The significant growth in economic and human development in Bangladesh has been a catalyst for new trade in the country. However, only if the infrastructure is improved and the export base broadened can its true potential be shown.
A new report published by Commerzbank, ‘Insights: Bangladesh’, highlights how much potential Bangladesh has and Christof Gabriel Maetze, member of the executive management board at the German bank says the country’s path to success has been noteworthy.
“Bangladesh’s journey has been remarkable – the country recently attainted lower-middle-income status well ahead of predictions – but development still has a way to go, and risk management remains essential,” Maetze explains.
The study focuses on how Bangladesh still suffers from many structural weaknesses. An increased funding on infrastructure would broaden the country’s economic and export base, which would create jobs for the educated youth.
Banks will need to cover the risks related to investments that will improve Bangladesh’s economy and address challenges, so the country can become a regional trading power. They can commit to helping in this area of risk and build on cross-border trade.
Governor of Bangladesh’s central bank, Atiur Rahman offers encouragement. “An ongoing campaign to ingrain socially responsible corporate ethos is helping to instil the right motivations in support of the policy initiatives such as those to eradicate poverty,” he says.
“The motivating, consultative approach has drawn all banks and financial institutions in Bangladesh into enthusiastic engagement in the various initiatives; with their innovations and cost-efficient new modes of reaching out to their new client bases,”
Maetze adds that Commerzbank is dedicated to playing a central role in the story. “It is our view that Bangladesh’s further success will only come about through partnership – harnessing the skills and expertise of local banks with the payments and documentary infrastructure, as well as global reach, of international banks.”