Economy of Bangladesh

It is a vital question whether Bangladesh is moving in the right direction or not. What are the signs saying? What are the indicators saying?

Well, for a start, Bangladeshi’s economy is all set for a healthy growth in the coming years. GDP growth was well above 6.5% in the last decade and is expected to reach 7% soon. The smooth growth is a result of hard work from the general workforce, visions of the dynamic businessperson and effective policies taken by the government in the last two decades.

The country was dependent on agriculture in the 1970s and 1980s. Main focus of the government was around the agricultural sector. At one stage, the country became self-sufficient. Then the process of industrialization started. The transaction was not smooth but it was not harsh. The business sector, the work force and the mass people coped well. The government soon took policies favoring the industrialization, foreign investment started coming in, home grown products started to make names.

Now, the country is all set to earn more than $1 billion in foreign currency annually by exporting pharmaceutical products. According to industry experts, the pharmaceutical sector will have a 16% growth in the next five years. Other major contributions to the economic progress are the garments, textile, leather and agriculture. The ceramic industry, led by Shinepukur Ceramics, is also growing. The clothing industry that compiles garments and textile sums up to about 80% of the country’s exports and more than 13% of GDP. In 2015, the industry exported more than $26 billion and in 2016, it exported more than $29 billion. The number will increase in the coming years.

The rise in competition for high-quality products also contributed to the economic growth. The consumers are now cautious about the quality of the products they buy or the service they take. This forces the local companies to do more research and ensure that the products are of high quality. The saying – competition brings out the best in products, was well placed!

Poverty level is lowering and literacy rate is increasing, thanks to right polices taken by the government. These two factors are effectively helping the economy grow. With these two indicators moving in the right direction, there is no doubt that Bangladesh will soon emerge as a promising economic power in the region.

Interestingly, Bangladesh has been rated higher in the world happiness report than most of the advanced countries. It indicates, the mass people are generally happy with how things are going in their lives. So yes, Bangladesh is indeed moving in the right direction.