WB doubts 7.05% growth prediction

The World Bank today expressed its doubt about the 7.05 percent provisional growth estimate of Bangladesh’s gross domestic product (GDP) for the 2015-16 fiscal year. 

“The question is whether the official estimate is consistent with other growth-related indicators,” said Zahid Hussain, the lead economist of the World Bank. 

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He was addressing a programme on releasing Bangladesh Development Update at World Bank’s Agargaon office in Dhaka.  

Ten out of 12 indicators saw less success in between July 2015 and February 2016 than that of the previous year, he said.

Only exports and private sector credit growth saw more achievement in FY 2016 compared to FY 2015, he added, questioning how the total GDP growth increased this year.

He analysed that the government achieved 14.4 percent of NBR and tax revenues between July 2015 and February 2016 while it was 16.2 percent during the period in last FY.

The ADP implementation rate during the period stands 41.1 percent while it was 43.8 percent in the same period of last FY, he added.

According to provisional data of the Bangladesh Bureau of Statistics (BBS) for fiscal year 2015-16, the GDP would grow to 7.05 percent, which was 6.55 percent in the last fiscal year.

In 2006-07 FY, the growth was 7.06 percent, and according to BBS officials, the higher growth in 2006-07 fiscal year was due to a change in base year.