Next govt ‘needs time’ to decide on LDC graduation

Bangladesh's graduation from the Least Developed Country (LDC) status now hangs in the balance as the interim administration and the private sector have opined for giving space to the next elected government to finalise the decision, insiders said.

The government and the private sector are divided over the process as an independent UN mission is reviewing the current situation of Bangladesh regarding graduation from the LDC status, they observed.

The government stakeholders have requested the UN independent evaluation team to consider giving the next political government time for taking the decision on the LDC graduation as some new global and local scenarios are added, said some officials who attended a meeting regarding the issue on Wednesday.

With Economic Relations Division (ERD) Secretary Md Shahriar Kader Siddiky in the chair, the government agencies including Commerce Ministry, Finance Division, Industries Ministry, BIDA, National Board of Revenue, and the Bangladesh Bank sat with the UN mission at the ERD office in Dhaka.

Following the government's request for an independent evaluation on the graduation process, a four-member United Nations (UN) mission is now in Dhaka and sat with different stakeholders including private sector, local think-tank and political leaders for getting opinion on Bangladesh's LDC graduation process.

The government agencies also requested the UN mission to recommend some terms which will facilitate Bangladesh's a smooth and sustainable transition considering the possible impact on trade and business, they viewed.

Since some uncertainties from global and local fronts have emerged, the next political government should have a space to take the decision on whether Bangladesh will graduate to a developing nation in November next year or not, a government official told the FE.

The government agencies have given their mixed reaction on the timely graduation as there are new uncertainties like Trump tariff, July uprising and some other local and foreign issues although Bangladesh is in a comfortable zone in all three criteria for the graduation, he added.

Bangladesh is scheduled to formally graduate from its LDC status to a developing nation on November 24, 2026.