World Bank has projected a seven per cent growth for Bangladesh in the fiscal 2018-19.
The growth is driven by industry and services on the supply side and private consumption and investment on the demand side, they said in a report released today.
The report ‘Bangladesh Development Update: Powering the Economic Efficiency’ said Bangladesh’s economy is still one of the fastest growing economies in the developing world.
“To realise its goals of achieving upper-middle income status, Bangladesh must make sure its economic fundamentals are sound,” said Zahid Hussain, lead economist of the World Bank and the author of the report.
“As immediate measures, the country needs policies to contain inflation, correct the exchange rate, and remove interest rate distortions,” he added.
Qimiao Fan, World Bank country director, said: “To maintain the current growth, it needs to promote entrepreneurship, innovation and adaptability to enable its workforce to thrive in an environment of rapidly changing technology and global demands.”
Bangladesh's economy grew 7.86 percent last fiscal year (2017-18) riding on the agriculture sector, especially an increase in rice production, as informed last month.
This fiscal, the government has projected a growth of 7.8 per cent.