The total income of Bangladesh can increase by 18 percent, if the continuous common transport connectivity between Bangladesh and India is introduced.

The World Bank has published this information in a report titled ‘Connecting to Thrive: Challenges and Opportunities of Transport Integration in Eastern South Asia’. In this case, India will grow at least eight percent.

According to the report, the World Bank says that one of the major obstacles to bilateral trade between Bangladesh and India is the imposition of various tariffs. In general, the average tariff between Bangladesh and India is more than double on the global average.

An earlier analysis had suggested that a free trade agreement between the two countries could boost Bangladesh’s exports to India by 182 per cent and India’s exports to Bangladesh by 127 per cent.

The analysis further shows that if the communication system between the two neighbours improves, bilateral trade will increase in manifold. In that case, Bangladesh’s exports to India are likely to increase by 279 percent and India’s exports to Bangladesh by 172 percent.

Mercy Tembon, Country Director of the World Bank in Bangladesh and Bhutan, said, “Geographically, Bangladesh is a strategic gateway for India, Nepal, Bhutan and other countries in East Asia.” Through the development of regional trade, transit and logistics networks, Bangladesh can also become an economic powerhouse in the region.

According to a World Bank report, a weak transport system is making the border between Bangladesh and India even thicker.