China's recovery creates opportunities for higher cooperation with Bangladesh

[Michael Corleone]

Malaysia is well on the way to become fully industrialised by 2030.

Malaysia GDP per capita $29,700 GDP growing at 4-5% a year

South Korea GDP per capita $44,000 GDP growing at 2-3% a year.

BD is doing just fine economically and if you look for faults you will find it. A lot of the issues mentioned will simply go away as the country gets richer, has better education and infrastructure over the next 1-2 decades.

Malaysian growth collapsed. -6 last year. I wonder how long it will take to bounce back. They’ve been stuck in middle income trap for a long time

 

[UKBengali]

Malaysian growth collapsed. -6 last year. I wonder how long it will take to bounce back. They’ve been stuck in middle income trap for a long time

The data suggests they are not in "middle-income trap".

4-5% growth a year with GDP per capita at nearly 30,000 US dollars at PPP will allow them to become high income by 2030.

They are growing no worse than S Korea did 10-15 years ago when they were at the same stage of economic development.

Malaysia only looks bad as their neighbour Singapore has done so much better.

"Middle-income trap" is what happened to other countries like Brazil and Thailand but not Malaysia.

 

[Shorisrip]

The data suggests they are not in "middle-income trap".

4-5% growth a year with GDP per capita at nearly 30,000 US dollars at PPP will allow them to become high income by 2030.

They are growing no worse than S Korea did 10-15 years ago when they were at the same stage of economic development.

Malaysia only looks bad as their neighbour Singapore has done so much better.

"Middle-income trap" is what happened to other countries like Brazil and Thailand but not Malaysia.

This is true, Malaysia almost fell in it in the early days, but its migrant worker visa programs allows smooth functioning of industrial development since labour costs are kept competitive. Having said that, income inequality is a huge problem in Malaysia, and growing development will likely worsen the matter.

 

[SpaceMan18]

I see a future where we reach Malaysia level of development but then are stuck and can’t grow anymore for the reason you gave

It's kinda scary to think that , just look what Boston Dynamics has along with China and Japan. These robots will work better than humans and plus they won't protest for wages lol.

 

[Michael Corleone]

It's kinda scary to think that , just look what Boston Dynamics has along with China and Japan. These robots will work better than humans and plus they won't protest for wages lol.

All the better. In future all jobs will be renedered obsolete for humans. Days of social benefits for all is not far

 

[UKBengali]

It's kinda scary to think that , just look what Boston Dynamics has along with China and Japan. These robots will work better than humans and plus they won't protest for wages lol.

Similar things were said about computers that would make huge numbers of people unemployed back in the 1970s as you would not need the army of people sitting in offices doing manual counting etc.
All that happened is that the working week was steadily reduced, holiday entitlement increased and jobs move into the service sector as consumers had more disposable income to spend on entertainment and eating out.

With the rise of robots, there will be some pressure on the garments industry as more of the work can be done by robots rather than a human, but this is not necessarily a bad thing as it will steadily push countries like BD into investing more in human capital rather than the previous but necessary reliance of hard graft in a clothes factory for 10-12 hours a day 6 days a week.

BD is already moving up the value chain, although a lot slower than E Asian countries like Taiwan and Korea, and if robots give the extra impetus to BD to invest more in education and training then so much the better.

 

[Viet]

Malaysian growth collapsed. -6 last year. I wonder how long it will take to bounce back. They’ve been stuck in middle income trap for a long time

The Malay just sold out their automobile industry to the chinese. Except selling natural resources, palm oil, tourism, japanese electronics, they have little to nothing to offer on the world markets.
But as Asean fellow I wish them all the bests.

 

[Michael Corleone]

The Malay just sold out their automobile industry to the chinese. Except selling natural resources, palm oil, tourism, japanese electronics, they have little to nothing to offer on the world markets.
But as Asean fellow I wish them all the bests.

Exactly. That was my point when addressing @UKBengali
Even the palm oil market crashed.

Here’s a video that shows all of their problems. Not a good place to be

 

[fallstuff]

People are willing to work hard, and adopt.

 

[Indos]

As I explained over and over again, Bangladesh should scrap FTA with India and China

UNCTADstat - General Profile: Bangladesh

Overview of key economic statistics. The statistical themes covered are: International trade, economic trends, foreign direct investment, external financial resources, population and labor force, information economy and maritime transport.

unctadstat.unctad.org

 

[UKBengali]

Exactly. That was my point when addressing @UKBengali
Even the palm oil market crashed.

Here’s a video that shows all of their problems. Not a good place to be

Malaysia is too small to have too much heavy industry with a population of only 30 million.

They are just fine to survive on tourism, selling natural resources and being a high-end electronics manufacturing centre.

A country of this size needs to focus on doing a small number of things well and that is exactly what Malaysia is doing.

BD has a much larger population of 165 million and so has enough potential domestic consumers to develop competitive heavy industries such as automobiles. Remember unless you have a large and rich external benefactor like the USA(S Korea and Taiwan) you need to use your own domestic consumers to grow your companies before venturing abroad and that is exactly what companies like Walton are doing.

 

[Michael Corleone]

As I explained over and over again, Bangladesh should scrap FTA with India and China


View attachment 715900

View attachment 715901

UNCTADstat - General Profile: Bangladesh

Overview of key economic statistics. The statistical themes covered are: International trade, economic trends, foreign direct investment, external financial resources, population and labor force, information economy and maritime transport.

unctadstat.unctad.org

Could you tell me in short?

 

[Indos]

Could you tell me in short?

Look on top export destination countries and top importer countries. China and India only push their own product to Bangladesh market without meaningful buying on Bangladesh products. Top Bangladesh products destination are USA and European countries, you should instead having FTA with them, not China and India.

 

[Michael Corleone]

Look on top export destination countries and top importer countries. China and India only push their own product to Bangladesh market without meaningful buying on Bangladesh products. Top Bangladesh products destination are USA and European countries, you should instead having FTA with them, not China and India.

You’re right!

 

[fallstuff]

Look on top export destination countries and top importer countries. China and India only push their own product to Bangladesh market without meaningful buying on Bangladesh products. Top Bangladesh products destination are USA and European countries, you should instead having FTA with them, not China and India.

You are right, but BD is still at an early growth stage. It is not at a position to drive hard bargains.