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09 December 2021

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UNGA adopts resolution to graduate Bangladesh from LDC category

BI Report || BusinessInsider

Published: 10:39, 25 November 2021   Update: 13:21, 25 November 2021
UNGA adopts resolution to graduate Bangladesh from LDC category

Photo: Collected


The United Nations General Assembly (UNGA) has adopted a historic resolution to graduate Bangladesh from the least developed country (LDC) category.

The decision was taken at the 40th plenary meeting of 76th UNGA on Wednesday.

"What better way to celebrate 50th anniversary of our independence and birth centenary of Bangabandhu! Fulfillment of national aspiration and Prime Minister's vision 2021," said Bangladesh's permanent representative to the UN Rabab Fatima in a tweet.

The UN General Assembly also adopted resolution for LDC graduation of the Lao People's Democratic Republic and Nepal at the same meeting.

The UN gave the countries five years, instead of three, to prepare for the graduation to a developing country.

Hence, the decision will come into effect on November 24, 2026.

“The three countries will graduate from the LDC category after an exceptionally extended preparatory period of five years (the standard period is of three years) to enable them to prepare for graduation while planning for a post-Covid-19 recovery and implementing policies and strategies to reverse the economic and social damage incurred by the Covid-19 shock”, said a UN release on its website.

Finance Minister AHM Mustafa Kamal has termed it as a great landmark in the development journey of Bangladesh.

"This is an international recognition of the indomitable progress made by Bangladesh under the direction of the Honorable Prime Minister. People from all walks of life of this country have contributed to this historic success”, he said in a press release.

Earlier, the Committee for Development Policy (CDP) of the United Nations recommended Bangladesh for LDC Graduation during its triennial review meeting held on 26th February this year.

CDP also recommended providing an extended preparatory period of five years for Bangladesh spanning from the year 2021 to 2026. The recommendation had been duly endorsed by the Economic and Social Council (ECOSOC) of the United Nations on 08 June 2021.

It is notable that Bangladesh is the only country that has been recommended for LDC graduation by fulfilling all three criteria set by the United Nations.

This achievement will further brighten the overseas image of the country and will accelerate the ongoing development pace.

Bangladesh has been recommended for graduation at a time when the whole country is celebrating fifty years of its independence as well as the birth centennial of the Father of the Nation Bangabandhu Sheikh Mujibur Rahman.

per the rules of CDP, a country can enjoy three to five years long preparatory period after being recommended for graduation. Since, Bangladesh has received a five-year preparatory period for graduation as per the recommendations of CDP, the country will formally graduate from the LDC status in 2026.

During this preparatory period, Bangladesh would be entitled to enjoy all the international support measures reserved for LDCs.

In addition, as per the existing provisions, the country would also remain eligible to enjoy duty free quota free access in the European Union market for three more years lasting until the year 2029.

With a view to continue the international support measures received as an LDC in the aftermath of graduation as well as to ensure a smooth and sustainable graduation-- the government is taking various policy measures under the leadership of the Prime Minister’s Office, in partnership with private sector and development partners.

Monetary Policy Stance
Budget 2020-21