Bangladesh is labelled as one of the expected drivers of growth in emerging markets in near terms thanks to its steady growth and improvement in social indicators.
Bangladesh is grouped with four other developing countries as all these countries have a population of over 100 million each. Four other countries are: Indonesia, Pakistan, Nigeria and Mexico.
The Agility Emerging Markets Logistics Index makes this projection as Bangladesh climbed three notches in this closely watched logistics industry ranking of the world's 45 leading emerging markets.
Bangladesh advanced to 28th position in the 2015 index, unveiled this week in Switzerland, from 31st position last year. Thus the country is among 'next-tier' markets poised for growth.
The Agility Emerging Markets Logistics Index is an annual data-driven ranking aided by a separate survey of nearly 1,000 global logistics and supply chain executives.
The index, now in its sixth year, ranks emerging markets based on their size, business conditions, infrastructure and other factors that make them attractive for investment by logistics companies, air cargo carriers, shipping lines, freight forwarders and distribution companies.
Having headquarters in Kuwait, Agility is an international logistic company providing freight forwarding, transportation, warehousing and supply chain management services.
Although large BRICS nations (Brazil, Russia, India, China and South Africa) have accounted for much of the growth and investments in emerging markets and have dominated the index, Saudi Arabia and next-tier economies including Bangladesh climbed up in the index.
Along with those next-tier economies, emerging markets in ASEAN, GCC (Gulf Cooperation Council) and Sub-Saharan Africa are offsetting mixed performance in the BRICS countries powering emerging markets' growth in recent years.
Bangladesh scores high for 'market compatibility' or business climate and 'connectivity' or infrastructure and trade links as both have improved, reads the index report.
The country's sub-ranking on market connectedness surged by four steps to 41 and that on compatibility by one step to 26. On growth attractiveness, Bangladesh's position also improved one step to 17.
It also said that Bangladesh, the world's second largest garment exporter after China, posted an average 6 per cent growth rate in recent years and was 'trying to build an IT and software development sector.'
Thus Bangladesh's economy proved to be resilient in the face of domestic challenges, mentioned the index report.
'However, the current volatile political situation in Bangladesh may negatively affect foreign direct investments critical to the country's growth over the long term,' said Jude Julius Crasto, CEO, Agility Global Integrated Logistics Bangladesh.
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