Covid-19 impact on Bangladesh Economy

Impact of covid-19 on economy essay

Introduction: Coronavirus is a new threat to humanity. The lack of coordination against a global pandemic is one of the biggest challenges the world faces today.

That's why Bangladesh also faces COVID-19's impact on the major economic and financial indicators of the economy of Bangladesh including production, wages price levels, advances, bills, investments, foreign trade and so on. Though the country's domestic and international demand declined during the COVID-19 outbreak, nowadays, country's economy has started anew to recover the crisis.

COVID-19: Coronaviruses are a large family of viruses that are known to cause illness ranging from the common cold to more severe diseases such as Middle East Respiratory Syndrome (MERS) and Severe Acute Respiratory Syndrome (SARS). A newly identified coronavirus, SARS-COV-2, has caused a worldwide pandemic of respiratory illness, called COVID-19. COVID-19 was first detected in Wuhan, China, in late 2019 and has set off a global pandemic. COVID-19 has spread both inside and outside China. In Bangladesh, the virus was detected 8 March, 2020. The virus is transmitted from one human to another. It is now spreading worldwide.

Coronavirus & Bangladesh: Before the outbreak of COVID-19 people of Bangladesh were living peacefully, travelling freely, doing their jobs perfectly; the economic growth projections were cheery. But the novel coronavirus or COVID-19 has brought a dramatic slowdown in the overall life style and economy of the world where Bangladesh became a victim too. The virus was confirmed to have spread to Bangladesh in March 2020. The first three known cases were reported on 8 March 2020 by Institute of Epidemiology, Disease Control and Research (IEDCR).

The coronavirus started spreading in Bangladesh from mid-March. Lockdown was initiated in a bid to halt the spread of the virus. Much of the economy came to a standstill resulting in an unprecedented economic crisis. To meet the incipient challenge the government rolled out its first assistance package on March 25 to minimise the trade impact of the Covid-19 crisis. It was meant to assist only the RMG sector who contributes 85 percent of the total export of the country. The package involved giving exporting firms wage will support of Tk 50 billion interest rate of 2.00 percent.
Covid-19 impact on Bangladesh Economy

Covid-19 Impact on Economy of Bangladesh

A large assistance programme of several packages was announced by the Prime Minister at this time. The government of Bangladesh announced a general holiday period from March 26-May 30. During that period, most Bangladeshi government offices and private sector organizations were closed. Between May 31 to June 15 offices and workplaces were reopen. The government of Bangladesh has made wearing masks mandatory when outside the home. The public transit system will run a reduced capacity and will be subject to health and hygiene directives.

Beginning May 31, no one will be allowed outdoors from 8 pm to 6 am. Stores can remain open between 10 am and 4 pm. According to the Bangladesh Economic Association (BEA), nearly 36 million people have lost their jobs in the first 66 days of the coronavirus lockdown.A statistics shows that the rate of graduate unemployment increased 47% to 63% due to the pandemic.

The spread of coronavirus could not be prevented despite the government declaring general holiday. So, the government has decided to divide different areas of the country into red, yellow and green zones, based on the number of reported COVID-19 cases and will enforce a lockdown accordingly.

Bangladesh has been growing at a steady rate of more than 6 percent from the 2010-11 financial year before COVID-19 pandemic. But in the wake of COVID-19 epidemic, the continuity has been hampered. In 2019-20 fiscal year,it decreased by 3.5 percent. It was lowest record in recent time for the country.

However, in 2020-21 fiscal year, it is estimated that the per capita will stand 5.47. After all, the economic activities began recovering gradually in the subsequent 2020-21 fiscal year. Economists opined that the government's several initiatives helped to recover the economic crisis.

Conclusion: Coronavirus is a real threat to everyone on the planet. Bangladesh is also facing high risk affected by coronavirus outbreak. After all, the economy of Bangladesh has suffered more due to covid-19 and in the passage of time it has been recovering for sector wise plans taken by the government.
Next Post Previous Post
No Comment
Add Comment
comment url