Economic experts are calling on Bangladesh to identify a fourth pillar of the economy as traditional revenue drivers show signs of slowing. With its economy valued at about $560 billion, the country is being urged to look beyond the ready-made garment sector and remittances to secure long-term stability and employment.
Mohammed Parvez Imdad, an economist and policy adviser, said the current economic foundation of garments, remittances and overseas employment is insufficient for future growth. “These two drivers have become tired,” Imdad said, adding that the private sector is critical to creating additional sources for economic diversification.
Imdad and others spoke at the Bay of Bengal Conversation 2025 organized by the Centre for Governance Studies on November 23, 2025.
The manufacturing landscape has long been dominated by the garment industry, which Imdad said may now be constrained to growth of “maybe 5 percent to 10 percent.”
Anwar-Ul-Alam Chowdhury, president of the Bangladesh Chamber of Industries, said the country should focus on sectors such as light engineering and the blue economy. He said developing the light engineering sector could help employ the country’s large labor force and serve as the economy’s fourth pillar.
Chowdhury said achieving that goal will require strong government engagement. “Bangladesh is in such a position that it is a resilient nation, but we need government policy support,” he said.
Sheikh Mohammad Daniel, director of Sonali Life Insurance, said reliance on garments has persisted for decades. “The end result is we have not really built on anything other than the garment industry,” he said. He argued that diversification will require policy support and understanding from the government rather than a focus solely on subsidies.