BD’s GDP growth projected to be 5.7% in 2023

Staff Reporter :
The Economist Intelligence Unit (EIU) has estimated the growth of the Bangladesh’s GDP to be 5.70 per cent and the overall rate of inflation may be 7.30 per cent in 2023.
Identifying the causes of hindering GDP growth, the EIU, which is the world leader in global business intelligence, said the scarcity of fuel and fertilizers will be hampering the aggregate economic growth in Bangladesh.
Subsequently, the high percentage of high inflation will continue at 7.30 percent in 2023 and the government will downsize its investment in infrastructure sector, the report said.
Forecasts are also made about developed and large economy countries. Economist Intelligence said, India’s GDP growth is likely to be the highest among major economies in 2023, at 5.10 percent. The growth of china will be at 4.70 percent and 0.50 percent growth in the United States may occur. The UK could see a contraction of 0.80 per cent in this year.
The latest report regarding the forecasts of global trade for 2023, the Economist said that, the current rate of inflation will continue worldwide this year and the world economy will experience slow growth even in retail sales, e-commerce sector as well.
The Economist report did not arouse new hope for this year’s world economy as the uncertainty looms over the Russia-Ukraine war.
Meanwhile, the monetary policy for the second half of the current fiscal year of 2022-23, desired to achieve 6.50 percent economic growth which was initially targeted at 7.50 per cent for the entire financial year of 2022-23. The government also aims to contain inflation at 7.50 per cent in FY23.
Apart from this, the World Bank in its latest Global Economic Prospects report in January 2023 said that, Bangladesh growth rate  
to slow down to 5.20 per cent in 2023, considering the rising inflation and its negative impact on household incomes and firms’ input costs, as well as energy shortages, import restrictions, limited foreign exchange buffers, widening external current account deficits and monetary policy tightening.