Bangladesh’s gross domestic product (GDP) is set to grow 3.6 percent in the fiscal year 2021-22 instead of 1.6 percent, the World Bank said on Wednesday.
The global lender also said that the country’s economic growth will be 5.1 percent, higher than their earlier forecast of 3.4 percent, as mentioned in ‘Global Economic Prospects,’ the flagship publication.
This was refuted by Finance Minister Mustafa Kamal.
He said Bangladesh’s economic growth will surpass their projections while speaking to the media after attending a meeting of the Cabinet Committee on Public Purchase on Wednesday.
The WB report also mentioned that private consumption is main engine of growth by normalizing activity, moderate inflation, and rising apparel exports.
While there is uncertainty regarding the stability of private consumption, Bangladesh’s growth is expected to experience a gradual recovery, the publication further mentioned.
Contrary to the World Bank’s projection, the Asian Development Bank (ADB) and the International Monetary Fund (IMF) had higher growth projection rates for Bangladesh for FY22, 7.2 percent and 7.5 percent respectively.
In the national budget for FY22, the government’s GDP growth target is 7.2 percent.
The 8th five-year plan also targeted 7.7 percent GDP growth in FY22.