Bangladesh will be Asia’s highest economic growth nation: ADB...

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Bangladesh will be Asia’s highest economic growth nation: ADB

 Staff Correspondent

 Published: 04:41 PM, 3 April 2020   Updated: 04:48 PM, 3 April 2020

Bangladesh will be Asia`s highest economic growth nation

Bangladesh will be Asia`s highest economic growth nation

Asian Development Bank (ADB) believes that Bangladesh's economy will remain strong this fiscal year if they can properly address the challenges of the coronavirus epidemic. Bangladesh's gross domestic product (GDP) growth is expected to decline slightly to 7.8 per cent from the previous year, it said. Which is good news amid coronavirus situation.

This was informed by the Asian Development Bank (ADB) report titled ‘Asian Development Outlook (ADO) 2020′ released on Friday. According to ADB, coronavirus has created a global health risk. This has impacted the global economy.

According to ADB, the average growth in Asia can be drastically reduced. The average growth in Asia in 2020 will be 2.2 per cent, that was 5.2 per cent in the last fiscal year.

The report said China is expected to attain a 2.3 per cent growth in current fiscal followed by 4 per cent by India and 4.8 per cent by Vietnam.

“Bangladesh economy continued to perform well despite the global economic slowdown. However, there exists a downward risk due to the COVID-19 global pandemic,” said ADB Country Director Manmohan Parkash.

“ADB’s preliminary estimates indicate that about 0.2% to 0.4% of Bangladesh GDP may be lost due to spillover effects of the global COVID-19 pandemic. If a significant outbreak occurs in Bangladesh, the impact could be more significant,” he added.

During the first eight months of FY2020, Bangladesh economy showed strong performance with growing domestic demand, supported by a substantial increase in workers’ remittances. Economic activity is expected to accelerate with higher government development spending; higher imports of liquefied natural gas, oil and construction materials; favourable power production, and government’s policy support to boost exports, according to the report.

However, the COVID-19 pandemic could hamper such trend due to disruptions in export demands, suppressed consumption, and curbed remittances, the report said.

The government has set a target of 8.2 per cent economic growth in the current fiscal year which was 8.13 per cent in the last fiscal year.