World Bank Urges Bangladesh To Focus On Sustainable Growth

(RTTNews) - The World Bank said Bangladesh needs to focus on a growth agenda centered on sustainable and inclusive growth.

In a report released Friday, the lender said the economy remained strong and resilient despite external and internal challenges.

Sustained macro stability, disinflation, rising reserves and declining interest rates played an important role in stabilizing the economy, it observed.

In order to sustain growth, the lender said private sector participation could address part of the infrastructure gap. But the country needs substantial public sector funding for investments in transport, river management and other infrastructures.

Stagnating private investment remains a concern. Other challenges to the economy include the decline in agricultural growth, appreciation in Real Effective Exchange Rates, a struggling banking sector with weak governance in state banks coupled with slow pace and quality of development spending, the World Bank said.