Bangladesh GDP to grow by 6.8pc in FY21: ADB

Bangladesh’s economy is showing signs of early recovery and its gross domestic product (GDP) is expected to grow by 6.8 percent in 2021 fiscal year, the latest Asian Development Bank (ADB) report says.

Asian Development Outlook (ADO) 2020 Update was released on Tuesday.

The growth reflects gradual recovery, supported by a strong manufacturing base and strengthening of growth in export destinations. Inflation is expected to remain moderate to 5.5 percent and current account deficit to narrow to 1.1 percent of GDP in FY2021, an ADB news release said.

ADB said prudent macroeconomic management and speedy implementation of government’s stimulus measures are key imperatives to ensure the projected recovery but noted that the main risk to this growth projection is a prolonged coronavirus (Covid-19) pandemic in Bangladesh or its export destinations.

“Bangladesh economy has started recovering from the pandemic. Despite significant pressure on the health and pandemic management systems, the government has managed the economy well with appropriate economic stimulus and social protection measures, ensuring basic services and commodities for the poor and vulnerable,” said Country Director Manmohan Parkash.

(Source: UNB)