

Two men died from bullet wounds at a government hospital in the eastern town of Chandpur, physician Mahmudunnabi told The Associated Press by phone.

They were shot by police who fired at a procession of protesters trying to march forward by breaking a police barricade, the United News of Bangladesh agency said.

Separately, a youth died and four people with bullet wounds were being treated at a government hospital in Laxmipur, another eastern town, said doctor Mohammad Nizam Uddin.

The identities of the dead were not immediately clear. Zia’s party claimed one was a party activist while media reports said two others were rickshawpullers.

Hasan Mahmud Khandaker, the country’s police chief, said authorities would investigate the violence to determine what actually happened.

Police arrested about 1,200 activists, opposition spokesman Mirza Fakhrul Islam Alamgir said. The figure could not be confirmed immediately.

The South Asian nation’s politics became tense recently as the opposition has geared up its anti-government protests targeting the next general election due in 2014.

Hasina’s government is also at loggerheads with Zia and the largest Islamic party Jamaat-e-Islami over its effort to try suspected war criminals involving the 1971 independence war against Pakistan.

Five top officials and a former chief of Jamaat-e-Islami facing charges of war crimes are currently behind bars for their alleged role in the nine-month war in which the government said at least 3 million people were killed by the Pakistani army in collaboration with the suspects. Two others of Zia’s party also face similar charges of crimes against humanity that include killing, rape and arson.

Zia and Jamaat-e-Islami party have rejected the trial and said it is politically motivated to eliminate the opposition.

The opposition parties also held several general strikes in recent months.

Violent protests are common opposition tactics to embarrass the government in Bangladesh, a fragile parliamentary democracy that has a history of two successful and 19 failed military coups since 1971 when the country won independence from Pakistan.

On Jan. 19, the Bangladesh military said it foiled a plot by a group of hardline officers, their retired colleagues and Bangladeshi conspirators living abroad to overthrow Hasina

Bangladesh signs deal with India to build power plant.

Bangladesh’s state-run Power Development Board on Sunday signed an agreement with India’s National Thermal Power Corp., or NTPC, to build a 1,320-megawatt coal-fired power plant in the southwest of the country, officials said.

The signing ceremony in Dhaka was attended by Bangladesh Finance Minister Abul Maal Abdul Muhith and P. Uma Shankar, the power secretary of India. It was the first joint venture deal the board has concluded with a foreign company.

NTPC will build and operate the $1.5 billion project on a 50:50 equity basis.

Bangladesh has increasingly turned to coal to generate electricity as the nation’s natural gas reserves are depleting fast, and may not last beyond 2021 unless new structures are found and explored.

Officials have said Bangladesh wants to nearly triple power generation to 15,357 megawatts (MW) by the end of 2015. The country, home to 160 million people, now generates the bulk of its energy from natural gas and imported fuel oil, but suffers from power shortages as wide as 1,500 megawatts a day.

Bangladesh has reserves of about 3.4 billion tonnes of coal, but only produces about 2,000 tonnes a day from one mine.

Plans to collect coal from the other mines have been delayed in the face of violent protest by human rights and environment protection groups which say the extraction would displace thousands of families and pollute the air.

Food Department Jobs:Exam questions ‘leaked’, 10 held.

Ten people were detained in Kurigram and Dhaka early yesterday for their alleged involvement in the leak and sale of question papers for recruitment of sub-assistant food inspector and lower division assistant of the food department.

The arrests were made a few hours before the recruitment tests were held peacefully in 21 districts at 10:00am yesterday.

Nearly 2.18 lakh candidates are vying for 428 posts of sub-assistant food inspector and another 30,000 for 503 posts of lower division assistant-cum-computer typist.

The food ministry said the ministry or the food department were not involved in the preparation of printing of the question papers. The Institute of Business Administration at the Dhaka University had prepared the questions that were printed at the Islamic Foundation Press.

The question papers in sealed packets were sent to deputy commissioners concerned, who kept them in the treasuries. From there, the question papers were sent to the examination centres, it said.

The ministry said it would investigate the leak and sale of questions papers, and take action against the people responsible for it.

Asking not to be named, a candidate who took the test in Dhaka said all the questions on the exam paper were identical to those of the leaked one that her brother had obtained.

Kurigram police said many of the questions on the leaked papers were identical to the ones given at the exam halls.

Detective Branch of police arrested eight persons early yesterday while they were selling leaked question papers for Tk 20,000-Tk 30,000 at the house of Abdul Jalil at Chatura village in Kurigram.

They downloaded the question papers on a laptop via e-mail, and printed and sold them to examinees, said police; reports our Kurigram correspondent.

The arrestees include Abdul Jalil Sarkar, 66, his son Mahfuzur Rahman, 33, Abdul Hai Jhunu, 22, Ruhul Amin, 45, Mostafizur Rahman, 30, Lutfar Rahman Liton, 33, Asaduzzaman, 18, and Hasan Basunia, 22.

A case was filed with the Rajarhat Police Station in this connection.

“The food department was informed about the incident. The examination, however, was held peacefully,” said the superintendent of police in Kurigram.

Two students of Dhaka University were held shortly after 2:00am with two sets of leaked question papers for the recruitment test for the post of sub-assistant food inspector.

The arrestees are Towhidul Islam, student of the international relations department, and Ismat Mejhba Uddin, student of the philosophy department.

The university authorities handed over the duo to Shahbagh Police. The arrestees said they bought the leaked question papers from Nilkhet, said sources.

Sirajul Islam, officer-in-charge of Shahbagh Police Station, said they were in police custody, but no formal charges had been brought against them yet.

Sources said several DU students found the two talking over cell phones about the question papers for the recruitment test at a food stall at Kobi Jasimuddin Hall at about 1:00 am.

They informed the acting university proctor Prof Amzad Ali about the suspicious conversation. The proctor then rushed to the stall and held the duo with the help of university proctorial team.

The two were handed over to police shortly after 2:00am.

The proctor said many questions on the exam papers were identical to those on the leaked papers seized from the arrestees.

Gas crisis may linger .

US company Chevron has found no additional gas in the eco-sensitive Lawachhara forest under its existing Moulavibazar gas field.

This means an expected solution to the gas crisis by next year with additional supplies from three of Chevron’s gas fields has become uncertain.

Failing to strike additional gas in Moulavibazar, Chevron has revised its two-year-old proposal for supplying another 940 million cubic feet a day (mmcfd) gas from 2013 and now says it will supply 500 mmcfd.

Chevron drilled two wells in Moulavibazar late last year hoping to find more gas reserves but both of these turned dry, said sources in Petrobangla and Chevron.

The government however remains optimistic about resolving the crisis in two years.

According to Energy Secretary Mezbah Uddin, there were prospects of hitting new gas at several sites in the gas fields owned by the national companies in greater Sylhet region. Moreover, the unutilised Tengratila gas field of Niko might also come into operation.

Two years back, based on a three-dimensional survey in three fields –Moulavibazar, Bibiyana and Jalalabad — Chevron proposed to increase gas production by 940 mmcfd saying that these had additional gas reserves.

This gas would be enough to meet the on-going crisis which is affecting power generation to home consumption. It would also provide a respite for a few years for the country by ending its increasing dependency on imported oil for power generation.

Chevron is already producing 920 mmcfd from the Bibiyana, Moulavibazar and Jalalabad fields.

Amid resistance from a pressure group, Chevron conducted seismic survey in the eco-sensitive Moulavibazar area three years back.

Based on its findings, Chevron late last year started drilling two wells from the edge of Lawachhara forest so that the environment remains unaffected. But in the end, it found no new gas reserve.

But after the Moulavibazar failure, Chevron is banking on increasing production from the Bibiyana gas field where six new wells are now being drilled. It will also supply some additional gas from the Jalalabad field.

To get this gas, the government has recently awarded a Tk 1,650 crore contract for setting up a 36-inch diameter 137 km-long pipeline between Sylhet and Dhanua, which is large enough to transmit 1,000 mmcfd.

The energy secretary feels that the large new pipeline would not go unutilised despite the failure to get new gas reserves in Moulavibazar.

The new pipeline project was taken up considering not just the Chevron gas fields, he said. “We have to think ahead. Bapex is conducting three-dimensional studies in our old Rashidpur-Habiganj fields and it is expected that more gas will flow from Sylhet.”

Mezbah Uddin noted that the stalemate over Niko-Bapex’s Chhatak East (Tengratila) gas field would be resolved soon and it would give another additional supply.

The Tengratila field that blew up twice due to Niko’s inefficient handling in 2005 apparently has around one trillion cubic feet (tcf) gas reserve. But due to legal complications arising out of Niko’s controversial deal with Bapex as well as compensation claims of the government from Niko for the two blowouts, the field has not yet started commercial operation.

Besides, Bapex is now set to start drilling in a major new site named Sunetra in Sunamganj-Netrokona region. If successful, the discovered gas would be linked to the new 36-inch pipeline.

“If we had a new gas pipeline, the present crisis would not have been so acute as we already had some unutilised gas available in some fields,” said the energy secretary.

The pipeline is being constructed in several segments so that the contractors can complete the job by late 2013 or early 2014.

Referring to Chevron’s initial assessment based on a three-dimensional study, the energy secretary said the actual reserve of a gas field could be assessed only after drilling wells there.

Chevron’s estimate on the basis of three-dimensional survey could naturally change after drilling of wells. While the new wells in Moulavibazar were found dry, there were still high prospects of additional gas in Bibiyana, he said.

Chevron on the other hand told The Daily Star that in 2011 Petrobangla asked it to increase its production by 500 mmcfd. “We are working hard to respond to this challenge.”

It went on, “Our fields have additional production capacity, which could be realised if the present pipeline constraint issues are addressed. We are encouraged to see that plans for the Jalalabad-Bibiyana-Dhanua pipeline are being implemented. We anticipate that this pipeline will increase the supply of gas to the national grid.”.

Meanwhile, the gas crisis is worsening as the country’s lone off-shore Sangu gas field has reached its dying stage, barely producing seven-eight mmcfd now from a whopping 150 mmcfd a decade back.

Sangu’s Australian operator Santos drilled a new well in South Sangu hoping to strike a small reserve. But it turned out dry. The company is now drilling another well in Sangu.

Japan will lend $63 million to Bangladesh for a maternal and child health project.

Japan to lend $63 million to Bangladesh for a maternal and child health project.The money will be used in training health workers and upgrading facilities and equipment related to maternal, neonatal and child health, Xinhua quoted a statement of the Japanese embassy as saying on Wednesday.

The loan is provided through Japan International Cooperation Agency (JICA) at the interest rate of 0.01 per cent per annum, with the repayment period of 40 years.

Industry for lifting excise duty on garments.

The imposition of 10 per cent excise duty on branded products by the Centre, the textile industry, of which hosiery and readymade garments is an integral part, has been dealt with body blow.

In a letter to Union Finance Minister Pranab Mukherjee, Karnataka Hosiery &Garment Association and Taxation Committee Chairman Sajjan Raj Mehta has sought its withdrawal.

Earlier, the levy was 4 per cent and optional for garment makers who wanted to get refund under Centvat scheme. Since most did not register to claim Centvat, the duty was virtually zero. Now all branded garment makers pay 10 per cent duty on 60 per cent of MRP.

Large job provider
Being second largest job provider, the sector employs nearly 2.5 crore people in India with 40 per cent women. Shutting down small manufacturing units will result in mass unemployment. The domestic industry is worth Rs 40,000 crore made up of contributions from small-scale units scattered all over the country. Nearly 75-80 per cent of the industry still operates in the unorganised sector.

Texport Syndicate India Ltd, CEO & Director, Avinash Misar said on one hand, the government has opened up garment imports at zero import duty from Bangladesh which makes the Indian market highly competitive & price sensitive as Bangladesh products are inexpensive primarily due to low cost of operations in their country. On the other, it slaps excise duty making domestic garment industry products expensive and uncompetitive by 10 per cent.

Gokaldas Exports Limited Chief Mentor Rajendra J Hinduja said for garment exporters, the duty will create problems because even though exports are exempted from excise duty, all units will have to maintain detailed records, paper work will increase and man power cost will go up.

With severe competition from Bangladesh, Sri Lanka, China, Vietnam, the industry with 10,000 garment factories work on wafer thin margins. The levy will add to our headache, Hinduja added.

According to Arvind Brands Vice President & Business Head Alok Dubey said the excise duty has come at a time when cotton and yarn prices have gone up by 100 per cent.

Bangladesh announced plans to connect villages with fibre .

The Executive Committee of the National Economic CounciBangladesh announced plans to link more than 1,000 union councils through fibre under a government plan to build a digital Bangladesh, bdnews24 reported online. The Executive Committee of the National Economic Council (ECNEC) cleared the project in a meeting chaired by prime minister Sheikh Hasina. The project’s objective is to extend reliable, cheap and easily accessible ICT facilities, planning minister A K Khandker told journalists after the meeting. The project named Developing Optical Fibre Cable Network in 1006 Union Parishad will cost BDT 7.19 billion, he said. A total of 11,060-km of fibre cable will need to be laid to connect the 1,006 councils, the minister said.


Bangladesh Adopts Anti-Money Laundering Policy.

The Bangladesh government has promulgated a new Money Laundering Prevention Ordinance incorporating laws to prevent stock market manipulation, and a provision that says documents provided by foreign governments will be admissible in court for bringing back siphoned off money from abroad.

The new ordinance was promulgated last week scrapping Money Laundering Prevention Act 2009.

With this the anti-money laundering law has been changed three times.

The ordinance was promulgated to meet the conditions of the Asia Pacific Group on Money Laundering (APG), a global organisation that monitors different countries’ compliance with international anti-money laundering and combating financing of terrorism standards.

A finance ministry official said the new ordinance will be passed as an act by the parliament later.

The official said APG set December 31 last year as the deadline for making the new law. If the government had failed to make the law, APG would have issued a statement worldwide which would hamper Bangladesh’s international trade.

The new law has provisions for preventing terror financing through any Bangladeshi institution or individual.

It has expanded the list of “Predicate Offence” through which money or wealth amassed through crimes at home or abroad could be laundered.

Ten new crimes have been added to the list which includes stock market related offences as well.

The new law has made it criminal offence to take advantage of price-sensitive information about the stockmarket before their public disclosure -known as insider trading, and also attempts to control the market individually or institutionally.

Terrorism or financing terrorist activities, violation of intellectual property rights, extortion, environmental crimes, and tax-related crimes have also been included.

The new law has also expanded the list of organisations that must submit reports to the central bank about suspicious transactions using them. The stockmarket and non-government organisations have been added to the list.

Bangladesh’s non-profit organisation sector has 60,000 registered societies, associations, clubs, and companies. But there was no overall strategy to identify and address money laundering and the risks of terror financing through these organisations.

Stock dealers and brokers, portfolio managers and merchant bankers, security custodians, fund managers, real estate developers, cooperatives, non-profit organisations, trusts, and company service providers have also been newly included in the list.

In the new law the definition of money laundering has been widened as well. It included laundering off money abroad through over invoicing or under invoicing.

Bangladesh for the first time enacted anti-money laundering act in 2002 being pressured by the United Nations. It was amended in 2005. In 2008, the act was again amended through an ordinance, which was ratified by the current parliament in February 2009.

crops gain as investors bet on demand boost

Early reluctance in grains to follow other risk assets higher gave way to something altogether more enthusiastic, as traders looked to the demand that prices well below 2011 peaks might encourage.

It was not just announced deals from earlier in the week that got investors excited, with Bangladesh Libya buying wheat, and Jordan seeking the grain and buying barley, and Egypt purchasing corn.

On Thursday, Kuwait bought 20,000 tonnes of Canadian wheat, and 30,000 tonnes of barley of optional origin.

And from America, the US Department of Agriculture revealed that Mexico purchased 154,700 tonnes of corn, South Korea bought 110,000 tonnes of the grain, and China bought 120,000 tonnes of soybeans.

‘China a big buyer’

The deals, while too late to show up in the weekly US export sales data due tomorrow, fuelled expectations of big numbers turning up.

“Export sales tomorrow are also expected to be better. China is expected to show up as a big buyer of soybeans,” US Commodities said.

And is this just the thin end of the wedge?

“There is talk of China buying several cargoes of beans which is providing support to the nearby soybean futures,” Paul Georgy at Allendale said.

At rival broker Country Futures, Darrell Holaday said: “China continues to be active in the US soybean market and some of the market optimism is based on ideas that they may be moving some business from South America to the US.”

‘Heat ridge/dome’

And that might not be surprising given results of Brazil’s harvest so far, albeit with damage from too much rain, as struck the likes of Mato Grosso, rather than too little the issue thus far.

“The early soybean harvest taking place in Brazil is yielding disappointing results as much of this area dealt with excess moisture at inopportune times,” Benson Quinn Commodities said.

Nor may the rain relief noted for dry areas of Argentina and Brazil expected for this weekend mark the end of the weather test for crops.

The latest GFS model “now showing a heat ridge/dome developing as we move to the end of the month over Bolivia, north west Argentina, northern Chile and the south west southern Pacific ocean”, WxRisk.com said.

“Temperatures rise significantly in the last few days in January.”

‘Crush is now positive’

It is perhaps little surprise that US exports are now looking much more competitive.

“Offers of South American soybeans remain firm,” Benson Quinn Commodities said, noting that US wheat “has gotten much more competitive” too as Black Sea exporters struggle to keep prices down, with dryness a worry in Ukraine, and merchants in Russia having to travel far now to find supplies.

Furthermore, from China’s perspective, the “soybean crush is now positive”, according to US Commodities, which estimates Chinese purchases of the oilseed from the US at 8-10 cargoes.

“Remember China is on a pace to import 1m tonnes of soybeans a week from the world.”

Corn is now competitive into Asia too, coming in $95 a tonne cheaper than Chinese corn, excluding VAT.

Bright macro picture

The idea of thoughts turning to demand chimed with the broader market theme too, where investors were taking an altogether more optimistic view of the world economy.

Good results from Bank of America and Morgan Stanley, helped, as did data showing US jobless claims falling to a four-year low.

And in the eurozone, hopes rose that Greece will agree a deal with creditors, helping the euro rebound and adding to pressure on the dollar, which lost 0.5% against a basket of currencies.

US and European stocks hit their highest for five months.

Drier outlook

Grains could not match that record.

But Chicago corn closed up 2.1% at $6.06 a bushel for March delivery, with March soybeans adding 1.1% to $11.97 a bushel.

Wheat did best, as often happens in times of unexpected exuberance, as bears get scared into covering their many short positions in the grain.

Chicago soft red winter wheat for March added 2.3% to $6.05 ¾ a bushel.

Notably, Kansas hard red winter wheat, in which speculators are long, added a more modest 0.8% to $6.58 a bushel.

And this when, as Mr Holaday noted, “the prospect for moisture in the Plains has been reduced from earlier models for next week”, the Plains including huge, and rain needy, hard red winter wheat areas.

‘Cautiously covering shorts’

The mood spilled over into some soft commodities too, with cotton, deemed by its non-food nature on of the crops most exposed to economic considerations, adding 0.7% to 98.17 cents a pound in New York, for March delivery.

New York raw sugar added 2.5% to 24.61 cents a pound for March, continuing to gain strength too from ideas of rain delays to 2012-13 shipments from Latin America.

“With reports out pointing to a delayed harvest in Brazil due to weather and potential demand on raws out of Central America before March expiry, the trade seems to be cautiously covering shorts as the much touted surplus seems to be moving ever further out,” Nick Penney at Sucden Financial said.

London white sugar closed higher for a 10th successive session, and at a two month high, adding 1.8% to $641.60 a tonne.

Appropriate technology solutions.

An initiative, styled ‘Global Alliance for Clean Cookstoves,’ and launched last year by the US Secretary of State herself, sought to address the very real difficulties that poor women worldwide face when cooking with fuelwood and other biomass. This specially designed stove, as the name suggests, is said to be more fuel efficient and generating very little smoke, which is indeed welcome given the fact that this is a major factor in poor women’s bad respiratory health. Bangladesh is considered one of the world’s ten countries where poor women suffer most as a result of indoor pollution.

The burning of biomass like twigs, leaves and all kinds of agro-wastes in stoves not designed to keep smoke, soot and ash down, obviously compound matters. This fact had inspired ‘appropriate technology’ organisations over the past decades to help the target groups switch to improved stoves, and a few, fairly efficient ones have been adopted in selected areas. It may be mentioned that the clean cookstove alliance, advocated by Hillary Clinton, is also supposed to be part of the global climate change solution. Be that as it may, the stove hopefully is better in all respects, including affordability and accessibility, to merit marketing in rural Bangladesh. In this country, the initiative must remain both people-and-environment-friendly, keeping in mind the overwhelming numbers in the poor income bracket, although there is no doubt a global market for clean and efficient cooking solutions, just waiting to be profitably exploited.

Long-term cooperative action, both regionally and globally, could help evolve appropriate ways and means not only to protect habitats and livelihoods, but also to mitigate the sufferings of the most vulnerable. It was therefore greatly reassuring to find water experts from the region — inextricably inter-connected by the ecology of the Eastern Himalayan Range and the Ganges-Brahmaputra-Meghna basin — putting their heads together last year to collaborate, particularly in sharing knowledge on matters of adaptation, and meteorological data management. The region’s food and water security, they believed, could be protected and sustained only through meaningful collaboration. In an interdependent world, there is indeed no other way to build individual and collective capacities.

Bangladesh must therefore keep itself up to date with all the opportunities of appropriate technology transfer, as well as adequate finance for adaptation and mitigation of climate change problems. This should include claiming justifiable compensation from ‘the polluters’ for conserving forest resources and other vital carbon sinks in the Bangladesh territory. But while arguing for climate justice at regional and international forums, policy-makers seem unable to take a principled stand at home. The reported permission to the US company Chevron, to drill and extract gas from Block 14, which is just about 500 metres from the Lawachara Reserve Forest — meant to be protected under the Bangladesh Wildlife (Preservation) Order 1973 — is a case in point. Much is being made of the ‘debt’, that the over-consuming developed countries would have to pay the worst sufferers of climate change. It is expected to lead to the growth of carbon credits to around two trillion dollars a year by 2020! Although this complex trading system is not without its critics, conserving Bangladesh’s forests means earning much-needed credits. Bangladesh should certainly learn to opt for development that makes both economic and environmental sense.

The entrepreneurial bug appears to be spreading globally

According to the latest Global Entrepreneurship Monitor from Babson College, there are nearly 400 million active entrepreneurs around the world.

The annual survey polled 140,000 adults ages 18 to 64 from 54 different economies. GEM estimates that 163 million are women early-stage entrepreneurs, 165 million are young early-stage entrepreneurs (18 to 35 years old), 65 million entrepreneurs plan on creating 20 or more jobs in the next five years, and 69 million offer innovative products or services that are new to the market.

The study reviews entrepreneurship based on three standards: inclusiveness, industry and impact. The amount of opportunity entrepreneurs have, their gender, the industry they choose and how they affect their societies also help determine how successful entrepreneurial ventures might be.

“In an economy, you want to have some elements of stability, where firms maintain their businesses, despite facing ups and downs in their industry, their businesses or in the economy over time,” Donna Kelley, Babson College professor and the study’s author, explained. “At the same time, there needs to be some dynamism, where new ideas and new firms sprout up and replace in part those that have run their course.”

Across different economies, potential entrepreneurs may interpret a certain degree of opportunity to start a new business. GEM’s survey shows that even in places like Bangladesh, in which there is a high rate of perceived opportunity to start a business, many believe they do not have the capabilities or have a high fear of failure. Other economies in which potential entrepreneurs showed a high fear of failure or low capabilities included Japan, the Republic of Korea, Singapore and the United Arab Emirates. In light of the recent European economic downturn, survey participants in Greece, Hungary, Portugal and Spain all perceived very low levels of opportunity. Alternately, prospective entrepreneurs in the U.S. showed a moderate perception of opportunity, but great confidence in their abilities and a low fear of failure.

At 55.8 percent, Colombia reported the highest rate of non-entrepreneurs with entrepreneurial intentions, while more than 86 percent of Brazilians felt that entrepreneurship was a good career choice.

One of the most significant findings in the GEM survey was the steady increase of total entrepreneurial activity (TEA) across all the different economic levels despite a worldwide economic struggle over the past few years. Countries in the efficiency-driven category saw an average increase of 25 percent. Many of these economies, including China, Argentina and Chile, already had high rates of entrepreneurial activity and saw further increases in 2011. Of the 20 innovation-driven economies, there was an average 22 percent increase in activity, driven mostly by a big jump in nascent entrepreneurship, which saw almost 36 percent more startups. Kelley noted that “the talk of job loss and jobs not coming back from the recession may not be painting a complete picture. Our GEM results provide some indication that startup activity may be a missing part in these reports.”

Growth projections vary greatly. While most of the 54 economies have a high rate of low-growth projections, several economies, including China and the United Arab Emirates, display significant plans for high-growth potential, in which a company plans to add 20 or more employees over a 5-year span.