Recent Global economic condition and Bangladesh

At present the overall economic condition of the globe is not of good shape at all and the world is facing this type of economic disaster for the first time after a long period. The first world countries are facing this problem very strongly. Basically after the incident of 1/11 in USA, the economic crisis began to start and it affected the whole global economic condition very slowly. The main reason of this crisis is, the overall economic activities of USA are very much related to the whole world, as its economy is controlling economy  of the world.

Basically, the western world people are very much familiar with the credit card facilities and the financial intermediaries of that region are very much active for providing this type of facility to the general people by taking a lot of risk. They only believe in “Risk is proportional to return” and this belief back-fired them and most of the high risk taking financial intermediaries of that region faced bankruptcy. This is just because of very aggressive marketing strategy of those financial intermediaries. They provided loans to the general ultimate consumers very aggressively and could not get it back in the due time that means they provided a lot of flexibility to the customers and their recovery strategy was not so much aggressive. In other words, we can say that the monitoring activities of the central bank of that particular region was not that much strong or rude to recover the provided loans to the customers. They also believe that they have got asset but not enough liquid money and that is why they took risk and the result is the present odd situation.   

Bangladesh is also starting to face the economical disaster situation, as it is getting grants from the first world countries as well as from their controlled international organization like – WHO, World Bank, UNDP, UNICEF, WTO, IMF and some others. These welfare organizations are starting to stop funding in various less important projects that are already running or going to be started to run in this developing country. Besides, the people outside Bangladesh who are basically Bangladeshis are sending less remittance than the recent past. It causes less money supply in the inside overall economy of this country (Bangladesh). As our country is partly dependent on the foreign remittance, we face a lot of problem for the less amount of foreign remittance. Moreover, our export volume is also becoming smaller and smaller for the global economic crisis, which also shorten our incoming foreign currency and it also affects the overall money supply of the country.  Not only that, the first world people is also trying to avoid buying high graded consumer products that means luxury products and they also want to buy the existing market products in the lesser amount than the recent previous time and that is why the bidding price that the garment factories of Bangladesh have got from the outside agents is also becoming lower and it affects the profit margin of them as well as their sustainability.

For the global economic crisis, many Bangladeshi people, who are working in the foreign countries, are loosing jobs and they are coming back to their motherland. Besides, many other Bangladeshi people are in the pipeline to loose their running jobs. So, as a whole, we are going to  face a very big problem in the upcoming very recent future years.