This document discusses Bangladesh's economy and service sector. It notes that Bangladesh has a per capita income of $1,700 and GDP growth of 6-7% annually, with major exports including textiles, garments, and remittances. The service sector contributes 49.22% to the economy and is growing at 6.175% annually. Promising service sectors include tourism and financial services. The document also discusses regulations and policies around trade in different service sectors.

1. Group Members
Sumaiya Afreen (ID#B1001014)
Nazifa Nushrat (ID#B1001038)
Anika Tasmia Shawki (ID B1001048)
Zaharatul Munir Sarah (ID#B1001049)

3.  Its per capita income in 2010 was est. US$1,700 .
 the 44th largest economy in the world in 2011 in PPP terms and
57th largest in nominal terms.
 Economy growth: 6-7% per annum .
 Major source: Exports of textiles and garments
 others are textiles, jute, fish, vegetables, fruit, leather and leather
goods, ceramics, ready-made goods.
 Remittances from Bangladeshis working overseas: mainly in the
Middle East
 important export sectors include ceramics, cement, fertilizer,
construction materials, fish, seafood, cane and leather products
 45% of Bangladeshis are employed in the agriculture sector with
rice as the single-most-important product.
 Problems: political instability, poor infrastructure, corruption,
insufficient power supplies, and slow implementation of
economic reforms

5.  Service sector playing important role in GDP in most of
the south Asia, Africa and the Caribbean region
 Domestic Regulation.
 Doha Round points out national policy objectives to be
a valid concern as long as these are not used to restrict
trade.

6. Entertainment
 Literature
 Music
 Painting
 Drama
 Dance

7.  Fast foods
 Restaurants
 Food shops

8. Hospitality
 The capital’s hospitality industry has almost
doubled in size and earnings over the last
four years, thanks to the addition of a few
new five-star hotels, officials said
Wednesday.
 The luxury hotels in Dhaka have earned Tk
1.18 billion revenue as room rent in calendar
year 2007 while it was Tk 577.29 million four
years back in 2004, a top official of a five star
hotel told the FE.

9. Tourism
 The hotel and tourism sector is growing
steadily in Bangladesh thanks to the political
stability, growth in export earnings and high
turn-up of tourists and corporate and
business clients, sources said.
The hotel industry is growing by at least 10
percent as the economy of Bangladesh is
posting 6-7 percent growth per annual.

10.  Tourism
 2013 ANNUAL RESEARCH: KEY FACTS
 The direct contribution of turison in the GDP
was BDT 193.obn (2.1% of GDP ) in2012 and
forcast to rise by 7.7 % in 2013 and rise by
6.8 % on the next year.
 GDP: TOTAL CONTRIBUTION
 The total contribution of Travel & Tourism to
GDP was BDT394.8bn (4.3% of GDP) in 2012
and forcasted to rise by 7.5% on the next
year.

11.  Entertainment
 The contribution of cinema halls, cinema
production houses, tele films/drama
production houses and private TV channels
have been considered and added from FY
2004-05.

12.  New horizon for service exports
 Eliminate the trade barriers
 Total trade deficit is increasing over the year
 Average rate of growth of service export is
more than service import
 16.16% and 15.89% respectively
 Good symptom for Bangladesh.

13.  Population is an important source
 Bangladesh is a labor intensive country
 Average employment to total employment
 Agriculture- 58.89%
 Industry- 12.39%
 Service- 25.36%

15.  Sharp rise in agricultural sector from 58.8
percent in 1982-83 to 66.4 percent in 1989-90
 Share of the manufacturing sector rose to 13.7
percent in 2002-03
 Service sector has been somewhat unstable
during the last two decades
 It declined from 24.2 percent in 1982-83 to
16.2 percent in 1989-90.
 Telecommunication and financial intermediaries
 Major policy reforms, the employment share of
service sector grew substantially, which reached
to 34.6 percent.

16.  The level of market concentration -
significantly higher
 the market structure of most service
industries -monopolistic or oligopolistic
 Grameen phone- part of Telenor’s global
mobile network.

17.  Health:
 Mode 1- no specific rule
 Mode 2- a valid visa holder can avail services
 Mode 3- a company, incorporated outside
Bangladesh with a valid license
 Mode 4- no specific rule

18. Tourism
 Mode 1- are no specific rules and regulations
 Mode 2- are no specific rules and regulations
 Mode 3- no specific legislation

19.  Improving institutional and human capacities
 Manage the negotiating process
 Developing infrastructure facilities
 Evolving marketing and distribution facilities
 Broadening the scope of aid for trade

20.  Contribution of service sector :49.22%
 Growth rate of service sector : 6.175%.
 Prospects of promising service:
◦ Development of Tourism
◦ Quality Financial Services
◦ Development of Education sector

21.  Appropriate government policies and measures need to be
designed for a sustained growth of the services sector.
 Bangladesh needs to enhance the education and skill level
of its workforce as it is important for the financial service
firms to employ skilled workforce for delivery of their
services to foreign clients or attract firms to employ skilled
workforce foreign multinationals into the country.
 Computer literacy level along with the general education
level needs to be enhanced.
 In sectors in which regulatory bodies exist, e.g., Securities
and Exchange (SEC) etc. there is the need to strengthen
the capabilities .

22.  Different country experiences suggest that trade liberalization
alone cannot result in growth and development. On the whole there
are several issues concerning trade liberalization and domestic
regulation in the services sector which require immediate
attention. Some of these are as follows:
 Although Bangladesh has made some significant gains from trade
liberalization, a rather slow and cautious approach is preferred by
many stakeholders.
 There is a need to strengthen the capacity for domestic regulation,
the underlying rules to strengthen the process of trade
liberalization in a number of services sectors.
 There is a need to actively involve all stakeholders (civil societies,
private sector, etc.) at every stage of the decision making process
from assessment studies to formulation to actual policy
formulation.