There are still numerous irregularities in the country’s financial and banking sector
The recent announcement by Asian Development Bank (ADB) that Bangladesh has achieved the fastest growth rate in the Asia-Pacific economies -- comprised of 45 countries -- is welcome news, and only reinforces the fact that the government is fully focused on ensuring that Bangladesh’s growth trajectory remains on the right track.
In the outgoing FY2018-19, the ADB said Bangladesh attained 7.9% growth, and predicted that growth would be 8% in subsequent years, which would be a new record for Bangladesh.
There have been several factors responsible for Bangladesh’s continuously strong growth rates -- higher public sector investment, stronger consumption demand, revival in exports, improved power supply, and higher growth in private sector credit to name but a few -- and there is reason to believe that conditions will only improve.
However, it is important for Bangladesh to remember that, despite its impressive economic growth, there remain multiple challenges that it must address.
There are still numerous irregularities in the country’s financial and banking sector, along with Bangladesh’s persisting problems in its ease of doing business. The ADB has urged reforms within the banking sector, which will attract higher private investment, and ultimately support the country’s growth while the establishment of the Special Economic Zones in the country could help with its ease of doing business rankings.
By now, it has been firmly established that as far as economic development is concerned, Bangladesh is well and truly on its way to achieving historic milestones -- that is, graduating to a middle-income nation and shedding our LDC tag once and for all.