The document discusses the economic impact of COVID-19 on Bangladesh. It notes that Bangladesh relies heavily on exports such as ready-made garments and remittances from workers abroad. COVID-19 has severely impacted these sectors and the overall economy. Garment exports declined by nearly 17% in 2020, falling short of targets. The government is recommended to provide assistance to the garment industry to help stabilize the economy as it is a major employer and source of income.

4. TABLE OF CONTENTS

5. PROBLEM & SOLUTION
 The novel coronavirus disease that was first reported in Wuhan, China in
December 2019 (COVID-19) is quickly spreading around the world.
 Bangladesh is one of the most vulnerable country due to high population
density (170 million people in 147,000 sq.km), poor health care systems,
and a weak economy.
 Because of the rapid spread of the COVID-19, Bangladesh's economy
has already started taking a big hit.
INTRODUCTION

6. BACKGROUND
YOUR LOGO
 As the economy of Bangladesh heavily relies on the
global supply chains, particularly Ready-made Garments
(RMG) and foreign remittance, the country has faced a
severe impact of the global economic meltdown (Amit,
2020).
 Bangladeshi immigrants, around 10 million workers, is
another important pillar of the country’s economy.
 Considering the duration and severity of COVID-19, we
examine its impact on major economic and financial
indicators of the Bangladesh economy and recommended
policy responses for recovery, based on the analysis.

7. BEFORE COVID-19
SITUATION
 According to Export Promotion Bureau (EPB),
the RMG sector has contributed 84.21% to
Bangladesh’s total exports of $40.53 billion,
growing by 10.55% in FY19.
 Though the growth rate is impressive it is too
optimistic to reach 50 billion marks by 2021
which is the target set by the government.

8. CONT…
 However, if on average 10% growth is predicted in the
upcoming two fiscal years, the total RMG exports will
stand at $37.54 billion in 2019-20 and $41.29 billion in
2020-21 which is shy by 8.71 billion USD compare to the
ambitious target of 50 billion set by the government of
Bangladesh.
 In FY19, the specialized textile sector has had a positive
growth of 28.51% to $144 million from $112.15 million
while the home textile sector saw a negative growth of
3.07% to $851.72 million, down from $878.68 million in
the last FY.

9. AFTER COVID-19 SITUATION
 In 2020, the export figures of July when Bangladesh
earned $3.24 billion from apparel shipment though
the amount is 1.98% lower than a year earlier.
However, garment export receipts in July are 14.18%
higher than the monthly target of $2.84 billion.
 Of the total garment shipment, knitwear exports grew
4.30% year-on-year to $1.75 billion while woven
exports fell 8.43% to $1.49 billion, according to data
from the Export Promotion Bureau.

10. CONT…
 In 2020, textile exports from the South Asian
nation dropped by nearly 17%. Shipments to
Europe, which is the destination for 60% of
Bangladesh's garment exports, recorded a
significant decline of just fewer than 19%.
 New figures from the Export Promotion
Bureau reveal that the country’s export
earnings in 2020 fell to $33.60 billion from
$39.33 billion in the previous year as the
COVID-19 outbreak hit the global economy.

11. A World Bank survey revealed that 98% of RMG factories are clients of
commercial banks.
 It is estimated that port usage fees earned from the RMG sector account for
more than 40% of the income of the port authority.
 The looming crisis in the RMG industry will have a multiplied chain
reaction on the whole economy and salvaging this industry will be beneficial
to other sectors as well.
RECOMMENDATIONS

12.  The impact of COVID-19 extends well beyond the RMG industry to other
economic sectors.
 Assistance to the RMG industry, which is the largest contributor to urban
poverty reduction, may help other associated sectors in the supply chain
and normalize the economy significantly and faster.
 Finally, the study suggested that as Covid-19 still surfacing all over
the world so some steps should be ensured by the government agencies
of Bangladesh to mitigate possible threats for the economy.
CONCLUSIONS