By
Reuters
Published
Jul 10, 2017
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Bangladesh exports see slowest growth in 15 years

By
Reuters
Published
Jul 10, 2017

Bangladesh's exports in the fiscal year ended in June rose nearly 1.7 percent from a year earlier, but that was the slowest growth in 15 years, while pivotal garment sales posted only 0.2 percent growth.


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The Export Promotion Bureau said on Monday total exports in the 12 months ended June 30 were $34.8 billion, or 5.85 percent below the target of $37 billion.

The annual percentage gain was the smallest since 2001/2002 financial year, when exports contracted as there was a downturn in the global economy.

Readymade garments, comprising knitwear and woven items, earned $28.15 billion in the year ended June 30. That was 7.34 percent below the target.

Garments are a key foreign-exchange earner for the South Asian nation, whose low wages and duty-free access to Western markets have helped make it the world's second largest apparel exporter after China.

But the industry, which supplies many Western brands, came under scrutiny after a string of fatal factory accidents, including a 2013 building collapse that killed more than 1,130 people.

Exporters blamed the lacklustre growth on a number of factors, including sluggish demand in the key markets, structural reforms in the garment sector, a weak euro and appreciation of local currency against the U.S. dollar.

 

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