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Vol.1 , No. 1, Publication Date: Apr. 10, 2018, Page: 63-67
, remittances and the domestic agricultural sector. It is also found that the export grew at the rate 16.31% of over the last 26 years from the fiscal year 1990 to 2016, which play an important role to expand the GDP of Bangladesh and thus contributes to reduce the poverty level. The total export has increased to 47 times in fiscal 2016 compare to 1990. The export was 4.99% of the GDP in 1990 (at current market price) whereas in 2016 it stood to 13.67% of GDP. Over the last 26 years, the ratio of export to GDP has increased to 4.07% per year on an average. This boost expand of export is mainly driven by the rich and constant growth of the readymade Garments, RMG (including Knit Wear & Hosiery) sector which grew at the rate of 18% per year. RMG contributes almost 69% (excluding EPZ) of the total export in the year 2016 whereas it was 38.95% of the total export in 1990. The Tea grew negatively at the rate of -8.49%. Although the growths of Jute; Fish & Shrimp; and Leather were positive which were 7.61%, 7.92%, and 8.56% respectively but the shares of all the products along with Tea to the total export have fallen drastically over the last 26 years which is not a good sign for the overall export in the coming year. This has to be taken seriously by policy makers.&picture=http://www.aascit.org/aascit/decorators/img/journal/931.jpg)
| [1] | Mohammad Rafiqul Islam, Department of Mathematics and Natural Sciences (MNS), BRAC University, Dhaka, Bangladesh. |
| [2] | Mohaiminul Haque, Department of Mathematics and Natural Sciences (MNS), BRAC University, Dhaka, Bangladesh. |
The average growth of GDP of Bangladesh is over 6.5% since 2004 which is largely driven by its exports of ready-made garments (RMG), remittances and the domestic agricultural sector. It is also found that the export grew at the rate 16.31% of over the last 26 years from the fiscal year 1990 to 2016, which play an important role to expand the GDP of Bangladesh and thus contributes to reduce the poverty level. The total export has increased to 47 times in fiscal 2016 compare to 1990. The export was 4.99% of the GDP in 1990 (at current market price) whereas in 2016 it stood to 13.67% of GDP. Over the last 26 years, the ratio of export to GDP has increased to 4.07% per year on an average. This boost expand of export is mainly driven by the rich and constant growth of the readymade Garments, RMG (including Knit Wear & Hosiery) sector which grew at the rate of 18% per year. RMG contributes almost 69% (excluding EPZ) of the total export in the year 2016 whereas it was 38.95% of the total export in 1990. The Tea grew negatively at the rate of -8.49%. Although the growths of Jute; Fish & Shrimp; and Leather were positive which were 7.61%, 7.92%, and 8.56% respectively but the shares of all the products along with Tea to the total export have fallen drastically over the last 26 years which is not a good sign for the overall export in the coming year. This has to be taken seriously by policy makers.
Keywords
Export, GDP, RMG, Growth Rate
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