In Bangladesh, despite the gradual rise in the investment-GDP ratio over the past three decades, private sector investment, in proportion to GDP, had remained stagnant for years even before the onset of Covid-19. The Covid-19 crisis intensified the problem.
While the official statistics on private sector investment during the pandemic are yet to come, the indicators related to private sector investment are showing a very alarming picture. Depressing trends of imports and exports and the private-sector credit growth are testimony to this picture.
One of the most critical aspects of Bangladesh s economic development in the 1990s and 2000s was the increased participation of the private sector, with the rise in private investment s share in overall investment, which contributed significantly to elevate the investment-GDP ratio. During those decades, there was a persistent rise in the private investment to GDP ratio. However, during the 2010s, the ratio remained almost stagn
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