Bangladesh: Leading towards Tailwinds & Headwinds of Economy

To the east of India on the Bay of Bengal, Bangladesh, officially the People's Republic of Bangladesh is a South Asian country marked by lush greenery and many waterways. The country has had a remarkable story of growth and development through poverty risks and instability. To be exact, driven by consumer optimism, innovation in emerging economic sectors and a young engaged workforce, Bangladesh is on course to becoming a $1 trillion economy by 2040, according to Boston Consulting Group.

The economy of Bangladesh is $460.75 billion (nominal) as of 2022 estimates. Even though Agricultural sector is still the largest employer in Bangladesh, accounting for 37.6 percent of the total work force and 13.1 percent of the GDP, there are other industry sectors as well, including Textiles (Cotton & jute) & Garments, FMCG (tea processing, sugar), Shipbuilding, Tourism, Information, Communication, Construction (Cement), Engineering (chemical fertilizers, light engineering), and Technology, that reportedly employ 21.4 percent and represent 27.8 percent of GDP.

However, COVID-19 was a rough patch for all, the country made it through markedly on the back of a robust demographic dividend, strong ready-made garment (RMG) exports, resilient remittance inflows, and stable macroeconomic conditions. As per Statista, revenue in the Apparel market amounts to $9.34 billion in 2022, and is expected to grow further at a CAGR of 4.31 percent during 2022-27. In this growth, Women's Apparel alone holds a market volume of $4.20 billion in 2022. Further, the Asia-Pacific Geotechnical Engineering & Design Software market size valued at $221.14 million in 2021 is expected to reach $246.80 million in 2022, at a CAGR 11.35 percent, to reach $421.71 million by 2027, as per Research and Market study. There are many well-established and startup companies leading to developmental growth across industry sectors (be it Clothing, Engineering, IT, Manufacturing, or others) adapting to evolving trends and changing technologies, under the aegis of some skilled and agile leaders. And, they certainly need to be applauded for it.