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ICTs and Economic Growth in Bangladesh

In: Digital Transformation and Economic Development in Bangladesh

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  • Monzur Hossain

    (Bangladesh Institute of Development Studies)

Abstract

This chapter assesses the contribution of different sectors to GDP growth based on their ICT exposure and provides an econometric analysis of the impact of digitization on total factor productivity. The analysis shows that ICT-producing sectors contribute more to GDP over the years, while ICT manufacturing and ICT-using sectors have been almost stagnant over the last ten years. As for the determinants of TFP growth, the analysis suggests that teledensity and ICT exports significantly impact TFP growth and, consequentially, overall economic growth. The findings highlight that in the absence of any significant policy reforms in the 2010s, the only discernible policy changes with necessary investments were made to the ICT sector and digitization process that might have contributed to incremental economic growth. Therefore, the focus should be given more to ICT-producing and ICT-using manufacturing sector to improve the economy’s overall productivity.

Suggested Citation

  • Monzur Hossain, 2022. "ICTs and Economic Growth in Bangladesh," Springer Books, in: Digital Transformation and Economic Development in Bangladesh, chapter 0, pages 247-273, Springer.
    • Handle: RePEc:spr:sprchp:978-981-19-2753-9_12
    DOI: 10.1007/978-981-19-2753-9_12
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