In a report of the South Asia Economic Focus, the global lender said Bangladesh has managed to fend off the effects of global uncertainties on the back of strong investments and recovery of exports.
The report titled 'Globalization Backlash' identifies Infrastructure gaps and inadequate energy supply, along with the high cost of doing business as the main obstacles for Bangladesh to realise its growth potential.
The report also forecast Bangladesh's GDP growth to stand at 6.4 percent in 2018 and 6.7 percent the next year.
“To make the most of this export opportunity, countries in the region should continue to focus on policies that promote economic growth,” a World Bank statement quoted its South Asia Region chief economist Martin Rama saying.
He said: “A survey of South Asian experts conducted for this report reveals a strong consensus on the need to promote human capital accumulation, investments in infrastructure, and a more business-friendly environment.”
The statement quoted its South Asia Region Vice President Annette Dixon saying “Simulations of the impact of hypothetical new trade barriers show that South Asia is not only resilient to a potential rise in protectionism but could possibly even gain from it in some circumstances.”
Advanced economies are recovering and could see the faster growth that will likely increase demand for the South Asian product, Dixon added." The region should seize this opportunity to diversify its exports and enhance its supply response.”