Located at the tip of the Bay of Bengal, Bangladesh has experienced some economic progress but faces a variety of challenges including overpopulation, poverty, poor infrastructure and religious and social tensions. However, it is emerging as an outsourcing destination with aspirations to become a serious contender in the global software development arena.
Talent Pool & Education
Another one million people will be employed in the IT sector by the end of the 2021/2022 financial year, if the government meets the goal of its Digital Bangladesh initiative. Finance Minister AHM Mustafa Kamal says the IT industry is being linked with the education sector to harness the country’s untapped youth potential (one-half of the population is under the age of 25). With support from India, 12 high-tech parks are being developed across Bangladesh, providing free space to local start-up companies and specialized incubators where young people will be trained in advanced technologies such as robotics, artificial intelligence and extended reality.
Bengali (or Bangla) is the official language, but English is used extensively in government and in the business sector. English is a compulsory subject in all schools, colleges and universities.
Like many countries, Bangladesh faces a daunting challenge to rebound from the COVID-19 pandemic, which has reversed some of the social and economic gains that it has achieved in the past decade. Its vaccine rollout has also been slow. However, a strong anticipated recovery in its leading markets – Europe and the US — should boost the clothing trade, which accounts for 80% of export earnings. One of the most vulnerable countries in the world to climate change, Bangladesh is moving towards sustainable “green financing” to support business models that protect the environment from pollution.
The Economist Intelligence Unit predicts the ruling Awami League will win the next parliamentary election in 2023, with Sheikh Hasina Wajed, the country’s longest-serving prime minister in its history, re-elected as prime minister.
India will remain the country's main regional ally. In January, Wajed told India’s leader Narendra Modi that the COVID-19 pandemic had identified new frontiers of co-operation between the two countries: "We look forward to working with India in the next fifty years and beyond, towards realizing the shared vision of building a peaceful and prosperous region,” she said.