COVID-19 Pandemic and its Consequences

on the Perspective of the Economy of

Bangladesh

Participants
1.Tirtha Tanuj Barua
2.Sobha soha
3.Nafim Ahmed
 Contents
COVID-19 attack in Bangladesh

Pre COVID-19 Situation of Bangladesh’s Economy

Impacts of COVID-19 on the Bangladesh Economy

Effect of COVID-19 in the field of remittance

World economy condition during COVID-19

Is it possible for Bangladesh to overcome the threats?

 The Coronavirus Pandemic
Coronaviruses are a group of RNA Virus that cause diseases in
mammals and birds. In humans and birds, they cause respiratory tract
infection that can range from mild to lethal. Mild illnesses in humans
include some cases of the common cold (which is also caused by other
viruses, predominantly rhinoviruses), while more lethal varieties can
cause SARS, MERS, and COVID 19.  
In which sectors did COVID-19 cause
damages?
Coronavirus Disease has caused widespread damage in every sectors
imaginable in the world.However, Education, Economic,
Tourism,Financial and Trade sectors has been hit the hardest among all
others.So today we are going to talk about the economic crisis due to
COVID-19.
WHAT IS HAPPENING DUE TO COVID-
19 IN BANGLADESH?
 COVID ATTACK IN BANGLADESH
1. Bangladesh confirmed first COVID-19 case on the 8th of March 2020, followed by a
nationwide lockdown from 26 March which had been extended several times until 30th
May 2020 to prevent human transmission. 
2. The government deployed armed forces to facilitate social distancing on March 24th.
Emergency healthcare services and law enforcement were exempt from this
announcement. 
3. Yet more than 11 million people left Dhaka to return to their home districts and thus
helped spread the diseases nationwide. Moreover, from the 25th of April 2020, all
ready-made-garment (RMG) factories, industries, private offices, and business centers
were allowed to open, leading to a “partial lockdown” in the country.
4.  The migration of RMG workers to the industrial districts and less community
awareness about the disease has increased the transmission among millions of people.
 Pre COVID situation of Bangladesh’s
Economy
• Gross Domestic Product of Bangladesh grew 8% in 2018 compared to 2017.
This rate is 4 -tenths of one percent higher than the figure of 7.6%
published in 2017.
• The GDP figure in 2018 was $288,424 million. The absolute value of GDP in
Bangladesh rose $26,347 million with respect to 2017.
• The GDP per capita of Bangladesh in 2018 was $1,788, $147 higher than in
2017, it was $1,641. To view the evolution of the GDP per capita, it is
interesting to look back a few years and compare these data with those of
2008 when the GDP per capita in Bangladesh was $656.
 Why are we having economic crisis due to
covid-19 in the first place?
• The COVID-19 recession is an ongoing severe global economic crisis which is now on the
verge of a depression. This is the worst financial and economic disruption of the 21st
century. The virus has caused a recession in some nations and in others a depression. It is
the worst global economic crisis since the Great Depression. 
• The crisis began due to the economic impact of the ongoing COVID-19 Pandemic. The first
major sign of a recession was the collapse of markets during the 2020 stock market crash,
which began in late February and lasted through March. 
• But the stock market crash was short-lived, and many market indices around the world
recovered or set new records by the northern autumn 2020. By September 2020, every
advanced economy had fallen to recession or depression, whilst all emerging economies
are in recession. 
• Modeling by the World Bank suggests that in some regions a full recovery will not be
achieved until 2025 or beyond. Because economic depressions last years and not quarters
the economic impact of COVID-19 is predicted to cause an economic depression.
So what is happening to bangladesh during
this crisis
In early March, the Asian Development Bank (ADB) estimated that the
Bangladesh economy would contract by 1.1 per cent wiping  $3.02
billion  off its GDP. The World Bank (WB) and the International
Monetary Fund (IMF) predicted a decline of just over 2 per cent during
the 2019-2020 fiscal year. Their prediction appears to be fairly realistic
given the rising numbers Covid-19 infections and fatalities the country
is currently experiencing and the reimposition of lockdowns. The
Economic Intelligence Unit (EIU) estimate is even more dire, predicting
a decline of 4 per cent of Bangladesh GDP next year.
Effect of COVID in the field of remittance

• The economic importance of the more than 10 million migrants from

Bangladesh who sent close to $18 billion in 2019 cannot be
overstated. International remittances normally represent
around 7% of Bangladesh’s GDP.  
• But the COVID-19 pandemic is having an acute effect on Bangladeshi
migrants abroad, who are largely concentrated in countries with strict
lockdown measures. 
• Considering the large volume of Bangladeshi migrants in the Middle
East, secondary economic impacts through depressed demand and
falling oil prices will also likely add strain to the flow of remittances.
What is the outlook for Bangladesh’s
future? 
• We are still expecting a pick-up in activity toward the middle of
2021, with growth climbing back to around 6 percent.
• Of course, that depends on the domestic economy starting to recover.
But there is so much uncertainty and it is very difficult to ascertain
with precision the recovery’s speed or extent.
• We still expect that the country would quickly come back to previous
growth rates, if global economic conditions are supportive.
Thank You
For your patience