Bangladesh: From Bottomless to Rising Economy

“Bangladesh is an example of economic progress and a country of great hope and opportunity”-The USA president Joe Biden

Bangladesh has made remarkable strides in transforming its economy from one plagued by poverty and underdevelopment to a
rising economy. In the early years following its independence in 1971, Bangladesh faced tremendous challenges. It was burdened
with a high population density, political instability, frequent natural disasters, and widespread poverty.

Through a combination of determined efforts, strategic policies, and a focus on human capital development, Bangladesh has
managed to overcome numerous obstacles and carve a path towards prosperity.
Bangladesh Economy from 1972 to 2022: Bangladesh’s economy has gone from a “basket case” to being a “model case”
study for economic development across the globe.

Sector In 1972 In FY 22-23

GDP $6.29b $460b
GDP Growth rates -13.97% 7.1%
Per capita GDP $91 $2687
Per Capita Income $120 $2793
Poverty rate 80% 18.5%
Exports Income $0.36b $52b
Imports Payment $0.86b $ 88.23b
Remittance Inflow $10m in FY-76* $16.03b
Inflation rate 9.87% in FY-87* 8.61%
Literacy rate 47% 76.4%
Average life expectancy 46.37 72.3 years
Source: BBS, WB, Finance Ministry
The country also has a few big dreams ahead of it and is working diligently to achieve them as soon as possible.

Bangladesh is already set to graduate to a developing country in 2026 and become an upper-middle-income country by 2030.
Afterwards, the country is also on the path to becoming a trillion-dollar economy by 2040 and a high-income country by 2041. [
Source: BBS, WB, Finance Ministry]
The key factors that are driving the Bangladesh Economy:
1. Garment Industry and Export-Oriented Growth: The garment industry has played a pivotal role in Bangladesh's
economic success. Leveraging its large labor force and low production costs, Bangladesh has become one of the world's
leading exporters of readymade garments. The sector has created employment opportunities, particularly for women,
contributing to poverty reduction and socio-economic empowerment.

2. Agricultural Reforms and Food Security: Agriculture plays a vital role in Bangladesh's economy, providing
employment to a significant portion of the population. In recent years, the country has implemented various agricultural
reforms, focusing on improving productivity, enhancing access to credit and technology, and diversifying crops.

3. Human Capital Development: Recognizing the importance of human capital in driving economic growth, Bangladesh
has made substantial investments in education and skill development. The government has prioritized education reforms,
expanding access to primary and secondary education, and promoting vocational training programs

4. Microfinance and Poverty Alleviation: Bangladesh has gained international recognition for its successful microfinance
initiatives, pioneered by organizations like Grameen Bank. Microfinance programs have provided access to financial
services for the rural poor, enabling them to start small businesses, improve their livelihoods, and break the cycle of
poverty.

5. Transportation Infrastructure: The country has witnessed significant progress in the construction of highways,
bridges, and flyovers, which have enhanced intercity and rural connectivity. Notable projects include the Padma Bridge,

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 the largest infrastructure project in the country's history, which will connect the underdeveloped southwest region to the
capital city, Dhaka.

6. Power and Energy Infrastructure: The government has implemented initiatives to enhance power generation capacity
and improve access to electricity in rural areas. This includes the establishment of large-scale power plants, such as the
Rooppur Nuclear Power Plant, as well as the promotion of renewable energy sources like solar and wind power.

7. Port and Logistic Infrastructure: Bangladesh's strategic location near major international trade routes has led to the
development of port and logistic infrastructure. The country has invested in expanding and modernizing its seaports,
such as the Chittagong and Mongla ports, Payra port and Matarbari port to accommodate larger vessels and increase
trade volume.

8. Healthcare and Public Health: Bangladesh has made remarkable progress in healthcare and public health, focusing on
reducing maternal and child mortality rates, combating infectious diseases, and improving access to healthcare services.
The government has implemented various initiatives, such as the community clinic program, which provides essential
healthcare services at the grassroots level.

9. Gender Equality and Women Empowerment: The country has made notable progress in increasing women's
participation in politics, education, and the workforce. Initiatives like microfinance programs and women's
entrepreneurship support have empowered women economically.

10. Poverty Reduction and Social Safety Nets: Bangladesh has implemented targeted social safety net programs to
alleviate poverty and provide assistance to vulnerable populations. These programs include cash transfer schemes, food
assistance programs, and employment generation initiatives.

11. Social Inclusion and Community Development: Bangladesh has emphasized social inclusion and community development
to address the needs of marginalized groups, including ethnic minorities, disabled individuals, and socially disadvantaged
communities.

12. The key challenges faced by the Bangladesh economy: While Bangladesh has made remarkable progress in recent years,
the country still faces several challenges that pose hurdles to its continued economic growth. These are following

Limited Diversification:One of the major challenges for the Bangladesh economy is its heavy reliance on a few sectors, such as
the garment industry and agriculture. This lack of diversification makes the economy vulnerable to external shocks and limits its
potential for sustained growth. To overcome this challenge, Bangladesh should focus on promoting and supporting the
development of other industries, such as information technology, pharmaceuticals, and manufacturing.

Infrastructure Development: Inadequate transportation networks, power shortages, and limited access to quality healthcare and
education facilities hinder economic growth. To address these challenges, the government should continue investing in
infrastructure development, particularly in rural areas, to improve connectivity, ensure reliable power supply, and enhance access
to essential services. Public-private partnerships can also be utilized to attract investment and expertise in infrastructure projects.
Climate Change and Natural Disasters: Bangladesh is highly susceptible to climate change impacts, including rising sea levels,
floods, and cyclones. These natural disasters pose significant challenges to the economy, affecting agriculture, infrastructure, and
livelihoods. To mitigate these risks, Bangladesh should prioritize climate change adaptation and invest in resilient infrastructure.

Income Inequality and Poverty: Despite impressive poverty reduction efforts, income inequality remains a significant challenge
in Bangladesh. A significant portion of the population still lives in poverty, with limited access to basic services and opportunities
for upward mobility. To tackle this challenge, the government should focus on inclusive growth policies that prioritize equitable
distribution of resources and opportunities. This can be achieved through targeted social safety net programs, investments in
education and skill development, job creation, and support for small and medium-sized enterprises.
Governance and Corruption: Ensuring good governance and combating corruption is essential for sustaining economic growth
and attracting foreign investment. Bangladesh should strengthen its institutions, enhance transparency, and promote

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accountability in both public and private sectors. Strengthening legal frameworks, establishing effective anti-corruption measures,
and promoting a culture of integrity and ethical business practices are necessary to tackle this challenge.
Bangladesh's journey from a bottomless pit of poverty to a rising economy is a testament to the determination and resilience of
its people. The country's achievements in the garment industry, agricultural reforms, human capital development, infrastructure
development, and poverty alleviation have laid a strong foundation for sustained growth. By addressing the challenges ahead and
embracing a comprehensive and inclusive development strategy, Bangladesh has the potential to continue its upward trajectory
and become a model for other developing nations.

 Information Box
যে য োন টপি এ আিনোর এ টো information Box থো ো উপিৎ যেখোনন আিপন ওই টপি সংপিষ্ট য োর ও পিম ইনফরনমশন যেনন/সংগ্রনে
রোখনেন এেং িরীক্ষোয় ওই টপি েো োছো োপছ যেন োন টপিন পরনেট নর ইনফরনমশন গুনেো আিনোর যেখোর ফোাঁন ফোাঁন েুনে পিনয় আসনে
েনে।

এই টোইনির েোংেোনিনশর অথথনীপে সংপিষ্ট যে য োন টপিন আিনোর টোপনথং িনয়ন্ট েো েযেেোরনেোগ্য েুরুনির েোস েনে িোনর…

“ Bangabandhu for independence

And
Sheikh Hasina for Economic Emancipation” --- The Asian Age

[স ে োনের শুরনে যেমন পেসপমল্লোহ েনেন-েোংেোনিনশর উন্নয়ন-অগ্রগ্পে/অথথনীপের স ে প্রনে এভোনে শুরু রনে িোনরন! ]

 "Bangladesh: From bottomless basket to space odyssey"-The Asian Age.

 "Myth is not history but paradoxically history sometimes is created by myth. Bangladesh is an example of this"- The
Asian Age

 “পিপেটোে েোংেোনিশ এখন স্বপ্ন নয়, এপট এখন েোস্তেেো”—যশখ েোপসনো।

 “উন্নয়ননর মেোসেন এপগ্নয় িনেপছ িু েথোর
এখন সময় েোংেোনিনশর মোথো উাঁিু নর িোাঁেোেোর।”- —যশখ েোপসনো।
 “Digital Bangladesh is now a reality, Not a dream” –HPM Sheikh Hasina
 ‘Bangladesh is a Role Model of Development’- HPM Sheikh Hasina

Engineer’s BCS Care

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