you are writing essays but never responded to any of the Indians and now Pakistani point of consumer data
Going by your posting history you have a special hatred for "Punjabis" (this is what they call Pakistanis in Bangladesh) so I wont even bring their consumer data as you'll go bat shit crazy
So ill share your Indian brothers pov in terms of consumer data (I have my views on it that I shared and I don't agree with it but since you are a character you should respond to this lack of consumerism
per capita that Indians bring up especially
@SMX 3.0 is going around your forums bringing up these points) - you should respond to this
cause this is the point Indians bring up
I have no issues with Bangladesh but racist, idiots like you annoy the hell outta me
There is a lot of conversation and claims going around the news that Bangladesh is now richer than India because it’s GDP Per capita has allegedly overtaken India’s as per some “news reports”, let’s analyse the truth behind these claims.
What is GDP Per capita?
Per capita gross domestic product (GDP: GDP stands for
“Gross Domestic Product” and represents the total monetary value of all final goods and services produced (and sold on the market) within a country during a period of time like quarterly or annual. GDP is the most commonly used measure of economic activity.) is a metric that breaks down a country’s economic output per person and is calculated by dividing the GDP of a country by its population.
How am I going to analyse these claims
I am going to analyse these claims on basis of economic data of various fields and how much does an average Indian and a Bangladeshi consume in a year as it is what causes economic activity and it will be divided into many sectors.
Let’s Go!
Firstly, if Bangladesh is richer than India then it’s wealth should be more than India’s.
Here we’ll multiply Bangladeshi stats with 8.38282208589 (ratio of India/Bangladesh population) at various occasions so that the figures can be compared one on one.
Total Wealth
If Bangladesh is richer than India, then it’s wealth should obviously be more than India.
Wealth of India: $12.833 Trillion
Wealth of Bangladesh: $0.831 Trillion x 8.38282208589 = $6.96 Trillion
(
Source)
If wealth is almost half of India then how is their per capita GDP more than India?
Fun Fact: The city of Mumbai alone has more wealth ($950 bn in 2018) than the country of Bangladesh ($831 bn in 2021)(
Source).
Railway
Indian Railway’s annual revenue: $28 Billion (
Source)
Bangladesh Railway’s annual revenue: $94.4 Million (300 times less than India) (
Source)
Indian Railways Annual Passengers and Freight carried: In the fiscal year ending March 2020, Indian Railways carried
808.6 crore (8.086 billion) passengers and transported 121.23 crore (1.2123 billion) tonnes of freight.
(
Source)
BD Railways Annual Passengers and Freight carried: 90.05 million passengers (90 times less than India) and 4.55 million tonnes of freight (300 times less than India).
(
Source)
Question arises that if Bangladeshis are richer than Indians and Bangladesh’s economic activity is more than India then why is their number of passengers, freight load and annual revenue so miniscule in comparison to Indian Railways?
Aviation
Indian airline passengers annually: 167,499, 116 (28 times more than BD)
Bangladeshi airline passengers annually: 5,959,126
(
Source)
Indian Aviation freight carriage (million ton-km): 1938.233
BD Aviation freight carriage (million ton-km): 83.376 (23.3 times less than India)
(
Source)
If Bangladeshis are so rich and they aren’t travelling more than Indians on train then they must be travelling by air more right?
Trade
Let’s have a look at their export import data as well, as a Bangladeshi can argue that most of their economy is export oriented and consumption is import based and hence their GDP per capita is more than India but it doesn’t reflect in data like travel, electricity consumption, automobiles sales etc.
Bangladeshi Exports: $44.96 Billion x 8.38282208589 = $376.89 Billion
Bangladeshi Imports: $64.23 Billion x 8.38282208589 = $538.43 Billion
(
Source)
Indian Exports: $546.03 Billion
Indian Imports: $619.43 Billion
(
Source)
The data (2019) includes overall imports and exports of merchandise, services, etc.
So if Bangladesh’s economy is booming and they are richer than Indians why is it so that their exports and imports are less than India?
Automobile Sector
A. Annual car sales in Bangladesh: 2,598 (2020)(
Source)
Annual car sales in India: 2,858,011 (2020)(
Source) (1,100 times more than Bangladesh!).
B. Annual 2 wheeler sales in BD: 5,49,000 (2019)(
Source)
Annual 2 wheeler sales in India: 2,18,00,000 (2019)(
Source) (40 times more than Bangladesh)
C. Annual commercial vehicle sales in BD: 1,900 (2019)(
Source)
Annual commercial vehicle sales in India: 8,54,743 (2019)(
Source)(450 times more than Bangladesh).
Internet Subscriptions
4G users in BD: 21.5 Million (2019)(
Source) x 8.38282208589 = 180 Million
4G users in India: 680 Million (2020)(
Source) (Far more users than BD)
If Bangladeshis are richer than Indians then how are their number of 4G users so low?
Electricity Consumption
If Bangladesh’s economic activity is more than India and their people are using more electricity than India due to which it’s GDP per capita is more than India, their electricity consumption multiplied by 8.38282208589 should also be more than India.
BD annual electricity consumption: 70,594 x 8.38282208589 = 5,91,776
India annual electricity consumption: 15,47,000
(GW-hour/year)(
Source)
Which means that Indians consume more than twice the amount of electricity than Bangladeshis, which punctures their tall claims of economic prosperity and higher per capita GDP here only.
Foreign Direct Investment
An increase in FDI may be associated with
improved economic growth due to the influx of capital and increased tax revenues for the host country. Besides, the trade regime of the host country is named as an important factor for the investor’s decision-making.
Hence a country receiving more FDI must have better economic indicators and will ensure more growth and any booming economy which BD claims to be should receive more FDI.
Annual FDI BD: $2.56 Billion (2020)(
Source) x 8.38282208589 = $21.5 Billion
Annual FDI India: $82 Billion (2020)(
Source) (More than 32 times BD in absolute value and more than 4 times BD in per capita)
Hence how do they even claim to be a booming economy if foreign direct investment is peanuts?
Smartphones sales
Annual smartphone sales in BD: 6.82 Million (
Source) x 8.38282208589 = 57.17 Million (22 times less than India in absolute value and 2.62 times less than India in per capita terms)(2020) (Average cost of smartphones purchased in BD = $99
*)
Annual smartphone sales in India: 150 million (
Source)(2020) (Average cost of smartphones sold in India = $170
*)
Electronics
Though there is no data for annual sales of electronics, the market of electronic products in Bangladesh is about $3 billion (IT Electronics and consumer electronics added and combined) (2017)(Source
1&
2) compared to India’s $118 Billion (2019)(
Source) (Possibility of error in this segment) which is 40 times more than Bangladesh.
Why is this so if their GDP per capita is more than India?
Domestic Textiles Market
India: $100 Billion (2018)(
Source)(34 times more than BD)
Bangladesh: 250 Billion Taka (2.95 Billion US Dollars in current prices)(2019)(
Source)
I seriously want to laugh now!
Real Estate
Indian Market: $200 Billion (
Source)(2021)(11.2 times more than BD/1.33 times more per capita)
Bangladesh Market: $17.86 Billion (
Source)(2021)(Current Prices conversion of 1544 bn taka)
Market Capistalisation
Market capitalization (also known as market value) is the share price times the number of shares outstanding. Listed domestic companies are the domestically incorporated companies listed on the country’s stock exchanges at the end of the year. Listed companies does not include investment companies, mutual funds, or other collective investment vehicles.
India’s Market Cap: $3.46 Trillion (
Source)
BD’s Market Cap: $89.77 Billion x 8.38282208589 = $754.45 Billion (times less than India)(
Source)
Household Consumption (PPP)
Household consumption is an important factor in knowing who’s spends more and who does not, because this happens in domestic currency hence we’ll use the PPP because if a Burger costs X in India, it will not cost the same in Bangladesh.
Bangladesh: $573.583 Billion x 8.38282208589 = 4.808 Trillion
India: $5.456 Trillion
(
Source)
Steel Consumption (Per Capita)
India: 74.1 kg (
Source)(2021)
BD: 45kg (
Source)(2019)
Cement Consumption (Per Capita)
India: 235 kg (2019) (
Source)
BD: 187 kg (2020) (
Source)
Tourism
Tourism plays an important and a big role in a nation’s economy, the more the number of people visit, the more they spend and the more they contribute to the country’s GDP.
Foreign Tourist Arrivals in Bangladesh: 3,23,000 (
Source)(2019)
Foreign Tourist Arrivals in India: 1,09,30,000 (
Source)(2019)(34 times more than Bangladesh)
Other Important Factors
- Infrastructure: Bangladesh’s infrastructure is not at par with India, it reflects in the Logistics Based Performance Index of both countries. (Source)
Logistics based Performance Index by World Bank
2. The Economic Complexity Index (
ECI) is a holistic measure of the productive capabilities of large economic systems, usually cities, regions, or countries. In particular, the ECI looks to explain the knowledge accumulated in a population and that is expressed in the economic activities present in a city, country, or region. To achieve this goal, the ECI defines the knowledge available in a location, as the average knowledge of the activities present in it, and the knowledge of an activity as the average knowledge of the places where that economic activity is conducted. The product equivalent of the Economic Complexity Index is the Product Complexity Index or PCI.
Higher economic complexity as compared to country’s income level drives economic development. Many low-income countries, including
Bangladesh, Venezuela, and Angola have
failed to diversify their knowhow and face low growth prospects. Others like
India, Turkey, and the Philippines have
successfully added productive capabilities to enter new sectors and will drive growth over the coming years. (
Source)
India impoved it’s economic diversification index while Bangladesh deteriorated it’s economic diversification, (
Source)
3.
Innovation: The
Global Innovation Index (
GII) is an annual ranking of countries by their capacity for, and success in, innovation. The GII is computed by taking a simple average of the scores in two sub-indices, the Innovation Input Index and Innovation Output Index, which are composed of five and two pillars respectively. Each of these pillars describe an attribute of innovation, and comprise up to five indicators, and their score is calculated by the weighted average method.
India ranks 48 while Bangladesh ranks 116 in the index (
Source)
The Bloomberg Innovation Index is an annual ranking of how innovative countries are. It is based on six criteria: research and development, manufacturing, high-tech companies, post-secondary education, research personnel, and patents. Bloomberg uses data from the World Bank, the International Monetary Fund, the World Intellectual Property Organization, the United States Patent and Trademark Office, the OECD and UNESCO to compile the ranking.
India ranks 50 and is constantly improving YoY while Bangladesh has no mention (
Source)
4. R&D Spending
India spent 58 Billion USD on R&D, Bangladesh spent evenless than peanuts (
Source)(
Source), infact the amount of scientific papers Bangladesh’s neighbouring country India published during 1996–2017 is a thousand times higher than BD (Quoted from
Source).
Bangladesh’s R&D spending is so low that it’s data is not even available, allegedly less than even $50 Million which is less than even peanuts.
5. Ease of doing business: A high ease of doing business ranking means the regulatory environment is more conducive to the starting and operation of a local firm, the index is released by The World Bank.
What kind of economic prosperity one can claim when doing business is a nightmare? (
Source)
India’s Ease of Doing Business ranking is 63, whereas for BD it’s 168.
Corruption
The less said the better, and BD claims higher GDP per capita, no wonder their data might also be severely fudged.
Failed States Index
The list aims to assess states’ vulnerability to conflict or collapse, ranking all sovereign states with membership in the United Nations where there is enough data available for analysis.
Conclusion
So, Bangladeshis are “richer than India” due to “higher GDP per capita” but travel less on trains, travel less on flights, have half the wealth of India, have electricity consumption less than half of India, Bangladeshis buy less automobiles, Bangladeshis have less household consumption, Bangladeshis don’t spend on 4G subscriptions, have poor ease of doing business, and no R&D whatsoever, has a single sector dependent economy (textiles), Bangladeshis import and export less than India, spend less on electronics and on garments, have peanut Foreign Direct Investments, and Bangladeshis don’t invest in stock markets as much as Indians reflecting small market cap, consume less cement and steel and tourism is peanuts in comparison to India,
so where the hell are they spending their money due to which their “economy is booming, and GDP grew so much that it has overtaken India”.
I didn’t further break sector wise data regarding economic outputs because then article would have taken more time and would have stretched a lot, but you can anyways search about it on the internet and compare both nations in output of sectors like Pharmaceutical production, industrial outputs, etc.
Will discuss how is Bangladesh’s GDP data is inaccurate and fudged in some other article.