Abstract
Introduction
The book is a comprehensive yet crisp analysis of the trajectory Bangladesh has navigated since its independence. The author has assigned the title “From a Basket Case to a Development Model” for the economic and social progress the country has made across the timeline, and rightly so. The book is organized into six parts. The 1st part introduces the reader to the economic and social accomplishments of Bangladesh in the recent years. In doing so, the author makes a quick reference to the key statistics of Bangladesh’s economy. The 1st part brings out the development model of Bangladesh’s economy. The 2nd part designs the molds in which Bangladesh’s economy thrives. It sheds light on the features of the economy that give the country’s development a unique look. The 3rd part of the book makes way for the reader to look into the financial sector of Bangladesh’s economy. This is obvious from the substantial evidence provided in the chapters on the porous nature of the economy. The seating of remittances in the overall development of Bangladesh’s economy makes it particularly gripping. The 4th part of the book publishes a detailed role of different economic sectors in the development of Bangladesh. Furthermore, it provides substance on the rural economy, apart from the vital role played by garment manufacturing in the development boom of Bangladesh. A futuristic glance at the engineering sector becomes an engaging chapter in the book. The 5th part maneuvers the role of government and civil society, especially the NGOs, in building the path of development Bangladesh now waltzes around. The important role of NGOs in the country’s development which has largely diversified from mere rehabilitation to assistance in economic, social, and political development has been widely discussed. Also, the special role played by the NGOs in tackling the Rohingya crisis of 2017 builds this part of the book. The book essentially provides answers to the development miracle of Bangladesh in the light of the government-binding approaches. Lastly, the 6th part of the book concludes the discussion along with the challenges to the present development trajectory.
Purpose
The first purpose of the book is to bring forth the factors responsible for the remarkable performance Bangladesh has shown over the decades. It demonstrates that this development has not taken place in a “void” as mentioned by the author himself but rather many other factors have come into play. Second, to make the development case of Bangladesh a model for the rest of the world, especially other developing or less developed economies. Though challenges remain for making these gains sustainable, other less developed countries could still draw lessons from the turnaround achieved by Bangladesh in its appalling economic and social environs. Third, to provide the academics across the world with food for thought by bringing out the successful venture of Bangladesh from a basket case to a development model. The book has successfully showcased Bangladesh’s development, which can serve as a beacon of hope to an audience far and wide.
Issues Covered
The book offers an elaborate coverage of multifarious issues.
Poverty and Inequality
The book addresses the issue of poverty and inequality in Bangladesh’s economy, referred to in the second chapter. While poverty incidence has declined surprisingly well during the time frame of 1991–2010, income inequality has climbed up. The rise in income inequality is apparent in the significant rise of the Gini coefficient during the period 2010–2016. This predicament is seen to be in line with the ‘miracle’ witnessed by East Asian economies. Both poverty and income inequality patterns seem to follow the exact trend it assumed in the case of East Asian economies. The puzzling pattern of poverty reduction simultaneously with a rise in income inequality and how it characterizes Bangladesh’s 7% growth trajectory is what is arduously discussed.
Climate Change-Resilient Economic Growth
Climate change is a common enemy. The rampant climatic events such as cyclones in the Bay of Bengal have far-reaching consequences for agriculture and food security. The book brings out the ramifications of climate change in the 3rd chapter. The devastating impact of climate change on water availability and access is of great concern for the South Asian countries. Access to clean drinking water stands in jeopardy if extreme climatic events continue to wreak havoc, as projected by the Intergovernmental Panel on Climate Change (IPCC). The issue of rising greenhouse gas (GHG) emissions is also addressed. With global warming hitting a high note, the outbreak of diseases such as malaria, dengue, and skin problems is likely to aggravate in Bangladesh.
Education and Health Sectors
In pursuing the education sector, the book contradicts the understanding of development economists about the payback of education to the society. The vitality of education is approached such that it is perceived to induce a kind of human development that enables achievement of other “entitlement” such as health. Going past the conventional wisdom of development economists in relation to education and health sectors, the book situates the triumvirate of education, health, and life expectancy into a model that best explains the trio’s role in creating the type of “social capital” that assures the development path to be sustainable.
Financial Sector
The book covers the entire working and role of financial sector of Bangladesh and brings out the exemplary evidence specific to Bangladesh’s economy. The book speaks on the overall structure of the financial sector in Bangladesh’s economy including the evolution of banking as well as non-banking financial institutions and the financial bond and equity markets in the take-off of Bangladesh’s financial sector.
Financial Inclusion
The 3rd part of the book covers financial inclusion in Bangladesh. The role of financial inclusion in providing a sustainable trajectory to the economic growth is undeniable. The contours of financial inclusion are clearly defined and explained, and it is along these lines that empirical evidence is furnished. The book covers the empirical scrutiny for financial inclusion in Bangladesh and its impact on economic development for the time frame of 2004–2017.
Foreign Remittances
In the seventh chapter of third part, the book makes an important contribution to the development-related impacts of migration from the remittances it generates. The case of Bangladesh has been quite elemental in altering the global composition of migration. The increasing international migration of Bangladesh’s semi-skilled and unskilled workers since the 2000s has generated enormous amounts of foreign remittances. Certain economic events have spurred international migration which in turn has catapulted the structure of foreign remittances. The book covers the change in composition of remittances over the years as globalization pounded the world economy.
The Primary and Industrial Sector
In its fourth part, the book encompasses a comprehensive account of the particular activities in the primary as well as the industrial sectors of Bangladesh. The role of agricultural sector in the developmental progress of Bangladesh is taken into account. Through data on males and females employed in agriculture and also the land holdings, the book untangles that although the population living on agricultural activities has declined, there is still a rise in production of livestock, food, and crop. Empirical testing gives further impetus to the discussion on the rural economy and the transition to an industrial or service-based economy. Within the industrial sector, noteworthy is the role of garments industry and also the light engineering goods industry.
Strengths
The book deliberates effort on various challenges and obstacles on the way ahead for Bangladesh’s economy. The book emerges quite diversified in topics and issues it deals with. Wherever necessary, a prompt comparison is drawn with the neighboring South Asian economies, especially India, which provides an anchor to readers interested in having an insight on the comparative analysis of development paths in both the countries. At a certain point, there is a relative drawn with the neighboring state of West Bengal too. The navigation between chapters is quite easy and follows a smooth tread. The introductory chapter sets an excellent precedent for the rest of the chapters to follow. The chapters run in the exact order of how things have been set out in the introductory chapter. The introduction of the book is both a quick snapshot and an elaborate description of the doings of Bangladesh’s economy in its economic, social, and political spheres.
Weaknesses/Limitations
The book cleverly brings up the issues that have fashioned the development path over the years since Bangladesh gained independence. However, two issues that were largely overlooked in the discussion are disability and labor rights. The disabled population in Bangladesh should also be taken into the ambit when issues such as food security, hunger, malnutrition, health, and education are considered. Without mentioning these issues, the overall picture of Bangladesh’s economy is incomplete. While the achievement of economic growth that is resilient to climatic shocks is discussed laboriously, there must also be emphasis on reducing GHG emissions.
Lesson for Other Countries
There are a variety of lessons that other developing and least developed countries could draw from Bangladesh’s example. Despite an overwhelming population and decrepit social conditions at the start of its journey, Bangladesh has reached a pinnacle and this could invigorate interest in other countries facing similar conditions to take cue from the working of government, NGOs, institutions, and community for the betterment of the country. India could learn to expand its export competitiveness from Bangladesh. The strides in export have leveraged Bangladesh to increase its economic growth. The female labor force participation rate is impressive in Bangladesh. This ensures gender equality in the country. This must act as a lesson for other countries to work on increasing their labor force participation, especially participation by women. Microfinance institutions and self-help groups have steered the transition of Bangladesh to a success story. Other countries should propel these networks and increase their reach to the deprived regions. Better finance and credit conditions would certainly provide an impetus to development levels of other South Asian economies as well.
The narrowing of poverty gap is a culmination of the strides made by Bangladesh’s economic and social sectors together. From the conjoined efforts of the economic and social players of Bangladesh, the neighboring countries of South Asia have a lot to learn. In an era where economic dominance largely derives from strategic and geopolitical dominance, Bangladesh stands out in its character in shaping the contours of its economy on the principles of social progress. This clearly gives Bangladesh a unique place in influencing countries at the lower echelons of the economic ladder to step up by invigorating its economic set-up in coordination with the social players of the economy.