According to a World Bank report, Bangladesh economy has grown rapidly in the last years due to increased export and record remittance. Growth in several sectors such as garments, agriculture and pharmaceutics has contributed significantly to the nation’s economic growth.
World Bank representatives made several suggestions to Bangladesh in order to achieve its projected growth. Firstly, the country needs a high-productivity economy. They suggested development of human capital productivity economy. Human capital development that is responsive to labor market demand for higher-level skills and for rapid technological advancements.
Currently, the country lacks highly-skilled labour force. Although the youth makes up 25 percent of the total population, of whom many are unskilled. There are several barriers that the youth faces when it comes to becoming skilled. Poverty plays a huge part as many lack the financial resources to receive vocational training.
The government must keep
the high unemployment rates of
the country in mind in order when
considering economic growth
Young women and girls are often discouraged or stopped from reaching their true potential due to conservative mindsets of their families and society.
The government must ensure that female students and students from poor backgrounds receive proper training in market-relevant skills to mould them into a highly skilled labor force.
The representatives also mentioned the exchange rate appreciation as a challenge for Bangladesh’s trade competitiveness. They said depreciation of taka against US dollar will encourage expatriates to send more money home and help exporters to earn more money by fighting with global competitors.
Despite an increase in number of graduates each year, many youths remain unemployed. Job creation should therefore be prioritized by the government to ensure steady growth of the economy. Unemployment must be eradicated as it reduces our country’s productivity and is a big barrier in Bangladesh achieving fast economic growth.
Particularly of importance are sectors such as teaching, ICT facilities, among other areas, to create a competitive workforce. This will undoubtedly help Bangladesh to diversify the economy beyond garment exports and remittances.
The government must keep the high unemployment rates of the country in mind in order when considering economic growth. Inclusive economic growth is the next big challenge for the government in the days to come.