Ride-sharing to become $1 billion market in Bangladesh in 5-7 years

Bangladesh's ride-sharing market is likely to reach $1 billion in the next five to seven years, said analysts at a seminar in Dhaka today.

Ridesharing is the largest segment of the gig or digital economy, worth $259 million in the country, said Mohammad Mahfuz Kabir, research director of the Bangladesh Institute of International and Strategic Studies (BIISS).

He spoke at the seminar on challenges and opportunities for the gig economy in Bangladesh at the BIISS auditorium.

Kabir said the gig economy, a labour market that relies heavily on temporary and part-time positions filled by independent contractors and freelancers rather than full-time permanent employees, is growing fast and becoming an important part of the informal economy, which is 43 per cent of Bangladesh's economy.

The remote platform economy or cloud work generates $100 million annually, he said.

"The platform economy model continues to attract workers as they feel the sector can offer cash flow and flexible work hours."

Internet access and the availability of smartphones have played a vital role in the growth and expansion of the gig economy in Bangladesh.

Mashiur Rahman, economic affairs adviser to the prime minister, was present at the seminar chaired by Zaidi Sattar, chairman of the Policy Research Institute of Bangladesh.