Bangladesh's economy to grow 6.1% in FY24: ADB

Asian Development Bank (ADB) has projected Bangladesh's economy to grow 6.1% in the 2023-24 fiscal year (FY), ending on 30 June 2024. 

In its April 2024 Asian Development Outlook, published today (11 April), the Manila-based lender said the country's gross domestic product (GDP) may grow 6.6% in the upcoming 2024-25 FY. 

"In Bangladesh, garment exports will push growth up to 6.1% in FY24 and 6.6% in FY2025," ADP said in the report.

The 6.1% GDP growth projected for FY24 is 0.3 percentage points more than the 5.8% growth by the end of FY23. 

Economic growth in Bangladesh moderated in fiscal 2023 as monetary tightening in the advanced economies lowered external demand. Inflation rose significantly, and the current account deficit narrowed," said ADB in its outlook. 

"Despite macroeconomic headwinds, GDP expansion is expected to accelerate gradually this year and next with resilient exports and the government committed to structural reform," it added.

ADB said inflation will gradually moderate while the current account turns into small surpluses.

It stated that implementing reforms to bolster Bangladesh's competitiveness will be crucial for the country's seamless transition from its status as a least-developed country.

Just two days earlier, on Tuesday (9 April), the Bangladesh Bureau of Statistics (BBS) said Bangladesh's economic growth in the October-December quarter of FY24 halved to 3.78%.