Bangladesh’s GDP expected to grow by 6.8pc in FY202, says ADB
Rumi Akter Polly of DOT
 Asian Development Bank (ADB) said in Asian Development Outlook (ADO) 2020 Update which was released yesterday, Bangladesh’s economy is showing signs of early recovery to be 6.8 percent, reports UNB.  The growth reflects gradual recovery, supported by a strong manufacturing base in export destinations. Inflation to remain moderate to 5.5 percent and current account deficit to narrow to 1.1 percent of GDP in FY2021, reports The Business Standard.
ADB Country Director Manmohan Parkash said, “Bangladesh economy has started recovering from the pandemic. Despite significant pressure on the health and pandemic management systems, the government has managed the economy well with appropriate economic stimulus and social protection measures, ensuring basic services and commodities for the poor and vulnerable.”
“We’re encouraged by the increase in exports and remittances, and hope the recovery will be sustained, which will help in achieving the projected growth rate,” Parkash said, adding that early access to vaccine and continued emphasis on health pandemic management can help sustain this recovery.
ADB has already provided initial assistance of $600 million in loans and $4.4 million in grants for managing socio-economic impacts of the COVID-19 pandemic and supporting quick recovery.
ADB has programmed $5.9 billion firm and $5.2 billion standby assistance for Bangladesh in 2021-2023.
In FY2021, the government’s fiscal and monetary stimulus measures are expected to boost public and private investment. The central bank’s expansionary and accommodative monetary policy is expected to aid the projected growth while keeping inflation contained. Strong remittances will stimulate private consumption, ADB said.