The Nature and Evolution of Capitalism in Bangladesh

Abstract

Capitalism is one of the most successful modes of capital management practicing in most of the countries of the world. Bangladesh adopted it since last 80s and became the haven of capitalism by these 35 years. Bangladesh achieved its independence from Pakistan through a bloody liberation war in 1971. Soon after the independence government policies was socialistic. After an unwanted killing of the Bangabandhu Sheikh Mujibur Rahman in 1975 government policies started to shift into a capitalist society from socialism. Now Bangladesh is one of the most free market oriented economies of South Asia. We have several bilateral/regional free trade agreements with neighboring countries. Bangladesh has Trade and Investment Cooperation Framework Agreement (TICFA) with the USA. Bangladesh is welcoming foreign direct investment (FDI) into its economy with highest priority. We have a significant stake in global readymade garment (RMG) business and increasing flow of international trade. Bangladesh is one of the leading advocates of Duty free and quota free market access (DFQFMA) under the World Trade Center (WTO) regime. We want implementation of mode – 4 around the world. It took 35 years to shift from socialistic into capitalistic society for Bangladesh. But now a days Bangladesh is operating fully based on capitalist ideology with few socialist leaders in the current parliament.

Keywords: Capitalism, Nature of Capitalism, Evolution of Capitalism, Nature of Bangladesh Economy, Capitalistic Bangladesh.

JEL Classification: P1, P10, P12