COMPARATIVE

ECONOMIC
DEVELOPMEN
T:
PAKISTAN
AND
BANGLADESH
Group 1
Anupiya Kansakar
Demin L. Kakshapati
Grishu Thapa
Rahul Raj Dali
Suchinda Shrestha
Anamika Shakya
Sarita Pandey
Synopsis

■ The case is about the economic development of

Pakistan and Bangladesh after Bangladesh declared
independence from Pakistan in 1971 and how
Bangladesh has been improving in a better pace
compared to Pakistan through various parameters of
development like HDI, growth, poverty,
Government and role of military and so on.
Identification of Core Issues

■ How has Bangladesh been transforming itself from a symbol of

famine to a symbol of hope?
■ What is the reason for Pakistan’s slow pace of development or
growth without development?
Facts on Core Issues
■ PPP-adjusted Per capita income in 2008 in
Pakistan was $2590 and $1,450 in Bangladesh
Female-to-Male Enrollment
■ In 2008, Pakistan’s growth decreased to Ratio
3%(2.83%) compared to Bangladesh who
120
held well comparatively topping 4% (5.05%)
100
■ In UNDP’s multidimensional poverty index, 80
Pakistan is at 70th position (score of 0.275)
60
whereas Bangladesh is at 73rd (score of 0.291)
40
■ Literacy rate of both countries are 54%, 20
however Bangladesh(50%) witnesses greater 0
gender equity than Pakistan (40%) Bangladesh Pakistan

Male Female
■ Female-to-male ratio in primary and
secondary enrollment is 1.07 in Bangladesh
compared to 0.83 in Pakistan
■ In 2009, the life expectancy in both countries
was 66 years.
 Facts on Core Issues
■ Child Malnutrition in Bangladesh was less than Health
50%, more than Pakistan with about 38%
100%
■ Under-five mortality rate in Bangladesh was 54 90%
per 1000 live births compared to 89 per 1000 80%
live births in Pakistan
70%
■ Pakistan ranked 141 in HDI and Bangladesh 60%
ranked 146 in 2009
50%
■ From 6 births per woman in both countries, 40%
fertility rate fell to 4.0 in Pakistan and to 2.3 in 30%
Bangladesh
20%
■ Bangladesh above average (2nd highest group) 10%
in gender equity whereas Pakistan is in the
0%
lowest (4th) Child Malnutrition Under-Five Mortality Rate

■ Aids received by Pakistan not well-utilized

compared to Bangladesh which involved Bangladesh Pakistan
effective NGOs
■ Pakistan’s ‘elitist growth model’ vs
Bangladesh’s ‘most vibrant NGO sectors’
Vicious Cycle of Poverty

■ 23% below poverty line($1.25/day) and 59% ($2/day) in

Pakistan.
■ 49% in below poverty line($1.25/day) and 80% ($2/day) in
Bangladesh.
■ UNDP’s new multidimensional poverty index ranked:
Pakistan as No.70 (0.275)
Bangladesh as No.73(0.291)
Analysis - Slower Growth in Pakistan

■ Lower Growth of Human Capital compared to other factors

Country Literacy Male Female Country Life Expectancy
Rate Literacy Literacy
Rate Rate
Pakistan 66 years
Pakistan 56.98% 69% 44%
(2014)
Banglades 72 years
Banglade 61.09% 58% 64%
h
sh (2014)
Diminishing Returns to Scale
Diseconomies of Scale
Opportunity cost
Production Possibilities
Curve
Y-Value 1
10 C
8 B
6
Defense

4
2
0
0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 5.5
Social indicators
 Human Development Index
Nation Life expectancy Life expectancy Under five child Under five child Educational
(1970) (2008) mortality rate mortality rate attainment
(female to male
enrollment ratio)

Pakistan 54 years 66 years 180 per 89 per 0.83

1000(1970) 1000(2008)

Bangladesh 44 years 66years 239 per 54 per 1.07 to 1

1000(1970) 1000(2008)

Nation Real GDP per capita(2008) HDI rank

Pakistan $2590 141

Bangladesh $1450 146

 HDI (2017)
Country Literacy rate Life expectancy Real GDP per HDI rank
capita

Pakistan 58% 67 years $1472.9 150 out of 189

Bangladesh 72.89% 72 years $1698 136 out of 189

Solutions

■ The problem of teacher truancy must be addressed

■ Proper utilization of foreign aid
■ Focus on social development
■ Proper law against corruption must be made
■ Investment on education must be made
Managerial Implication

■ Proper allocation of available resources be it human or technical

■ The employees must be hired on their ability rather than
political or social influences
■ Their must be no discrimination based on gender among the
employees
References

■ http://hdr.undp.org/sites/default/files/mpi_2019_table_1.pdf
■ https://www.google.com/publicdata/explore?ds=d5bncppjof
■ www,economicshelp.org
■ http://hdr.undp.org/en/countries/profiles/BGD
■ http://hdr.undp.org/sites/all/themes/hdr_theme/country-notes
/PAK.pdf