Economic Challenges and Resources of Bangladesh

Bangladesh wants to be an active partner in the world economic community. It is one of the most open economies among the developing countries. The Bangladesh economy has already been liberalized extensively and it is vigorously pursuing a private sector-led, export oriented growth strategy.

Bangladesh offers opportunities for foreign investors in important sectors, including power, steel, fertilizer, hotel, tourism, and petrochemicals. These opportunities are reflected in the inflows of foreign direct investment (FDI).

Private investment in Bangladesh – both local and foreign is welcome in areas with the exception of only rive sectors on strategic grounds There is no restriction on the amount of investment or in the share of equity. Full 100 percent foreign investment and joint venture with local private partners or with the public sector is freely allowed . Foreign investors now enjoy the same treatment as provided to the domestic investors.

Economic Challenges -

The unusual rise of food prices in the recent time, which has been a world phenomenon, has really hard hit the poorest and the marginalized groups. This price hike was caused by domestic production shortfall following successive natural disasters and also by international higher prices.

The climate issue / change also poses a major development challenge for Bangladesh. Bangladesh’s vulnerability to natural disasters also poses a risk.

Natural gas is Bangladesh’s most important natural mineral resource and the source of commercial energy. It meets 70% of the country’s commercial energy requirement. Other sources of primary energy are imported petroleum products and coal. Readymade Garments, Jute and Jute Products are major export items of Bangladesh.

Currency & Banking sector of Bangladesh is now strong and Bangladesh’s economy is characterized as developing. Over 50% of Bangladesh’s GDP comes from the service sector. Despite this, two-thirds of the country’s population is engaged in agricultural activities.