Economic Sectors in Bangladesh

Economic Sectors in Bangladesh

According to the International Monetary Fund (abbr.: IMF), the Bangladeshi economy recorded growth, that is, growth of the gross domestic product, of 7.4% in 2019. It was ranked fourth among the fastest growing economies in the world in 2019. This high economic growth resulted from increasing industrial production and a structural change in the composition of the economic sectors measured by their respective share in the gross domestic product. This change describes a change from an economy dominated by the primary sector of agriculture to an economy focused on industry and services. In general, both development patterns are also used in Growth theories formulated, about the application of which there is broad agreement in economics. In the case of Bangladesh, these two development patterns have contributed to a consistently positive development of the economy since the early 1990’s. Previously, gross domestic product growth had stagnated below an average of 4%. The reasons for this included natural disasters and political unrest. These two factors also play a role in the economic development of Bangladesh today. However, the changes in the proportionate composition of the sectors in the economy as a whole, but also ongoing compensation through international development cooperation and various other measures, made economic growth more shock-resistant to such events.World Bank to be considered. Together with Kenya, Myanmar and Tajikistan, Bangladesh was classified in the group of countries with a lower middle income for the first time in July 2015. It previously had the status of a low income country. The reclassification is based on the average gross national income per capita, which by 2015 had reached USD 1,314. However, the differences between individual annual salaries fluctuate extremely. In addition, the income gap is different between the individual sectors.

The constant expansion of the infrastructure can largely be designed with local materials.

The constant expansion of the infrastructure can largely be designed with local materials.

Industry

The processing of agricultural products is the largest area of the industrial sector. The production of milk powder, canned fruit, pickled vegetables and the processing of jute are just a few examples of this. On the domestic market, the dominant Bangladeshi companies in the entertainment electronics sector include laptops, Smartphones, household appliances and much more Walton, In the field of edible oil, it is the companies Teer and Fresh, which each also produce, for example, flours and packaged drinking water. Construction materials made in Bangladesh, such as cement and bricks, are also sold in the local market. Bangladesh’s strongest economic sector is the textile industry. In the 1980’s, South Korean textile producers began to relocate their production to Bangladesh. So they circumvented quotas for textile imports in the industrialized countries. Since then, the textile industry has grown to around four million employees and is characterized by poor working conditions. The wages are usually poor, the working conditions are not regulated by contract, the working environment contains many health risks, Protective clothing is not or rarely provided, the working hours are often twelve hours a day and the minimum age of the employees is often not observed. Textile factories have collapsed or caught fire several times. The collapse of the factory Rana Plaza in the course of which over 1,100 people died, occurred in April 2013.

Sales point for wood in Dhaka

Sales point for wood in Dhaka

Services

About 30% of the working population in Bangladesh work in the service sector. Since around 1997 they have been generating more than half of the gross domestic product. For example, in 2018 the share of the service sector was around 56%. Important areas of this sector are information and communication technology, the administration of the country, development and expansion of the infrastructure, tourism, transport, but also the area of finance. The number of people employed in this sector is probably much higher than 30% – at least seasonally – since most of the gainful employment that is mainly carried out informally would also belong to the service sector. In this area, there are also (internal) seasonal workers who actually generate their income in agriculture, but move to the conurbations during the drier winter months when agriculture does not provide enough income. Rickshaw driving and construction are often activities they can do.

Sawmill in Barisal

Sawmill in Barisal

Different types of clay and sand are used

Different types of clay and sand are used

 

Projects to present alternative cultivation methods

Projects to present alternative cultivation methods

Bangladesh Location

As a country located in southern Asia according to travelationary, Bangladesh lies on one of the largest deltas in the world, which is formed in particular by three main rivers and their multitude of tributaries. In a semicircle with a radius of about 400 km north of the Bay of Bengal (transliterated: Baṅgopasāgar) all rivers flow in a dense network or flow into the gulf. It is the delta of the river system that is dominated by the rivers Ganges / Padma (transliterated: Gaṅgā, Padmā), Brahmaputra / Yamuna (transliterated: Brahmaputra, Yamunā), Meghna (transliterated: MeghꞋnā). These rivers are international rivers and have different names in the areas through which they flow. Ganges and Brahmaputra are the ones in India(transliterated: Bhārat) used and internationally probably more common terms. They are called Padma and Yamuna in Bangladesh, but this does not rule out the fact that the name used in India is not known or used there.