17

MARKET PULSE 

FEB-2018

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For example, Bangladesh received 
official development assistance from 
development partners 90.5% as grant 
and only 9.5% as loan in 1971-72 fiscal 
years while the country received only 
12.5% grants and 87.5% loan in last 
fiscal year. Soon after the graduation 
Bangladesh will be completely out of 
grant assistance facility, everything 
has to be bearded by local resources 
or go for foreign loans and repayment 
with interest. 

5. Technical co-operation and other 

forms of assistance

 As an LDC, Bangladesh enjoys 

various international organizations 
fund support for scholarship, 
fellowship, participating in special 
training programs, various meetings 
and workshops, conducting research, 
policy analysis and advocacy, 
and support for relevant inter-
governmental processes. These 
benefits will be withdrawn after 
graduation. 

6. Exemption from TRIPS

 

After graduation, it will no longer 
have access to a special WTO waiver 
which exempts the industry from 
the Agreement on Trade-Related 
Aspects of International Property 
Rights (TRIPS). Under the waiver, 
Bangladesh as an LDC can export 
generic versions of patented drugs 
to any country where those drugs 

are not covered by patents or where 
compulsory licences are issued to treat 
diseases like cancer or HIV/AIDS. 
Vietnam, Myanmar and Kenya are 
currently key markets. Most of the 
hundred or more pharma companies 
operating in Bangladesh make so-called 
generics, or non-branded medicines, the 
patents of which have often expired. 
Around a 5th of drugs produced in the 
country are patented in other countries. 
The LDCs are exempted from Article 
33 of TRIPS agreement and hence 
allowed for production and export of 
pharmaceuticals up to 2033. Bangladesh 
will lose these facilities by 2027 with 
finally graduating from LDC.

7. Other Challenges

 

Although the nation has demonstrated 
significant success in disaster 
management, natural disaster 
will remain an uncertain variable. 
Undernourishment could also remain 
a concern after graduation. Once 
graduated, Bangladesh will no longer 
be eligible for climate fund for LDCs, 
implementing IP laws, paying more 
subscription fee to international 
platforms like UN, unavailability 
of technical cooperation in terms 
of development assistance etc. For 
example, in principle, 50% financing 
from the Green Climate Fund is to be 
allocated particularly to the vulnerable 
countries, including the Small Island 
Developing States and African States 
as well as the LDCs. 

Conclusion

Every success story has great attempt behind 
the scene. The 7th March speech has solid 
platform since the language movement in 
1952. The Father of the Nation has made 
a top-level exercise throughout his life in 
delivering the nation-saving speech. On 
the birthday of the Father of the Nation, 
we have received our recognition as a 
developing country. Both the achievements 
are nothing but demonstration of tireless 
effort and strong determination. The historic 
7th March speech and the graduation from 
LDC are the outcomes of some desperate 
hard work. 

To be very honest, Bangladesh’s LDC 
graduation is certainly not the end of the 
story, rather it is the beginning of the end. 
Bangladesh is expected to graduate by 2024 
and to lose its LDCs preferential benefits by 
2027. Therefore, we have roughly nine years 
time to prepare ourselves. As government 
has already declared the Vision-2041 to 
become ‘Developed Country’ we have 
miles to go. Lots of works are due to 
embrace a transformed economy. A clear 
exit plan or policy must include every 
aspects related to the LDC graduation. 
Specially, researchers have more duties 
because we need to know the estimate of 
the probable cost of losing in all forms of 
ongoing benefits received by Bangladesh as 
an LDC and work accordingly. 

Disclaimer: Disclaimer: The author is Deputy Secretary, Ministry of Public Administration and a Development Analyst. The views are of the author 

alone, as are any  errors and/or omissions.

Every success story has great attempt behind the scene. The 7th March speech has solid 

platform since the language movement in 1952. The Father of the Nation has made a top-
level exercise throughout his life in delivering the nation-saving speech. On the birthday of 

the Father of the Nation, we have received our recognition as a developing country. Both the 

achievements are nothing but demonstration of tireless effort and strong determination. The 

historic 7th March speech and the graduation from LDC are the outcomes of some desperate 

hard work.