Industrial sector experienced the most alarming contraction in GDP growth, where it plummeted to 3.51 per cent, nearly half of the previous year’s 8.37 per cent.The Bangladesh Bureau of Statistics (BBS) published this data on Monday (February 10) in its final GDP estimates for FY 2023-24.Bangladesh’s GDP growth rate for FY 2023-24 has dropped to 4.22 per cent, down from the provisional estimate of 5.82 per cent, marking a 1.6 percentage point decline. 

Industrial sector: Sharpest decline

Final Growth Rate (FY 2023-24): 3.51 per cent (down from 6.66 per cent in provisional estimates).

Previous Year (FY 2022-23): 8.37per cent.

Year-on-Year Decline: 4.86 percentage points.

Key Reason: A sharp drop in production in export-dependent industries, particularly the ready-made garment (RMG) sector, following a revised estimate of export earnings.

Agriculture sector: Marginal decline

Final Growth Rate (FY 2023-24): 3.30 per cent (slightly up from 3.21 per cent in the provisional estimate).

Previous Year (FY 2022-23): 3.37 per cent.

Year-on-Year Decline: 0.07 percentage points.

Services sector: Modest slowdown

Final Growth Rate (FY 2023-24): 5.09 per cent (down from 5.80 per cent in provisional estimates).

Previous Year (FY 2022-23): 5.37 per cent.

Year-on-Year Decline: 0.28 percentage points.

Overall GDP size & economic outlook

BBS estimates put the GDP size for FY 2022-23 at Tk 50.2 trillion ($450 billion) at current prices. The steep decline in industrial growth, driven by an export earnings slump, is cited as the primary reason for the weaker-than-expected GDP performance.

The latest figures highlight growing economic challenges, raising concerns about employment, investment, and future growth prospects in key sectors.