FM has forecasted that the GDP growth rate will be 7.4 per cent for FY2020-21. Bangladesh Bank data show that the GDP growth rate was always positive during the last four decades. The growth of the tax revenue was also positive and mostly much above the GDP growth rate except for the year 2019-20 when it turned negative despite a fairly robust estimated growth. Thus the growth rate of GDP for the whole year could be lower than what it otherwise would have been. Normally higher growth rates of money and credit are associated with a higher growth rate of GDP, sometimes with a lag.

Source: bd News24 January 24, 2021 16:18 UTC