Bangladesh targets 7.8% economic growth in new fiscal year

[Homo Sapiens]

https://bdnews24.com/economy/2018/06/07/bangladesh-targets-7.8-economic-growth-in-new-fiscal-year

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Bangladesh targets 7.8% economic growth in new fiscal year
Chief Economics Correspondent, bdnews24.com

Published: 2018-06-07 15:41:15.0 BdST Updated: 2018-06-07 15:41:15.0 BdST

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Bangladesh is targeting 7.8 percent GDP growth in the new fiscal year.




In his budget speech, Finance Minister AMA Muhith stressed the importance of increasing government revenue in the Tk 4.65 trillion budget presented in parliament on Thursday.

The growth target was based on expected targets for revenue, foreign aid and investment, export earnings and remittances, he said.

The GDP was calculated at Tk 25,378,490 million in the new budget. Though the budget for the current fiscal year calculated GDP to be Tk 22,236,000 million, it was later revised to Tk 22,384,980 million.

The GDP target for fiscal 2017-18 was 7.4 percent. According to the Bangladesh Bureau of Statistics, Bangladesh headed for the growth rate of 7.65 percent in the fiscal year.

Bangladesh had previously targeted a 7.2 percent GDP growth rate in fiscal 2016-17 and achieved a growth rate of 7.28 percent that year.

 

[Homo Sapiens]

The GDP was calculated at Tk 25,378,490 million in the new budget.

Or 302 billion dollar. This is in line with IMF figure of 286 billion in 2018 and 313 billion in 2019.

https://www.imf.org/external/pubs/f...sort=country&ds=.&br=1&c=513&s=NGDPD&grp=0&a=

 

[SunilM]

Thats absolutely fantastic. Congratulations.

 

[TopCat]

Or 302 billion dollar. This is in line with IMF figure of 286 billion in 2018 and 313 billion in 2019.

https://www.imf.org/external/pubs/f...sort=country&ds=.&br=1&c=513&s=NGDPD&grp=0&a=

PK current GDP is 297 billion vs BD 285. I think we will become 2nd biggest in SA in two years. There is slim chance we overtake PK this year if their rupee depreciate which is very likely in current situation.

 

[UKBengali]

BD economy =

 

[BetterPakistan]

PK current GDP is 297 billion vs BD 285. I think we will become 2nd biggest in SA in two years. There is slim chance we overtake PK this year if their rupee depreciate which is very likely in current situation.

I don't try to falsify ambitious plans but let me do it for you.

Pakistan GDP would have been $327 bn for 2018 but due to devaluation of pkr it resulted in $297.5 bn so this is not anything achieved by BD but done by Pakistan to increase exports.

Now come to second point, As per IMF report BD GDP would be $313 bn in 2019 but let me clear you that Pakistan GDP would be $326 bn in 2019 so still Pakistan GDP will be more than you.

 

[Nilgiri]

PK current GDP is 297 billion vs BD 285. I think we will become 2nd biggest in SA in two years. There is slim chance we overtake PK this year if their rupee depreciate which is very likely in current situation.

More important is how you are doing when inflation is taken into account. You are nowhere close to "overtaking" Pakistan in constant USD terms (which takes stock of the effective inflation):

https://data.worldbank.org/indicator/NY.GDP.MKTP.KD?locations=BD-PK

i.e you are 8 years behind them in level.... and accumulation rates (about 10 - 12 billion 2010 USD yearly right now) seem to be roughly the same (BD higher growth number simply reflects its lower base largely)....so there will be no "surpassing" this year, next year or any year we can foresee.

What is really disturbing for Bangladesh is when you see how much inflation is part of the "current USD" growth:

https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?locations=BD-PK

i.e BD grew by (2015 - 2016) 26 billion USD in current terms, but only 11 billion USD in constant (factoring in effective inflation) terms. That is about 15 billion that is effective inflation, i.e nearly 60% of the current growth.

Pakistan in same standard grew by 9 billion in current terms but 12 billion in constant (suggesting effective deflation compared to global trends)....i.e Pakistan got deflation of 3 billion....i.e constant growth is 133% of current growth (which is far better result than the reverse in case of Bangladesh). The figure this way is around 94% for India and an extremely lousy 42% for Bangladesh

The results of this (terrible realised effective inflation) are already showing up in Bangladesh:

https://opinion.bdnews24.com/2017/12/18/where-did-the-benefits-of-economic-growth-disappear/

We all know how bad inflation has wreaked havoc in Pakistan and India from the media coverage.....one can only imagine how bad it is on the ground for Bangladesh given it suppresses its media and has the regions most corrupt (and stagnant in such) institutions by far.

@ziaulislam @Major Sam @Chak Bamu @django @bluesky

@Valar. @DESERT FIGHTER @Areesh

 

[UKBengali]

More important is how you are doing when inflation is taken into account. You are nowhere close to "overtaking" Pakistan in constant USD terms (which takes stock of the effective inflation):

https://data.worldbank.org/indicator/NY.GDP.MKTP.KD?locations=BD-PK

i.e you are 8 years behind them in level.... and accumulation rates (about 10 - 12 billion 2010 USD yearly right now) seem to be roughly the same (BD higher growth number simply reflects its lower base largely)....so there will be no "surpassing" this year, next year or any year we can foresee.

What is really disturbing for Bangladesh is when you see how much inflation is part of the "current USD" growth:

https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?locations=BD-PK

i.e BD grew by (2015 - 2016) 26 billion USD in current terms, but only 11 billion USD in constant (factoring in effective inflation) terms. That is about 15 billion that is effective inflation, i.e nearly 60% of the current growth.

Pakistan in same standard grew by 9 billion in current terms but 12 billion in constant (suggesting effective deflation compared to global trends)....i.e Pakistan got deflation of 3 billion....i.e constant growth is 133% of current growth (which is far better result than the reverse in case of Bangladesh). The figure this way is around 94% for India and an extremely lousy 42% for Bangladesh

The results of this (terrible realised effective inflation) are already showing up in Bangladesh:

https://opinion.bdnews24.com/2017/12/18/where-did-the-benefits-of-economic-growth-disappear/

View attachment 478999

We all know how bad inflation has wreaked havoc in Pakistan and India from the media coverage.....one can only imagine how bad it is on the ground for Bangladesh given it suppresses its media and has the regions most corrupt (and stagnant in such) institutions by far.

@ziaulislam @Major Sam @Chak Bamu @django @bluesky

@Valar. @DESERT FIGHTER @Areesh

Butt-hurt Indian linking up with butt-hurt Pakistanis.

BD is by far the best economy in the whole of S Asia and it's economy is only getting stronger and stronger.

Such a sour loser you are.

 

[django]

BD is by far the best economy in the whole of S Asia and it's economy is only getting stronger and stronger.

All that highly glycemic rice as well as the high doses of mercury in the fish has really messed up your mind,,,,go vegan it will bring you back to reality.Kudos young fellow

 

[Nilgiri]

All that highly glycemic rice as well as the high doses of mercury in the fish has really messed up your mind,,,,go vegan it will bring you back to reality.Kudos young fellow

Vegan cleanse haha...

Butt-hurt Indian linking up with butt-hurt Pakistanis.

BD is by far the best economy in the whole of S Asia and it's economy is only getting stronger and stronger.

Such a sour loser you are.

Not my fault very few smart BD ppl here...otherwise I would tag more of them.

@bluesky and @Michael Corleone and cpl others are at least freethinkers off the groupthink plantation.

 

[mb444]

I don't try to falsify ambitious plans but let me do it for you.

Pakistan GDP would have been $327 bn for 2018 but due to devaluation of pkr it resulted in $297.5 bn so this is not anything achieved by BD but done by Pakistan to increase exports.

Now come to second point, As per IMF report BD GDP would be $313 bn in 2019 but let me clear you that Pakistan GDP would be $326 bn in 2019 so still Pakistan GDP will be more than you.

Given Pakistan higher population your per capita GDP is already lower than ours. I fail to see the reason for chest thumping on your part.

Absolute size of economy is a good comparison but only in context of other factor being equal.

Per capita GDP/GNP is a traditional method of comparison between countries. I don’t even know why I am even writing this basic statement....

Let BD look forward and best wishes to others, we don’t have anything further to prove.

 

[UKBengali]

Not my fault very few smart BD ppl here...otherwise I would tag more of them.

@bluesky and @Michael Corleone and cpl others are at least freethinkers off the groupthink plantation.

Hey, hey so the "smart" BD people just happen to be the ones that sometimes agree with you?

I have seen you calling the two tagged posters stupid on multiple occasions. Lol.

BD economy is so strong that a single SEZ has attracted 12 billion US dollars of investment.

 

[bluesky]

More important is how you are doing when inflation is taken into account. You are nowhere close to "overtaking" Pakistan in constant USD terms (which takes stock of the effective inflation):

Your argument is not valid, because the rate of growth of GDP is a net figure after deducting the rate of inflation from the gross GDP growth. It is same in every country.

 

[Nilgiri]

Your argument is not valid, because the rate of growth of GDP is a net figure after deducting the rate of inflation from the gross GDP. It is same in every country.

Nope. GDP is only a net figure if its in real terms. Current USD nominal is not real terms because simply it uses the nominal Taka (what you called gross GDP) + exchange rate....with zero account for how much a USD/Taka actually can buy within the country in one year compared to another.

If there was 1:1 transmission of exchange rate w.r.t relative inflation, there would be no need for real (constant dollar) GDP....but liquidity provider/absorbers in a country and world more largely do not act instantaneously like that...not even close.

Given Pakistan higher population your per capita GDP is already lower than ours.

Not in real USD terms OR PPP terms. You are somewhere around a decade behind Pakistan.

Pushing through inflation and claiming thats growth and you are "beating" Pakistan is much like overuse of the same old 3 million number in another instance. It gets awfully boring plus its untrue.

BTW @bluesky You can check yourself here (constant vs current):

https://www.imf.org/external/pubs/f...DP,NGDPD,NGDPRPC,NGDPPC,NGDPDPC,PCPI&grp=0&a=

 

[kaykay]

Hey, hey so the "smart" BD people just happen to be the ones that sometimes agree with you?

I have seen you calling the two tagged posters stupid on multiple occasions. Lol.

BD economy is so strong that a single SEZ has attracted 12 billion US dollars of investment.

Are you sure about that investment part? Or you are just taking future 'potential' investments spannings over a long time as Its achieved investements? Because BD's annual FDI is nothing close to that( around 25-30% of that figure in total). @Nilgiri @bluesky