2. Regional Connectivity: Potential for Infrastructure development and Energy in South Asia “ Causality of Infrastructure, Competitiveness and Connectivity” Dr. Ayub Mehar Director General (R&D) Federation of Pakistan Chambers of Commerce & Industry (FPCCI) Seminar Organized by SAARC Chamber of Commerce and Industry (SCCI) Dhaka (Bangladesh) May 26, 2009

3. Factors of Competitiveness

6. (Worldwide Ranking of 134 Countries) Business Competitiveness of South Asian Countries (Ranking) Sri Lanka Pakistan India Bangladesh 36 82 32 122 Innovation 32 87 27 105 Business sophistication 64 29 5 53 Market size 82 100 69 126 Technological readiness 65 71 34 82 Financial market sophistication 115 121 89 107 Labor market efficiency 42 100 47 106 Goods market efficiency 65 123 63 131 Higher education and training 53 116 100 105 Health and primary education 132 116 109 101 Macroeconomic stability 65 85 72 122 Infrastructure 66 95 53 127 Institutions 77 101 50 111 Overall Business Competitiveness Index

7. Infrastructure Development Competitive Advantage Competitive Disadvantage 93 108 107 124 Telephone Lines 72 120 108 124 Quality of electricity supply 60 47 10 63 Available seat kilometers 65 83 66 118 Quality of air transport infrastructure 44 78 93 121 Quality of port infrastructure 46 53 21 67 Quality of railroad infrastructure 63 69 87 93 Quality of roads 62 83 90 121 Quality of overall infrastructure 3.6 3.0 3.4 2.2 Infrastructure Development Score (1-7) 65 85 72 122 Infrastructure Development Rank (out of 134) Sri Lanka Pakistan India Bangladesh

8. Causal Relations and Simultaneity

9. Causal Relations Infrastructure Freedom to Trade Internationally Technology Readiness 6.14 0.49 Infrastructure 8.82 T-Statistics 0.55 Coefficient of Correlation Technology Readiness Explanatory Variables

12. Trickle Down Effect Logistical infrastructure Communications infrastructure Administrative infrastructure Capital market infrastructure Innovation infrastructure Factor (input) conditions National Business environment (NBE) Microeconomic competitiveness Competitiveness

13. Impacts of Infrastructure on GDP Cont… 0.848 0.036 Telephone lines per 100 population 0.774 0.031 Internet users per 100 population 0.773 0.026 Personal computers per 100 population 0.833 0.023 Mobile telephone subscribers per 100 population 0.816 0.471 Internet access in schools 0.777 0.456 Quality of telephone infrastructure Communications infrastructure 0.791 0.571 Quality of domestic transport network: business 0.812 0.463 Quality of electricity supply 0.731 0.421 Quality of air transport infrastructure 0.728 0.351 Quality of port infrastructure 0.745 0.306 Quality of railroad infrastructure 0.759 0.371 Quality of roads Logistical infrastructure R 2 Beta Regression on GDP per capita, PPP-adjusted (log)

14. Impacts of Infrastructure on GDP Cont… 0.741 0.009 Domestic credit to private sector (WB) 0.637 0.089 Doing Business, Getting Credit Legal rights index (WB) 0.652 0.287 Protection of minority shareholders’ interests 0.664 0.242 Financing through local equity market 0.732 0.509 Venture capital availability 0.722 0.49 Ease of access to loans 0.673 0.326 Soundness of banks 0.749 0.424 Financial market sophistication 0.729 0.384 Regulation of securities exchanges Capital market infrastructure 0.681 0.016 Doing Business, Paying Taxes (Low) Payments number (WB) 0.682 0.381 (Low) Time required to start a business 0.660 0.076 (Low) Number of procedures required to start a business 0.668 0.317 Ease of starting a new business 0.659 0.364 (Low) Burden of government regulation 0.741 0.497 (Low) Burden of customs procedures Administrative infrastructure R 2 Beta Regression on GDP per capita, PPP-adjusted (log)

15. Impacts of Infrastructure on GDP 0.825 0.256 Utility patents per million population 0.742 0.022 Tertiary enrollment 0.740 0.469 (Low) Brain drain 0.707 0.469 Availability of scientists and engineers 0.706 0.453 Quality of management schools 0.698 0.363 Quality of math and science education 0.706 0.383 Quality of the educational system 0.727 0.488 University-industry research collaboration 0.709 0.448 Quality of scientific research institutions Innovation infrastructure R 2 Beta Regression on GDP per capita, PPP-adjusted (log)

16. Overview of South Asia

17. Connectivity in Trade & Finance: South Asia 0.6 3.0 2.8 - 11.3 49.9 World 0.2 3.5 2.7 - 11.6 46.9 High Income Group 3.6 0.9 2.6 3.1 14.3 44.1 Low Income Group 3.5 0.9 2.0 3.7 14.1 34.4 South Asia 8.7 0.1 1.8 0.1 14.9 63.6 Sri Lanka 4.0 0.1 3.4 3.0 9.4 36.9 Pakistan 2.8 1.1 1.9 4.2 15.2 32.4 India 8.8 0.0 1.1 0.2 5.9 45.1 Bangladesh Net outflows Net inflows Workers remittances and compensation of employees received Foreign direct investment Financing through international capital markets Gross inflows Services Merchandise % of GDP % of GDP International Finance Trade Countries

18. Travel and Tourism 5.6 803866 6 887743 1030976 850778 World 6 632672 5.9 633422 533390 510271 High Income Group 4.4 24213 5.7 22549 - 27246 Low Income Group 4.2 12923 4.8 11608 12998 7296 South Asia 5.7 666 8.6 733 757 560 Sri Lanka 5.8 2029 4.5 919 - 898 Pakistan 4 9296 4.6 9227 8340 4447 India 2.6 444 0.6 80 1819 200 Bangladesh Outbound Inbound % of Imports $ millions % of exports $ millions thousands Outbound tourism expenditure Inbound tourism expenditure International Tourists Countries

19. Transport Services 143212 2072237 24848 414087 7751 2278 - - 35.9 - World 117678 1534977 18417 243338 10311 6152 - - 90.9 - High Income Group 2469 69322 846 9772 - - - 12.1 - Low Income Group 1793 51488 549 11872 2915 14297 - - 56.9 - South Asia 325 3101 21 3079 135 4358 1200 21067 81 97286 Sri Lanka 427 5715 51 1699 5013 24237 7791 209959 64.7 258340 Pakistan 843 40289 454 6190 407398 575702 63465 - 47.4 3383344 India 191 1729 8 904 817 4164 2855 - 9.5 239226 Bangladesh Air freight million ton-km Passengers carried Thousands Registered carrier departures worldwide Thousands Port container traffic thousand TEU (Twenty- foot- Equivalent units) Goods hauled million ton-km Passengers carried million Passenger Km Rail lines total route- Km Passengers carried million passenger- Km Paved roads % Total road network Km Air Ports Railways Roads Countries

20. Power and Communications 572 2.9 1.42 10.4 10.0 - - 40 20 9 2678 World 641 4.4 0.77 17.0 26.6 204 99 90 53 6 9760 High Income Group - 4.0 1.99 10.0 6.1 - 40 14 3 22 391 Low Income Group 433 2.1 2.02 2.4 4.0 - 60 15 3 24 432 South Asia 619 2.6 2.11 1.2 8.2 28 85 27 9 15 378 Sri Lanka 433 2.5 1.03 2.4 4.1 10 36 22 3 24 456 Pakistan - 2.0 1.19 2.5 3.3 - 61 15 4 25 480 India - 1.5 2.02 2.6 4.0 6 90 12 1 8 136 Bangladesh Price basket for mobile Price basket for residential fixed line Mobile subscribers Fixed mainlines subscribers per employee telecommunications revenue % of GDP Cost of call to U.S. $ per 3 minutes $ per month International voice traffic minutes per person Population covered by mobile telephony % per 1,000 people Affordability and efficiency Access Transmission and distribution losses % of output Consumption per capita kWh Telephones Electric power Countries

21. Investment in infrastructure projects with private participation ($ millions) 2.1 11687.7 13185.8 41008.4 South Asia - - 270.8 938.2 Sri Lanka - 322 800.7 9068 Pakistan 2.1 11365.7 11572.2 27912.6 India - 0 501.5 2187.3 Bangladesh Water and sanitation Transport Energy Telecommunications Countries

22. Trans-Asian Railway Project

28. Conclusion

32. Thank You....

33. The Global Competitiveness Index (Rank) Cont… Appendix-I 112 22 52 36 53 Botswana 15 82 57 123 123 98 Bosnia and Herzegovina 14 93 77 126 131 108 Bolivia 13 110 95 106 85 103 Benin 12 3 60 16 21 18 Belgium 11 10 114 24 20 33 Barbados 10 105 101 122 127 117 Bangladesh 9 45 20 28 31 28 Bahrain 8 102 45 61 62 62 Azerbaijan 7 13 44 10 11 9 Austria 6 15 28 21 12 15 Australia 5 97 83 90 96 93 Armenia 4 61 64 87 128 89 Argentina 3 76 5 84 102 61 Algeria 2 69 96 121 109 100 Albania 1 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/ Economy S.No.

34. Cont… The Global Competitiveness Index (Rank) 92 16 108 129 90 Ecuador 35 106 78 81 119 99 Dominican Republic 34 4 12 8 3 4 Denmark 33 29 42 50 72 45 Czech Republic 32 7 46 25 24 23 Cyprus 31 41 61 51 74 49 Croatia 30 127 69 73 130 113 Côte d’Ivoire 29 37 85 94 50 63 Costa Rica 28 67 88 80 87 77 Colombia 27 50 11 47 56 42 China 26 73 14 30 37 36 Chile 25 134 97 134 133 133 Chad 24 6 43 6 15 8 Canada 23 125 34 117 116 109 Cameroon 22 111 105 97 103 107 Cambodia 21 124 124 129 124 132 Burundi 20 131 120 104 75 126 Burkina Faso 19 68 54 95 111 82 Bulgaria 18 47 2 39 41 29 Brunei Darussalam 17 79 122 78 91 96 Brazil 16 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

35. The Global Competitiveness Index (Rank) Cont… 14 47 53 17 32 Ireland 55 87 72 86 68 76 Indonesia 54 100 109 72 53 80 India 53 2 56 17 6 11 Iceland 52 49 115 57 64 64 Hungary 51 43 3 5 9 5 Hong Kong SAR 50 83 89 75 82 78 Honduras 49 62 133 98 117 115 Guyana 48 99 87 71 98 84 Guatemala 47 40 106 45 58 51 Greece 46 115 121 82 63 106 Ghana 45 24 40 1 14 7 Germany 44 91 118 77 69 91 Georgia 43 119 99 62 38 81 Gambia, The 42 9 65 2 23 13 France 41 1 8 9 2 1 Finland 40 123 119 103 77 119 Ethiopia 39 28 23 40 33 30 Estonia 38 86 62 56 100 66 El Salvador 37 88 125 60 52 83 Egypt 36 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

36. The Global Competitiveness Index (Rank) Cont… 130 94 107 79 116 Mali 75 23 38 23 30 25 Malaysia 74 120 129 119 51 127 Malawi 73 104 127 114 94 125 Madagascar 72 55 31 89 90 68 Macedonia, FYR 71 31 7 20 13 12 Luxembourg 70 52 52 46 55 46 Lithuania 69 103 6 112 65 75 Libya 68 129 39 125 114 118 Lesotho 67 48 71 58 60 55 Latvia 66 96 128 111 122 124 Kyrgyz Republic 65 75 1 49 48 39 Kuwait 64 26 4 15 28 16 Korea, Rep. 63 108 107 91 93 104 Kenya 62 81 74 76 81 74 Kazakhstan 61 56 111 44 27 47 Jordan 60 22 98 11 26 26 Japan 59 77 130 67 86 97 Jamaica 58 30 100 54 84 58 Italy 57 25 59 37 47 41 Israel 56 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

37. The Global Competitiveness Index (Rank) Cont… 85 113 130 132 123 Paraguay 95 64 55 55 70 54 Panama 94 116 116 85 95 110 Pakistan 93 80 13 32 19 31 Oman 92 12 17 27 7 14 Norway 91 126 26 120 106 105 Nigeria 90 98 123 128 118 122 Nicaragua 89 5 25 42 8 19 New Zealand 88 11 36 12 10 10 Netherlands 87 107 90 132 120 120 Nepal 86 118 27 33 42 48 Namibia 85 132 112 124 112 131 Mozambique 84 71 84 70 61 67 Morocco 83 42 35 100 59 59 Montenegro 82 94 37 133 121 102 Mongolia 81 89 80 113 92 95 Moldova 80 65 48 68 97 60 Mexico 79 57 117 43 39 50 Mauritius 78 114 126 127 107 130 Mauritania 77 32 68 38 32 40 Malta 76 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

38. The Global Competitiveness Index (Rank) Cont… 17 10 3 5 2 Switzerland 115 8 15 13 4 6 Sweden 114 63 32 99 99 73 Suriname 113 53 132 65 66 92 Sri Lanka 112 35 30 22 43 27 Spain 111 122 63 48 46 69 South Africa 110 21 33 36 49 38 Slovenia 109 44 49 64 73 52 Slovak Republic 108 16 21 4 1 3 Singapore 107 46 86 102 108 88 Serbia 106 109 103 83 83 101 Senegal 105 51 9 41 34 34 Saudi Arabia 104 59 29 59 110 56 Russian Federation 103 66 76 105 89 87 Romania 102 18 19 35 16 21 Qatar 101 38 81 31 44 44 Puerto Rico 100 33 82 26 35 37 Portugal 99 39 50 96 88 70 Poland 98 90 53 92 105 85 Philippines 97 95 67 110 101 94 Peru 96 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

39. The Global Competitiveness Index (Rank) 113 134 88 126 134 Zimbabwe 134 128 102 116 67 121 Zambia 133 84 70 93 71 79 Vietnam 132 74 110 109 134 111 Venezuela 131 54 104 69 45 57 Uruguay 130 34 66 7 29 22 United States 129 19 58 18 25 24 United Kingdom 128 36 24 14 18 17 United Arab Emirates 127 60 91 79 115 86 Ukraine 126 133 92 115 113 129 Uganda 125 78 79 66 80 72 Turkey 124 27 75 34 22 35 Tunisia 123 72 51 63 104 65 Trinidad and Tobago 122 121 73 131 125 128 Timor-Leste 121 58 41 29 57 43 Thailand 120 117 108 118 76 114 Tanzania 119 101 131 101 78 112 Tajikistan 118 20 18 19 40 20 Taiwan, China 117 70 93 74 54 71 Syria 116 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

40. The Global Competitiveness Index (Score) Cont… Appendix-II 4.17 5.73 3.96 4.73 4.65 Botswana 15 5.30 5.15 2.20 3.06 3.93 Bosnia and Herzegovina 14 5.13 4.83 2.10 2.66 3.68 Bolivia 13 4.40 4.60 2.56 3.67 3.81 Benin 12 6.50 5.14 5.62 5.15 5.60 Belgium 11 6.32 4.21 5.21 5.19 5.23 Barbados 10 4.63 4.46 2.21 2.98 3.57 Bangladesh 9 5.82 5.78 4.77 4.89 5.31 Bahrain 8 4.72 5.35 3.70 4.05 4.45 Azerbaijan 7 6.28 5.36 5.86 5.72 5.81 Austria 6 6.27 5.66 5.33 5.72 5.75 Australia 5 5.06 4.73 2.87 3.50 4.04 Armenia 4 5.58 5.05 2.92 2.94 4.12 Argentina 3 5.34 6.08 2.96 3.45 4.46 Algeria 2 5.47 4.56 2.22 3.32 3.89 Albania 1 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

41. The Global Competitiveness Index (Score) Cont… 5.13 5.88 2.54 2.92 4.12 Ecuador 35 4.58 4.80 3.05 3.14 3.90 Dominican Republic 34 6.44 5.92 6.01 6.18 6.14 Denmark 33 6.07 5.37 4.11 3.87 4.85 Czech Republic 32 6.39 5.33 5.17 5.03 5.48 Cyprus 31 5.85 5.10 3.98 3.82 4.69 Croatia 30 3.49 4.93 3.33 2.82 3.64 Côte d’Ivoire 29 5.92 4.73 2.80 4.35 4.45 Costa Rica 28 5.53 4.71 3.07 3.66 4.24 Colombia 27 5.71 5.95 4.22 4.18 5.01 China 26 5.37 5.90 4.59 4.73 5.15 Chile 25 3.09 4.54 1.65 2.54 2.96 Chad 24 6.39 5.36 6.12 5.50 5.84 Canada 23 3.66 5.47 2.32 3.24 3.67 Cameroon 22 4.27 4.39 2.77 3.44 3.72 Cambodia 21 3.70 3.76 2.05 3.03 3.14 Burundi 20 3.42 3.93 2.57 3.82 3.43 Burkina Faso 19 5.53 5.21 2.79 3.28 4.20 Bulgaria 18 5.79 6.33 4.45 4.65 5.30 Brunei Darussalam 17 5.31 3.89 3.15 3.56 3.98 Brazil 16 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

42. Cont… The Global Competitiveness Index (Score) 6.28 5.33 3.95 5.39 5.24 Ireland 55 5.26 4.91 2.95 3.89 4.25 Indonesia 54 4.99 4.32 3.38 4.23 4.23 India 53 6.50 5.17 5.60 5.93 5.80 Iceland 52 5.74 4.20 3.85 3.94 4.43 Hungary 51 5.82 6.26 6.32 5.78 6.05 Hong Kong SAR 50 5.30 4.67 3.29 3.69 4.24 Honduras 49 5.57 2.84 2.76 3.23 3.60 Guyana 48 5.02 4.72 3.47 3.48 4.17 Guatemala 47 5.89 4.37 4.28 4.10 4.66 Greece 46 4.04 3.91 2.98 4.02 3.74 Ghana 45 6.10 5.42 6.65 5.65 5.96 Germany 44 5.14 4.02 3.23 3.89 4.07 Georgia 43 3.96 4.51 3.68 4.73 4.22 Gambia, The 42 6.35 5.04 6.54 5.10 5.76 France 41 6.57 6.01 5.94 6.18 6.18 Finland 40 3.79 4.00 2.66 3.80 3.56 Ethiopia 39 6.08 5.72 4.44 4.85 5.27 Estonia 38 5.26 5.10 3.90 3.46 4.43 El Salvador 37 5.19 3.56 3.74 4.25 4.18 Egypt 36 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

43. Cont… The Global Competitiveness Index (Score) 3.43 4.6 2.55 3.73 3.58 Mali 75 6.11 5.43 5.25 4.91 5.42 Malaysia 74 3.87 3.26 2.27 4.33 3.43 Malawi 73 4.63 3.38 2.41 3.52 3.49 Madagascar 72 5.67 5.51 2.9 3.58 4.42 Macedonia, FYR 71 6.03 6.03 5.38 5.68 5.78 Luxembourg 70 5.69 5.23 4.24 4.19 4.84 Lithuania 69 4.65 6.03 2.47 3.93 4.27 Libya 68 3.44 5.42 2.14 3.26 3.57 Lesotho 67 5.76 4.91 3.81 4.05 4.63 Latvia 66 5.06 3.31 2.51 3.06 3.49 Kyrgyz Republic 65 5.35 6.51 4.16 4.46 5.12 Kuwait 64 6.10 6.15 5.63 4.95 5.71 Korea, Rep. 63 4.43 4.37 2.86 3.54 3.80 Kenya 62 5.30 4.87 3.26 3.71 4.29 Kazakhstan 61 5.67 4.24 4.30 4.98 4.80 Jordan 60 6.11 4.53 5.80 4.99 5.36 Japan 59 5.33 3.25 3.54 3.66 3.95 Jamaica 58 6.04 4.46 3.94 3.68 4.53 Italy 57 6.10 5.15 4.48 4.53 5.06 Israel 56 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

44. Cont… The Global Competitiveness Index (Score) 5.27 4.22 1.91 2.64 3.51 Paraguay 95 5.56 5.19 3.94 3.88 4.64 Panama 94 4.03 4.17 2.96 3.51 3.67 Pakistan 93 5.31 5.92 4.56 5.21 5.25 Oman 92 6.28 5.83 4.99 5.93 5.76 Norway 91 3.59 5.7 2.24 3.42 3.74 Nigeria 90 5.03 3.86 2.07 3.2 3.54 Nicaragua 89 6.42 5.72 4.37 5.81 5.58 New Zealand 88 6.3 5.45 5.71 5.76 5.81 Netherlands 87 4.54 4.62 1.9 3.13 3.55 Nepal 86 3.99 5.69 4.56 4.59 4.71 Namibia 85 3.15 4.23 2.18 3.27 3.21 Mozambique 84 5.39 4.73 3.5 4.05 4.42 Morocco 83 5.83 5.46 2.72 4.07 4.52 Montenegro 82 5.11 5.44 1.85 3.08 3.87 Mongolia 81 5.19 4.79 2.43 3.55 3.99 Moldova 80 5.55 5.32 3.51 3.49 4.47 Mexico 79 5.66 4.03 4.32 4.68 4.67 Mauritius 78 4.13 3.49 2.1 3.42 3.28 Mauritania 77 6.02 4.97 4.46 4.88 5.08 Malta 76 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

45. Cont… The Global Competitiveness Index (Score) 6.22 5.97 6.4 5.97 6.14 Switzerland 115 6.35 5.88 5.71 6.05 5.9975 Sweden 114 5.56 5.51 2.72 3.47 4.31 Suriname 113 5.69 3.07 3.6 3.92 4.07 Sri Lanka 112 5.96 5.53 5.3 4.59 5.34 Spain 111 3.84 5.06 4.21 4.55 4.41 South Africa 110 6.15 5.48 4.49 4.4 5.13 Slovenia 109 5.82 5.31 3.64 3.85 4.66 Slovak Republic 108 6.24 5.74 6.39 6.19 6.14 Singapore 107 5.79 4.72 2.68 3.4 4.15 Serbia 106 4.43 4.44 2.97 3.69 3.88 Senegal 105 5.7 6.01 4.39 4.75 5.21 Saudi Arabia 104 5.59 5.55 3.75 3.29 4.54 Russian Federation 103 5.55 4.85 2.56 3.63 4.15 Romania 102 6.18 5.8 4.54 5.47 5.5 Qatar 101 5.92 4.77 4.59 4.56 4.96 Puerto Rico 100 6 4.74 5.07 4.75 5.14 Portugal 99 5.9 5.25 2.77 3.63 4.39 Poland 98 5.17 5.21 2.86 3.44 4.17 Philippines 97 5.1 4.98 2.53 3.45 4.02 Peru 96 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

46. The Global Competitiveness Index (Score) 4.16 1.48 2.9 3 2.88 Zimbabwe 134 3.46 4.45 2.35 3.91 3.54 Zambia 133 5.29 4.91 2.86 3.87 4.23 Vietnam 132 5.36 4.29 2.54 2.41 3.65 Venezuela 131 5.68 4.41 3.5 4.55 4.53 Uruguay 130 5.97 4.99 6.1 4.93 5.5 United States 129 6.17 5.15 5.52 4.99 5.46 United Kingdom 128 5.93 5.72 5.66 5.37 5.67 United Arab Emirates 127 5.59 4.62 3.13 3.26 4.15 Ukraine 126 3.12 4.61 2.36 3.27 3.34 Uganda 125 5.33 4.79 3.54 3.72 4.34 Turkey 124 6.09 4.87 4.56 5.15 5.17 Tunisia 123 5.39 5.25 3.65 3.44 4.43 Trinidad and Tobago 122 3.87 4.88 1.9 3.03 3.42 Timor-Leste 121 5.61 5.41 4.67 4.17 4.97 Thailand 120 4.03 4.34 2.28 3.81 3.61 Tanzania 119 4.99 3.18 2.68 3.74 3.65 Tajikistan 118 6.16 5.82 5.46 4.67 5.53 Taiwan, China 117 5.42 4.61 3.3 4.2 4.38 Syria 116 4. Health and primary education 3. Macroeconomic stability 2. Infrastructure 1. Institutions BASIC REQUIREMENTS PILLERS Country/Economy S.No.

47. Estimated Parameters: Regression Results Appendix-III 3.881 15463.32 BCI 2.99 7558.888 MSIZ 13.817 0.022 GDP 161.216 0.8482 -5.894 -80974.4 Constant Import of Services (IMS) -3.123 -32215.089 INST 6.327 66902.79 INOV 32.641 0.4239 -3.604 -75101.1 Constant Export of Services (EXS) 28.093 0.594 EXG 33.102 0.099 GDP 3859.103 0.989 1.882 6174.282 Constant Import of Goods (IMG) 6.586 181713 BCI 43.379 0.3301 -5.609 -664223.26 Constant Export of Goods (EXG) F-Statistics Adjusted R-square T-Statistics Coefficients Independent Variables Dependent Variable

48. Structure of output Appendix-IV 69 18 28 3 48461854 World 72 17 26 2 36794507 High Income Group 52 16 28 20 1618703 Low Income Group 54 17 28 18 1146716 South Asia 56 14 27 16 26964 Sri Lanka 53 19 27 19 126836 Pakistan 55 16 28 18 911813 India 52 17 28 20 61987 Bangladesh % of GDP $ millions Services Manufacturing Industry Agriculture Gross domestic product Countries

49. Growth of Output Appendix-V 2.8 2.9 2.6 2.5 3 World 2.4 1.8 1.4 0.5 2.3 High Income Group 7.6 7.7 7.6 3.1 6.5 Low Income Group 8.2 7.8 7.9 2.7 7 South Asia 6.3 3.5 4.4 1.2 4.8 Sri Lanka 6.1 10 7.9 2.5 5.5 Pakistan 8.9 7.7 8 2.7 7.4 India 5.8 7.3 7.7 2.8 5.6 Bangladesh average annual % growth Services Manufacturing Industry Agriculture Gross domestic product Countries

50. Structure of merchandise exports Appendix-VI 73 4 11 2 6 12084582 World 77 4 8 2 6 8451209 High Income Group 59 5 15 4 17 323066 Low Income Group 72 6 9 2 11 157637 South Asia 70 4 0 2 22 6886 Sri Lanka 81 1 5 1 12 16930 Pakistan 70 7 11 2 9 120254 India 92 0 0 1 6 11802 Bangladesh % of total $ millions Manufactures Ores and metals Fuels Agricultural raw materials Food Merchandise exports Countries

51. Structure of service exports Appendix-VII 41.7 7.5 27.6 23.2 2767235 World 45.1 8.8 22.7 23.4 2200476 High Income Group 58.8 3.5 18.2 19.7 111021 Low Income Group 62.8 4.2 13.7 19.3 80602 South Asia 24 3.6 25.6 46.8 1604 Sri Lanka 35.4 3.7 11.3 49.6 2246 Pakistan 73.7 4.2 11.9 10.2 75057 India 66 57 13.3 14.7 603 Bangladesh % of total $ millions Computer, information, communications, and other commercial service Insurance and financial services Travel Transport Commercial service exports Countries