Bangladesh Is To Set Overtake India in Per Capita GDP!!!

 

According to International Monetary Fund (IMF), India is set to drop below Bangladesh in per capita Gross Domestic Product (GDP) this year.

According to IMF World Economic Outlook (WEO), Bangladesh per capita GDP in dollar terms is expected to grow 4% in 2020 to $1888 whereas, India”s per capita GDP in dollar terms is expected to decline by 10% to $1877 – the lowest in the last four years. This makes India the third poorest country in South Asia with only Pakistan and Nepal reporting lower per capita GDP, while Bangladesh, Sri-Lanka, Maldives would be ahead of India. Till five years ago, India’s per capita GDP was nearly 40%  higher than Bangladesh’s. In the last five years, Bangladesh’s per capita GDP has grown at a compound annual growth rate of 9.1% , against 3.2% growth reported by India during the period.

 According to the WEO database, India’s economic contraction in 2020 will be its worst since the 1990-91 economic crisis when the per capita GDP had contracted 17.5%  in 1991. India’s GDP per capita in dollar terms had last contracted 1%  year-on-year in 2012 due to currency depreciation. In all, India’s per capita GDP in dollar terms contracted on eight occasions in 40 years, five of which occurred prior to 2000.