BUSINESS LICENSE MANUAL
PARTNER ORGANIZATIONS

Country Outlook

Bangladesh, as a country, precisely abridges the key attributes of the emerging South Asian markets and ranks among the fastest growing markets of South East Asia. According to global experts, Bangladesh is poised to become a middle income country by 2021; at present, the country fares well with a USD 112 Billion economy, 152.51 Million population of which 90 Million are under the age group of 25, a thriving middle income segment and a stable GDP growth of above 5% over the last decade. Bangladesh's growth has been resilient during the 2008-09 global financial crisis and recent global recession. The country aspires to become the regional manufacturing hub with a pool of competitive labour.

Bangladesh has achieved Ba3 (Moody's) stable rating for four consecutive years (2010-13), and Bangladesh's country rating by Moody’s is currently higher than that of Sri Lanka (B1) and Pakistan (Caa1). The current macroeconomic situation in thecountry is characterized by a manageable fiscal deficit and low current account deficit. The stable macroeconomic situation is an outcome of a mixture of prudent monetary and fiscal policies that are being pursued. The external current account deficit has also been low. This reflects the country’s continued high growth in exports, increased flows of remittances and moderate growth inmoney supply.


Bangladesh Economy: at a glimpse

“The Bangladesh Economic Update for October 2012 projects that GDP will grow at around 6% in FY 13, despite an unfavorable global economy. This will place Bangladesh among the top 35 out of 150 countries in IMF’s October 2012 World Economic Outlook. Bangladesh has maintained 6% plus growth over most of the last 10 years through strong export and remittance growth.” - The World Bank

GDP total:
 
BDT 10379.9 Billion (at currentmarket prices 2012-13)
 
GDP per capita:
 
BDT 67577 (at current market prices 2012-13)
 
GDP growth rate (%):
 
6.03 (at current market prices 2012-13)
 
Total exports:
 
BDT 1008.1 Billion (2012-13)
 
Total imports:
 
BDT 1307.2 Billion (2012-13)
 
Foreign exchange reserves: USD 14.829 Billion (2012-13)

Source: Bangladesh Economic Review 2013


Bangladesh: Trends of Major Macroeconomic and Social Indicators

Graph 01: Trends of major macroeconomic indicators

Source: Bangladesh Economic Review 2013

 

Table 01: Trends of major macroeconomic and social indicators

Indicators

FY 06-07

FY 07-08

FY 08-09

FY 09-10

FY 10-11

FY 11-12

FY 12-13

Population (Million)

140.6

142.4

144.2

146.1

149.7

151.6

153.6

Income (GNI per capita in US Dollar)

523

608

676

751

816

840

923

Foreign Exchange Reserves (Million US Dollar)

5077

6149

7471

10750

10912

10364

14829

Source: Bangladesh Economic Review 2013

 

Bangladesh Yesterday

Bangladesh Today and Tomorrow

  • Henry Kissinger famously dubbed the country a 'basket case' at its birth in 1971
     
  • Heavily dependent on imported food
     
  • Highly vulnerable to national disasters and external shocks
     
  • 85% of the development budget is from Foreign Aid
     
  • Jute, tea and shrimp were the main sources of export earnings
     
  • Total export earnings USD 0.4 Billion
     
  • Population 71.5 Million (1974)
     
  • Labour force participation rate by gender (%)
    National 43.8%
    Male 80.4%
    Female 4.1%

 

 


 

 

 

  • Kissinger's 'Basket Case' Bangladesh Targets 8% Growth – Bloomberg
     
  • Bangladesh has maintained an impressive track record on growth and development. In the past decade, the economy has grown at nearly 6% per year, and human development went hand-in-hand with economic growth. Poverty dropped by nearly a third, coupled with increased life expectancy, literacy, and per capita food intake. More than 15 Million Bangladeshis have moved out of poverty since 1992. - World Bank
     
  • Bangladesh is now self sufficient in food
     
  • Only 0.5% of the GDP is now from the foreign donation - Bangladesh Economic Review 2013
     
  • Second largest exporter of RMG in the world - World Trade Organization, January 2013
     
  • ‘Bangladesh is drawing companies such as General Electric Co. (GE) and International Business Machines Corp’-Bloomberg
     
  • Labour participation rate by gender (%)
    National 59.3%
    Male 82.5%
    Female 36.0%
    - Bangladesh Bureau of Statistics 2010
  • “Bangladesh is an unsung hero,” Atiur Rahman said in a report of Bloomberg on April 18, 2011. “If we could get some additional help in terms of infrastructure development and connectivity, we will do far better. We are in a buoyant mood.”