Bangladesh, which is able to graduate from the group of least developed nations (LDC), will face some challenges through the transition interval as a result of devastating affect of the coronavirus pandemic, in line with the United Nations Convention on Commerce and Improvement (UNCTAD), which not too long ago stated the pandemic and the following international recession had interrupted a interval of fast financial progress.
Regardless of the brand new challenges, Bangladesh is scheduled to graduate to a growing nation in February because the nation has already terribly outperformed in all of the three standards. The transition interval will finish in 2024.
“But, the nation has up to now weathered the disaster comparatively effectively and seems set to document constructive GDP [gross domestic product] progress even in 2020, however a pointy slowdown in financial exercise,” UNCTAD stated.
Dhaka is making ready a place paper to be positioned within the second triennial evaluation on the nation’s commencement by the UN Committee on Improvement Coverage in January.
In keeping with the UNCTAD’s newest profile, regardless of all of the positives of the previous many years, some deep-seated challenges proceed to linger on Bangladesh’s sustainable growth prospects, notably the modest progress by way of export diversification and the elusive quest for enough sustainable growth finance.
These challenges are made much more formidable by the fallout from the pandemic, which threatens to go away long-lasting scars on the world financial system, making the worldwide atmosphere much less conducive, a Dhaka-based English-language every day cited UNCTAD as saying.
The rising mega-trends reminiscent of local weather change and digitalisation are certain to exert wide-ranging implications for the longer term growth trajectory of developed and growing nations alike.
Estimates of the affect of shedding LDC-specific preferential market entry vary between 7 per cent and 14 per cent of exports, with the majority of the discount impinging on textile and clothes exports to developed markets, the place adjustments in tariffs can be comparatively extra antagonistic.
The Bangladesh Garment Producers and Exporters Affiliation has sought 10 years because the transition interval for Bangladesh because the home financial system, employment and export had been severely affected by the pandemic.
UNCTAD additionally stated if Bangladesh is to proceed its outstanding progress efficiency, the nation has to diversify into step by step extra complicated merchandise.
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Bangladesh, which is able to graduate from the group of least developed nations, will face some challenges throughout transition as a result of devastating affect of the coronavirus pandemic, in line with the UN Convention on Commerce and Improvement, which not too long ago stated the pandemic and the following international recession had interrupted a interval of fast financial progress.