GDP growth rises to 6.12% in Q3
Staff Reporter :
Bangladesh’s Gross Domestic Product (GDP) growth accelerated to 6.12 percent in the third quarter of the 2023-24 fiscal year, a significant rise from the 2.3 percent recorded in the same quarter of the previous fiscal year. This growth, reported by the Bangladesh Bureau of Statistics (BBS) on Tuesday, highlights a notable economic upturn.
In the second quarter of the fiscal year, GDP growth stood at 3.78 percent. In monetary terms, the GDP amounted to Tk 13.48 billion in the third quarter, up from Tk 11.44 billion in the corresponding quarter of the previous year.
Sectoral Contributions
The agriculture sector’s contribution to the GDP saw a substantial rise from 1.88 percent in the third quarter of FY22-23 to 5.46 percent in the third quarter of the recently concluded fiscal year. The industries sector also saw its contribution increase by 2.05 percentage points, reaching 7.03 percent. The service sector’s contribution grew from 1.47 percent to 4.97 percent.
Growth Targets and Economic Challenges
The Bangladesh government had set a growth target of 7.5 percent for FY24. However, economists express skepticism about achieving this target amidst challenges such as high inflation and a persistent dollar crisis. For the fiscal year 2023-2024, Bangladesh’s GDP growth was projected at 5.82 percent.
International Forecasts
The International Monetary Fund (IMF) has revised down its growth forecast for Bangladesh’s real GDP in fiscal year 2023-24 to 5.7 percent, down from its previous estimate of 6 percent. This adjustment was detailed in the IMF’s latest global outlook report released on Tuesday, reflecting a downward trend compared to its forecast from October last year, when it anticipated Bangladesh’s growth at 6.5 percent.
In contrast, the World Bank had earlier projected Bangladesh’s GDP growth for the same fiscal year to be 5.6 percent, while the Asian Development Bank’s forecast stood slightly higher at 6.1 percent.
Global Economic Context
The IMF’s report also addressed the global economic outlook, indicating expectations for another year of modest growth, supported by US economic strength. However, this growth is expected amidst challenges such as persistently high inflation, subdued demand in China and Europe, and spillovers from two regional conflicts.
Economic Data Highlights
GDP: 437.42 USD Billion (Dec 2023)
GDP Annual Growth Rate: 7.25 percent (Dec 2022)
GDP Constant Prices: 32180.31 BDT Billion (Dec 2023)
GDP from Agriculture: 3479.70 BDT Million (Jun 2023)
GDP from Construction: 2964.80 BDT Million (Jun 2023)
GDP from Manufacturing: 7749.00 BDT Million (Jun 2023)
GDP from Mining: 543.00 BDT Million (Jun 2023)
GDP from Public Administration: 1007.80 BDT Million (Jun 2023)
GDP from Services: 15914.80 BDT Million (Jun 2023)
GDP from Transport: 2272.40 BDT Million (Jun 2023)
GDP from Utilities: 377.10 BDT Million (Jun 2023)
GDP per Capita: 1869.16 USD (Dec 2023)
GDP per Capita PPP: 8171.52 USD (Dec 2023)
Gross Fixed Capital Formation: 13874.50 BDT Million (Dec 2023)
Gross National Product: 33479.74 BDT Billion (Dec 2023)
These data points illustrate the broader economic landscape, showcasing the country’s growth trajectory despite the ongoing economic challenges.