Bangladesh has experienced significant economic growth over the past decade, with an average annual growth rate of around 7%. This growth has been driven primarily by the country's agriculture, textile and garment manufacturing, and remittances from overseas workers.
While the country has made progress in reducing poverty and improving the overall quality of life for its citizens, it still faces significant challenges, including high levels of inequality, inadequate infrastructure, and environmental degradation. The country's large labor force is predominantly engaged in informal and low-wage work.
One of Bangladesh's major economic sectors is the garment industry, which accounts for a significant portion of the country's exports. The industry has been instrumental in the country's economic growth, but it has also been criticized for poor working conditions and low wages.
The government of Bangladesh has implemented a range of policies aimed at promoting economic growth and development, including investment in infrastructure, education, and technology. The country has also pursued trade agreements with other countries and worked to attract foreign investment.
Despite its progress, Bangladesh still faces significant economic and social challenges. However, the country's ongoing economic growth and development suggest that it has the potential to continue making progress in the years to come.
Overall, the economy of Bangladesh is complex and multifaceted, with both successes and challenges. While the country has made significant progress in recent years, there is still much work to be done to address inequality, improve infrastructure, and promote sustainable economic growth.
Budget of Bangladesh:
- The budget of Bangladesh is presented annually by the Finance Minister, typically in June or July.
- The budget outlines the government's plans for revenue generation and expenditures for the upcoming fiscal year, which runs from July 1st to June 30th of the following year.
- In the fiscal year 2021-2022, the size of Bangladesh's budget was 6.03 trillion taka (approximately 70 billion USD).
- The government generates revenue from a variety of sources, including taxes, fees, and non-tax revenue. In the 2021-2022 budget, the government projected revenue of 3.78 trillion taka (approximately 44 billion USD).
- The largest share of government expenditures typically goes towards social safety net programs, education, and healthcare. In the 2021-2022 budget, these sectors received 1.36 trillion taka (approximately 16 billion USD) in allocations.
- Other major areas of expenditure include infrastructure development, defense, and debt servicing.
- In recent years, the government of Bangladesh has focused on increasing revenue mobilization and reducing reliance on external borrowing to finance its budget. This has included efforts to improve tax administration and increase tax compliance.
Currency of Bangladesh:
- The currency of Bangladesh is called the Bangladeshi taka, which is abbreviated as BDT. The symbol for the taka is "৳".
- The taka is issued and regulated by the Bangladesh Bank, which is the central bank of Bangladesh.
- The taka is divided into 100 smaller units called paisa, but paisa coins are no longer in circulation and prices are rounded to the nearest whole taka.
- The taka is available in notes and coins. The notes are available in denominations of 2, 5, 10, 20, 50, 100, 500 and 1000 taka. Coins are available in denominations of 1, 2 and 5 taka.
- The design of the banknotes features prominent figures and landmarks from Bangladesh's history and culture, such as the Father of the Nation Bangabandhu Sheikh Mujibur Rahman, the National Martyrs' Memorial, and the Shaheed Minar.
- The exchange rate of the Bangladeshi taka against other currencies, such as the US dollar, fluctuates depending on market conditions and government policies. As of February 2023, 1 US dollar is equivalent to approximately 85 Bangladeshi taka.
- The taka has undergone several changes since it was first introduced in 1972, including a change in the size and design of banknotes and the introduction of new security features to prevent counterfeiting.
Recent Infos of Economy :
- In February 2023, the International Monetary Fund (IMF) approved a $1.5 billion loan for Bangladesh to help support its economy during the ongoing COVID-19 pandemic. The loan is part of the IMF's Extended Credit Facility and Extended Fund Facility programs, and comes with conditions related to fiscal and monetary policy reforms.
- Bangladesh's economic growth rate for the fiscal year 2021-2022 is expected to reach 7.2%, according to the country's Finance Minister AHM Mustafa Kamal. This is higher than the government's initial target of 6.2%, and is attributed to strong performance in the agriculture, manufacturing, and services sectors.
- In January 2023, Bangladesh and India signed a memorandum of understanding (MoU) to increase trade and investment between the two countries. The MoU covers a range of areas, including trade facilitation, customs cooperation, and investment promotion.
- The Bangladesh government recently announced plans to build a new deep sea port in Cox's Bazar, which is expected to cost around $1 billion. The port is intended to handle larger cargo ships and boost international trade, particularly with Southeast Asian countries.
- Bangladesh has been ranked 101st out of 190 countries in the World Bank's latest Doing Business report, which measures the ease of doing business in different countries. This represents an improvement of four places from the previous year, and reflects the government's efforts to simplify business regulations and procedures.
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