Bangladesh’s economy in good shape in South Asia amid pandemic
Published: 11:58 AM, 5 December 2020 Updated: 12:22 PM, 5 December 2020
Despite the pandemic situation, Bangladesh’s economy is in a good position among South Asian countries. Considering the per capita growth, Bangladesh’s position is currently relaxable, however, the number of poverty has slightly increased. If the cash flow is not increased, there is a risk of potential disaster, said Dr. Ibrahim Khaled, a prominent economist and former deputy governor of Bangladesh Bank, saying: “People are fighting the pandemic and trying to keep the economy forward to survive.”
“We are going through a catastrophe,” he said.
Dr. Ibrahim Khaled said Bangladesh’s position in South Asia is currently good. Per capita growth has increased this year compared to India. “But there are different issues – such as firstly, the huge population in India and secondly – as there are wealthy people, there are also destitute people. As a result, the average index of India goes down,” he said.
However, due to the less population of Bangladesh than India, the index is not so low, he added.
Meanwhile, the Maldives and Sri Lanka have the highest per capita income in South Asia. The two countries are ahead due to high income and low population. However, those also have to halt amid the COVID outbreak.
Dr. Ibrahim Khaled said Bangladesh has set a record in remittances and reserves. But it can also be temporary unless we can expand the market for expatriate workers.
Meanwhile, the United Nations says the poverty rate in Bangladesh stood at 39 percent last September. Before the pandemic, it was 20 percent.
According to the prominent economist, this index is certainly challenging for the future. The government needs to take urgent action to reduce the poverty rate. Otherwise, the effects of COVID will be long-lasting.