Bangladesh will become the world’s 25th largest economy by 2034 if the current tempo of the financial sector development continues, says a report of an international research institute.
UK-based think tank Centre for Economics and Business Research (CEBR) published the report stating that Bangladesh will jump from the 40th place in the World Economic League Table in 2020 to 25th by 2034.
The economy of Bangladesh performed well in 2019, expanding by an impressive 7.8 percent with a PPP adjusted GDP per capita of $5,028, said the London-based think tank.
The population of Bangladesh has risen at a rate of just 1.0 per cent per year since 2014. This has meant that per capita incomes have grown considerably in recent years, it said.
According to the report, government debt as a share of GDP rose to 34.6 per cent in 2019, up from 34.0 per cent in 2018. Despite this increase, the public sector finances remain in good shape.
The organization, ‘Centre for Economics and Business Research’ has recently unveiled the World Economic League Table forecasting the economies for 193 countries to 2033.
It said Bangladesh is a South Asian country sharing land borders with India and Myanmar. With a population of over 163 million, it is the eighth most populous country in the world. The country has seen robust growth averaging 6.3 per cent year over the past decade. Its GDP per capita stands at $4,600 in PPP international dollars, making it a lower-middle-income country by the World Bank’s definition, reports the Daily Sun.
The relatively low debt burden has provided the government with the fiscal headroom to operate a budget deficit of 4.8 per cent in 2019, it added.
Government debt as a share of GDP rose to 34.6 percent in 2019, up from 34.0 percent in 2018. Despite this increase, the public sector finances remain in good shape.
The relatively low debt burden has provided the government with the fiscal headroom to operate a budget deficit of 4.8 percent in 2019, said CEBR.