Graduation of Bangladesh from LDC Group: Challenges and Opportunities

This paper discusses the development path of Bangladesh, particularly the process and prospects of graduation from the LDC category and the challenges and benefits associated with the graduation. This paper is based on reviews of secondary literature related to graduation and development performances of Bangladesh. Data from secondary sources such as World Bank and United Nations have been utilised. Bangladesh has been maintaining steady progress, measured in terms of social and economic
indicators, despite the initial doubt of not keeping pace with development. It has been possible, inter alia, because of stable growth rate for an extended period, vibrant private sector, especially the RMG, international remittances sent by the Bangladeshi diaspora worldwide, falling fertility and mortality rate and thereby increasing life expectancy and increasing literacy rate. For
the first time, Bangladesh has met the initial criteria of graduation in 2018. If these present conditions continue, by 2024, Bangladesh will officially graduate. However, the path of graduation is not smooth. Even the development path will be bumpier after graduation since most preferential support measures enjoyed being in LDCs, will be withdrawn. Both graduation
and development afterwards require well-orchestrated policies.