Bangladesh higher in OECD rankings

The OECD has upgraded the overall country ratings of Bangladesh by one notch for the resilience by its economy.

The Bangladesh Bank in a statement yesterday said the country moved to category 5 from category 6, which puts it just behind India but ahead of other South Asian countries.

Bangladesh has surpassed its neighbouring countries like Pakistan (7/7), Sri Lanka (6/7), Nepal (6/7), Myanmar (6/7) and Mongolia (7/7) in the OECD country classification, and is only behind India (3/7).

The major reasons for the promotion were the resilience of the Bangladesh economy and the high and stable growth for well over a decade despite political upheaval and weak external demand.

Due to long spells of macroeconomic stability, Bangladesh has now become a new frontier market, shifting away from a highly development aid-dependent nation, the statement said.

The upgrade was made in the Organisation for Economic Co-operation and Development (OECD) classification committee meeting on June 17, according to the statement.

A delegation led by Bangladesh Bank Governor Atiur Rahman met the delegation of Swiss Export Credit Agency (SERV) on June 29 at Zurich. In the meeting, Herbert Wight, director of SERV, informed Bangladesh about the country's upgraded status.

Rahman expressed his satisfaction over the enhancement in OECD classification, which should lead to significant lowering of costs for Bangladeshi entrepreneurs and banks in securing guarantees and letters of credit confirmations.