According to the latest report published by the World Economics Organization (WORLD ECONOMICS) in June 2023, Bangladesh has emerged as the fastest growing economy in the Asia-Pacific region, outperforming 32 countries. The report is based on the 10-year gross domestic product (GDP) compound annual growth rate (CAGR), where Bangladesh secured the top position not only in the Asia-Pacific region but also among the frontier markets.
Bangladesh’s impressive 10-year CAGR of GDP stands at 9.1%, showcasing its robust economic growth over the past decade. Even in the last 5 and 3 years, the country maintained remarkable CAGR rates of 9.4% and 8.5%, respectively. The report also highlighted that Bangladesh’s contribution to global economic growth in 2022 stood at 0.9%.
Vietnam secured the second position as the fastest growing economy in the Asia-Pacific region, with a 10-year CAGR of 8.6%, followed by China and India at fifth and seventh positions, respectively.
In contrast, Sri Lanka’s economic growth has shown a more modest performance, ranking 26th out of 32 countries in the Asia-Pacific region. The island nation’s 10-year CAGR of GDP stands at 2.2%, reflecting the need for accelerated efforts to boost economic growth.
Economists in Bangladesh have cautiously welcomed the report, considering it optimistic for the country’s economy. However, they also question the reliability of the data provided by the World Economics Organization. The report suggests that Bangladesh’s contribution to the global economy was 1.9% in the last 10 years, considering adjustments for the base year and informal economy size.
Despite some skepticism surrounding the data, Bangladesh’s economic growth trajectory presents a promising outlook. Re-estimates of the country’s GDP indicate that its economy is 39% larger than the official estimates, ranking it as the 10th largest in the Asia-Pacific region and the fourth largest in the Frontier Market Group (FMG) of 25 countries.
If the country’s official GDP growth rate remains steady, Bangladesh has the potential to surpass the economic sizes of Poland, Taiwan, and Vietnam within the coming decade.
The World Economic Organization’s report provides a comprehensive view of the global economy, incorporating official and reliable data alongside regular quarterly surveys. The organization predicts significant changes that will reshape the world economy in the future.
