Discovering the relationship between Agri funding and Agri contribution to GDP

Abstract

One of the main goals for Bangladesh is to achieve economic growth by increasing agricultural productivity. I will be conducting research to examine how agricultural financing and contributions impact Bangladesh. The researchers collected yearly time series data from the Bangladesh Bank (BB), Ministry of Finance (MoF), and Bangladesh Bureau of Statistics (BBS) for the period of 2012 to 2022. This article employed the GMM estimation technique using SPSS to examine the short- and long-term relationships between agricultural financing and agricultural contribution, along with other control variables. The findings of the study showed that there are connections between agricultural funding and agricultural contribution in both the short-term and long-term. Additionally, agricultural productivity is affected by various dynamic factors including GDP, inflation, interest rates, and government agricultural spending. The dependent variable in this study was GDP, while the independent variable was agricultural production. Most agricultural processing sectors, along with some agricultural producing sectors, have a greater potential for making money. This research indicates that it would be beneficial to increase agricultural financing in order to support the economic development of Bangladesh.