The Macro-economic Performance of Bangladesh (2008-2013)
1. INTRODUCTION
In real term Bangladesh 's economy has grown 5.8% per year since 1996, despite political instability, poor infrastructure, corruption, insufficient power supplies, and slow implementation of economic reforms. Bangladesh remains a poor, overpopulated, and inefficiently governed nation. Although more than half of GDP is generated through the service sector, 45% of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Bangladesh 's growth was resilient during the 2008-2009 global financial crisis and recession. Garment export, totaling $12.3 billion in the fiscal year 2009 and remittance from Bangladeshis, totaling $11 billion in fiscal year 2010, accounted for almost 12% of GDP.
The macroeconomic developments in Bangladesh since the beginning of the 1990s, until middle of the decade, were characterized by a record-low rate of inflation, an unprecedented build-up of external reserves and an improved resource position of the government. These developments have been interpreted in part as evidence of successful macroeconomic stabilization, but also in part as symptoms of economic stagnation. The changes in the macroeconomic trends in the early 1990s came in the wake of a transition to a democratic rule along with the launching of a comprehensive programme of market-oriented liberalizing policy reforms. After that period there was a evident in a build-up of inflationary pressures, a deterioration in the government 's budgetary balances and a rapid draw-down on foreign exchange reserves.
Economic reform is stalled in many instances by political infighting and corruption at all levels of government. Progress also has been blocked by opposition from the bureaucracy, public sector unions, and other vested interest groups.
A key part of the economic environment is the strength of the macro-economy. Macroeconomics is mainly concerned with:
Levels of employment and unemployment
The total investment
In real term Bangladesh 's economy has grown 5.8% per year since 1996, despite political instability, poor infrastructure, corruption, insufficient power supplies, and slow implementation of economic reforms. Bangladesh remains a poor, overpopulated, and inefficiently governed nation. Although more than half of GDP is generated through the service sector, 45% of Bangladeshis are employed in the agriculture sector with rice as the single-most-important product. Bangladesh 's growth was resilient during the 2008-2009 global financial crisis and recession. Garment export, totaling $12.3 billion in the fiscal year 2009 and remittance from Bangladeshis, totaling $11 billion in fiscal year 2010, accounted for almost 12% of GDP.
The macroeconomic developments in Bangladesh since the beginning of the 1990s, until middle of the decade, were characterized by a record-low rate of inflation, an unprecedented build-up of external reserves and an improved resource position of the government. These developments have been interpreted in part as evidence of successful macroeconomic stabilization, but also in part as symptoms of economic stagnation. The changes in the macroeconomic trends in the early 1990s came in the wake of a transition to a democratic rule along with the launching of a comprehensive programme of market-oriented liberalizing policy reforms. After that period there was a evident in a build-up of inflationary pressures, a deterioration in the government 's budgetary balances and a rapid draw-down on foreign exchange reserves.
Economic reform is stalled in many instances by political infighting and corruption at all levels of government. Progress also has been blocked by opposition from the bureaucracy, public sector unions, and other vested interest groups.
A key part of the economic environment is the strength of the macro-economy. Macroeconomics is mainly concerned with:
Levels of employment and unemployment
The total investment
References: Bangladesh Bank. (2008-2012). Economic Trends. [Monthly issues from 06/2008 to 07/2012]. Dhaka: Bangladesh Bank. Bangladesh Bureau of Statistics. (2012). Summary Report of the Household Expenditure Survey August 2012, Dhaka: Government of Bangladesh. Bangladesh Bureau of Statistics. (2000). 2000 Statistical Year Book of Bangladesh, Dhaka: Government of Bangladesh. Bangladesh Bureau of Statistics. (2008). Report of the Household Income & Expenditure Survey March 2008, Dhaka: Government of Bangladesh. Bhattacharaya, D. (2013). Bangladesh Economy in FY2013: Macroeconomic Performance. In Centre for Policy Dialogue Center for Policy Dialogue (CPD) & Independent Review of Bangladesh’s Development (IRBD). (2013) The Centre for Policy Dialogue (CPD). (2013). Analytical Review of Bangladesh’s Macroeconomic Performance in FY2012-13 (First Reading) April 2013 Bangladesh Economy Profile. (2013) – [www.indexmundi.com/bangladesh/economy_profile.html]