Role of International Financial Organizations in the Economic Growth of Bangladesh: A Case Study from the Perspective of Project Finance Challenges & Prospects

Abstract

Economic growth is one aspect of the process of economic development which shows the increasing capacity of the economy to satisfy the demand of goods and services of the member of the society. International Financial Organizations can play an actives role in this core area of economic development. These organizations support the efforts of the Government of Bangladesh to reduce the poverty and increase the productivity of rural poor people in ways that are both sustainable and environmentally friendly. The study reveals some selected International Financial Organizations are contributes enough to achieve stable growth of the economic through project finance. This paper focuses on the contributions of four major, high-profile organizations: International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), Asian Development Bank (ADB) and International Financial Corporation (IFC). This study also consider the question how project finance can affect economic growth: that leads not only to an increase in the quantity of capital but most importantly also to an improvement in the quality of capital and thus ultimately to economic growth