Due to rising inflation and declining GDP growth, per capita income – when considered in terms of USD – has decreased for the financial year 2023-24. The same figure however has shown an increase when considered in terms of BDT.
As a result, Finance Minister Abul Hasan Mahmood Ali has not yet finalised whether per capita income will be presented in both USD and BDT, or only in BDT, during the budget speech, say finance ministry sources.
They indicate that the government does not want to show a decrease in per capita income to the public.
Speaking to The Business Post, former lead Economist of World Bank Dhaka Office Zahid Hossain said, “For the devaluation of Taka against USD, it is natural that per capita income will be shown lower in terms of USD, compared to the previous year.
“Perhaps the finance minister does not want to show the decrease of per capita income in USD but if taken, it would be an unprofessional decision.”
He continued, “If the government would not release per capita income in USD, the international donor organisations such as the World Bank, IMF, and ADB will calculate its own method. If the government itself provides the calculations, there will be a unique figure.”
According to Bangladesh Bureau of Statistics (BBS) calculations, the per capita income in terms of local currency is Tk 2,73,360 in FY23, which is 32,000 taka more than the previous year.
Considering the exchange rate per capita income decreases significantly. Now USD rate is Tk 117.61 and the per capita income would be calculated to $2,253. Therefore, per capita income has decreased by approximately $542 compared to the previous year.
Per capita income is not an individual's personal income. Per capita income calculation is that, the total income which is earned from both in and outside a country by dividing with the total number of population.
