This document discusses the potential impacts of Brexit on Bangladesh. It notes that Bangladesh previously enjoyed duty-free access to both the UK and EU markets, but will lose these advantages after Brexit. This could significantly reduce Bangladesh's exports, remittance income from the EU, and remittances from migrant workers in the UK. The UK is currently the third largest export market for Bangladesh's textile and garment industry. Losing duty-free access could increase tariffs on Bangladeshi exports to the UK by $324.56 million annually. Overall, Brexit poses major economic risks for Bangladesh and its government will need to negotiate to maintain trade facilities with the UK.

1. BREXIT and its impact on
Bangladesh
PRESENTED BY
MOHAMMAD KAWSAR AHAMMED
MINHAZUR RAHMAN REZVI

2. Introduction
 Bangladesh enjoyed the advantage of free duty access to UK
markets as well as EU market.
 But, after BREXIT, Bangladesh will not get the opportunity to
export its product with the advantage of GSP.
 Bretain is interested in protecting its domestic market by the
imposition of import barriers.

3. Literature review
 Bangladesh has enjoyed balance of trade with EU since 1991and the
balance remained in favor of Bangladesh for a very long period.
 Free trade helps to increase the global level of output and it also
helps to make countries specialize in particular goods.
 Trade liberalization also helps to involved countries to boost up their
economy by the agreement of supply of products between the
countries.

4. Before impacts of BREXIT
146992.88
193365.49 220971.21 226503.76 248967.46
207360.16
0
50000
100000
150000
200000
250000
300000
2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 Average
FY11-15
Remittance from RMG
Export Average Export before BREXIT

5. Analysis
 The most challenging issue for Bangladesh is that having the
duty free trade privileges export to UK after the Brexit.
 Apart from export remittance income from European Union to
Bangladesh may fall significantly due to the Brexit.
 UK was the only connectors between Bangladesh and EU,
through which Bangladesh gets the 12.5% duty benefit.

6. Before impacts of BREXIT
901.23
812.34
863.28
808.16
846.2525
760
780
800
820
840
860
880
900
920
2013-14 2014-15 2015-16 2016-17 Average from
FY14-17
USDmillions
Wage Earners Remittance inflow from U.K

7.  Britain is the third largest country big market for textile cloth of Bangladesh
 Export earnings from the apparel industry have seen only a 0.20% rise to $28.15 billion.
 In FY 2015-2016, Bangladesh exports to UK totaled $3.40 billion o and $3.18 billion came from the
garment sectors (EPB, 2016).
Impacts on Bangladesh

8. AFTER 10 PERCENT FALL OF POUND AGAINST US DOLLAR, WILL MAKE
BANGLADESHI GARMENTS MORE EXPENSIVE TO BRITISH BUYERS.
THE SOUTH ASIAN COUNTRY HAVE TO PAY ADDITIONAL US$324.56 MILLION
TARIFF ANNUALLY WHILE EXPORTING TO THE UK MARKET (FINANCIAL
EXPRESS, 2016)
BANGLADESH MIGHT LOSE THE 12.5 PER CENT TARIFF TAX PRIVILEGE.
Impacts on Bangladesh

9. 146992.88
193365.49
220971.21
226503.76
248967.46
0 0 0 0 0
206511
0
50000
100000
150000
200000
250000
300000
2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 Brexit(pre.2018)
Remittance from RMG
Export Post-Brexit

10. Impacts on Bangladesh
 The UK is the second largest source of remittance for Bangladesh.
 Migrant workers living in the UK send $1 billion in remittance every year.
 A devalued Pound Sterling, migrant workers and nonresident Bangladeshis may send
low remittance to Bangladesh.

11. 2013-14 2014-15 2015-16 2016-17 2017-18
U.K 901.23 812.34 863.28 808.16 332.22
0
100
200
300
400
500
600
700
800
900
1000
USDinmillions Wage Earners Remittance inflow from U.K

12. Conclusion:
 Brexit is one of the largest risks to lower and middle income nations .
 Bangladesh as developing country is the most affected country by Brexit.
 Bangladesh government has to negotiate with UK for continuing the trade facilities
including duty free exports facilities.
Conclusion

13. Thank You