Assessing the Dynamics of Export Performance and Economic Resilience in Bangladesh.

Abstract

Purpose: This study investigates the contribution of exports to Bangladesh’s economic growth, during 2010-2024 based on six major export sectors: Readymade Garments (RMG), jute and jute goods, tea, leather and leather products, fish, and pharmaceuticals.

Methodology: Descriptive statistics, trend analysis, Pearson correlation tests, and regression models were designed and employed to assess the extent of these sectors’ share of export growth in the country.

Findings: The results show that RMG has been the major foreign exchange earner, contributing more than 80% of the total export receipts. However, a large dependence on the sector has left the economy exposed to risks and fluctuations in global demand. Although other industries, such as leather, fish, and pharmaceuticals, have been growing, the sector is not stable and is still in a dormant stage. The research highlights that export diversification is essential for reducing dependence on RMG and minimizing the adverse impact of market fluctuations. Additionally, the study underscores the bottlenecks in infrastructure, political instability, and governance challenges that impede export performance.

Unique contribution of theory, practice, and policy: This paper suggests strategic policy reforms to move towards diversification, infrastructure building, and governance challenges. The study also suggests that a diversified and more resilient export base, along with better logistics performance and policy interventions, is necessary to ensure sustainable economic growth in the long run, and selected indicators of vulnerability would be reduced in Bangladesh to global economic shocks if these are implemented.