Bangladesh located next door to India is home to a sizeable population of 147 million, life expectancy at 62.5 years. Since obtaining independence in 1971, Bangladesh has progressed from a poor country with successful modest increases in per capita income although 45 percent live below the poverty line.
Economic Statistics
GDP as measured by purchasing power parity stands at $301 billion USD (2005) with corresponding GDP/Capita at $2,100 (2005). Total GDP at market prices is measured at $64 billion USD (2005). GDP growth is forecasted at 6 percent for 2006, 6.3 percent estimated for 2007 while GDP growth for 2005 came in at 5.4 percent, strong economic growth since 2000. Inflation is estimated at 6.1 percent for 2006, year 2007 at 5.6 percent. Other inflation quotes include year 2005 at 6.6 percent, March 2006 at 6.17 percent. The current account is in deficit at a modest $591 million USD equivalent (2005), the trade component is reporting a substantial shortfall of $3.5 billion USD (2005). External debt stood at $21 billion USD (2005), public debt at 46 percent of GDP. Year 2005 fiscal deficit came in at 4.2 percent of GDP. Modest oil consumption shortfall, natural gas is self-sufficient. Foreign exchange reserve assets as of April 2006 amount to $3.1 billion USD equivalent. Central bank interest rate at 5 percent. Agricultural sector (ie. rice production) employs 65 percent of the labour force.
CURRENCY: ISO Symbol for ‘BDT’, Bangladeshi taka. At time of review on May 15, 2006, the taka had an exchange value of 69.475 BDT to the US-dollar (USD). In May 2003, the exchange rate was floated where the taka has since incurred modest depreciation. In 1994, the taka was declared convertible for current account transactions.
CURRENCY HISTORY: the taka was introduced on January 1, 1972 when it replaced the then Pakistan rupee at par. Previously, the Pakistan rupee circulated since 1948. Historical exchange quotes include year 2005 at 64.3 BDT to the USD, 2004 at 59.5, 2003 at 58.1, 2002 at 57.8, 2001 at 55.8, 2001 at 52.14, 1999 at 49.08, 1998 at 46.9, 1997 at 43.9, 1996 at 41.8, 1994 at 40.2 and 1993 at 39.5.
CURRENCY FORECAST: currency risks include extreme population density, inefficiency of state owned enterprises, environmental concerns, inadequate infrastructure, unfortunate geography with frequent cyclones & flooding and the risk of domestic instability from terror sources within Bangladesh. The upside is in natural gas. For a detailed currency opinion on the Bangladeshi taka or any other currency, please click the banner below and contact us at BankINTRO.com for further details. We will be happy to provide you with a quote for currency consulting services.
