Bangladesh Journey to Middle Income Status: The Role of the Private Sector

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Co-authored by Ali Zafar, Dr. Masrur Reaz, and Faaria Tasin, this report tells the story of the evolution of the formal private sector in Bangladesh, and empirically documents its contribution to the country’s economic development. The study provides a historical context and reviews the macroeconomic policies that have affected the sector. Drawing on a mini-enterprise survey of more than 100 companies, coupled with case studies and interviews with 10 leading firms, it documents the challenges to further expansion of the sector. It identifies finance, regulatory issues, and logistics as major growth obstacles. The study ends with a reform roadmap necessary for accelerated private investment.

Note: The list of leading Bangladeshi companies on Page 25 has been amended as of March 29, 2020.

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