Bangladesh achieves qualification for developing countries

Staff Reporter: Bangladesh has achieved a new milestone of poverty reduction and development progress. Due to proper implementation of steps taken against hunger and poverty, it is possible to achieve the capability of developing countries. The achievements of socio-economic sector have reduced the risk of economic fragility.

Alongside, development in the financial sector, including human development, import-export growth, foreign exchange reserve, has happened. Financial inclusion has accelerated the economic activities of the common people. As a result, increased per capita income Which is going forward in the middle-income country to Bangladesh. As a result, Bangladesh has gained its ability to emerge from the league of low-lying countries.

The United Nations Economic and Social Council's Development Policy Committee (CDP) confirmed the eligibility of Bangladesh this Friday. Although the final announcement has to wait till 2024. But at the time of observation, Bangladesh will have to maintain this achievement. Although there are conditions for achieving any of the two achievements of per capita income, human resources index and economic fragility index for transition from LDC category, Bangladesh has been elevated to the standards of these three indicators. According to the United Nations Economic and Social Council criteria, the per capita income should be at least $ 1230, the per capita income of Bangladesh is much higher than that of $ 1610. Human resources index is 66, Bangladesh has achieved 72 decimal. Economic fragility index should be 32 percent or less, where Bangladesh has 24.8 percent. Every three years the CDP review the status of the LDC countries. If Bangladesh is eligible for second time review in 2021, it will recommend removing from LDC. The committee will recommend it to the withdrawal from the LDC. After three years, Bangladesh will reach the developing country in Qatar in 2024, from the LDC.

The prominent economist said. Muhammad Mahbub Ali said that the current progress of Bangladesh is quite satisfactory and it does not cause any kind of stumbling, progress is not hindered. According to him, Bangladesh has achieved this progress before the appointed time. Bargaining power will increase in the international forums of Bangladesh when developing countries reach Qatar. This will be helpful in getting international credit or foreign investment. But there are a number of challenges to be faced. Because, if you are a developing country, Bangladesh will not have all the priorities of trade as a LDC. Again foreign donations, low interest rates will also decrease. Bangladesh has to face these challenges with its capability. They also attract government attention on some issues.

Business leaders said that the first hike will come in the export duty on duty-free access (GSP). That is, after a certain time Bangladesh will lose the facility. Then, under GSP Plus, there will be visible progress in several areas, including the implementation of the Intellectual Property Act, Labor Rights and Human Rights, Environmental Issues and Good Governance and Anti Corruption. As a result, they are now looking to focus on these issues and work with coordination.

Dhaka Chamber President Abul Kashem Khan said that the country needs to increase efficiency and increase the investment in the private sector to move forward. But the investment is not being like that. It is stuck in 23 percent of GDP. To increase one percent, we need 20 billion crore rupees. Where will this money come from? By offering a tax rebate to create an investment friendly environment, he said that if income tax is reduced from 35 percent to 25 percent, the government's revenue will be reduced but it will be good for the economy.

Meanwhile, special representatives from the United States, on Friday, the United Nations Committee for Development Policy (CPD) handed over letter to the country's permanent representative Ambassador to United Nations Masud bin Momen to declare the qualification to go to the developing country. The letter was handed over to Ambassador Masud, on the occasion of Bangladesh Permanent Mission at Bangabandhu Auditorium, organized by Roland Molerras, Chief of CPD Secretariat.

Note that on March 15, CPD announced the qualification of Bangladesh from the LDC category at the United Nations Headquarters. Accordingly, the letter was handed over.