Dhaka’s per capita income has surged to $5,163, almost double the national average of $2,820, underscoring the capital’s dominant role in driving Bangladesh’s economy.
The figure was revealed by the Dhaka Chamber of Commerce & Industry (DCCI) as it unveiled a new initiative – the Economic Position Index (EPI) – aimed at capturing a more accurate picture of economic activities across key sectors.
The DCCI organised a Focus Group Discussion (FGD) titled “Economic Position Index” on Saturday (25 October) at its auditorium, bringing together policymakers, economists, business leaders and researchers to review and validate the methodology of the new index.
A new tool to understand Dhaka’s economic pulse
DCCI President Taskeen Ahmed said that while numerous local and international indices attempt to measure the business environment, they often fail to illustrate the true dynamics of how and why economic activities evolve.
“Against this backdrop, DCCI has taken the initiative to develop the Economic Position Index (EPI), initially focusing on Dhaka,” he said, adding that it will later be expanded nationwide.
Ahmed explained that the quarterly index will monitor production, sales, export trends, employment, investment confidence and order flows across industries, providing policymakers and businesses with up-to-date, data-driven insights. The pilot phase covers six major sectors — ready-made garments, textiles, wholesale and retail trade, real estate, transport and storage, and banking — which together form the backbone of Dhaka’s economy.
Key findings: Dhaka’s dominant role in the national economy
The keynote presentation, delivered by Dr AKM Asaduzzaman Patwary, Acting Secretary General of DCCI, outlined that the study was conducted between February and March 2025, involving 654 respondents, 365 from the manufacturing sector and 289 from services.
According to the findings, manufacturing contributes 56% and services 44% to Dhaka district’s GDP. The per capita income in Dhaka stood at $5,163, compared to the national average of $2,820, reflecting a growing urban–rural economic divide.
Dr Patwary emphasised that sustaining Dhaka’s economic growth requires policy priorities such as:
Strengthening law and order and ensuring political stability;
Guaranteeing uninterrupted energy supply;
Streamlining loan disbursement and reducing interest rates;
Improving infrastructure and logistics;
Expanding export markets; and
Simplifying VAT and tax procedures to ease the cost of doing business.
Calls for reform and better data
Former DCCI President Abul Kasem Khan pointed out that Dhaka’s economic dominance has led to uneven regional development.
He stressed that small and medium enterprises (SMEs) – which drive employment and local innovation – are not receiving sufficient policy attention.
“SMEs are the backbone of the economy but remain underdeveloped due to delays in reform and bureaucratic bottlenecks,” he said, urging swift implementation of economic reforms and stronger comparative benchmarking with competing economies such as Vietnam and India.
Officials and experts from various government and financial institutions echoed similar concerns. Representatives from Bangladesh Bank called for more granular SME data to enhance targeted lending, while trade experts recommended expanding the study to include agriculture, light engineering and technology sectors for a more comprehensive national overview.
A platform for policy action
Dr Md Deen Islam, Research Director at RAPID and Associate Professor at the University of Dhaka, observed that the EPI could evolve into a foundational tool for understanding macroeconomic performance at the district level.
Meanwhile, National Productivity Organisation (NPO) Director General Md Nurul Alam highlighted that precise and reliable data collection is critical to shaping effective, evidence-based policy.
Former DCCI President Ashraf Ahmed and Jagannath University Professor Dr Md Aynul Islam both called for greater statistical rigour and international validation, suggesting that EPI findings be published in academic journals to bolster credibility.
Towards a data-driven economic future
The DCCI’s Economic Position Index is envisioned as a quarterly, dynamic barometer of industrial and commercial trends, offering a localised yet comprehensive measure of economic health.
With Dhaka’s per capita income significantly outpacing the national average, economists say such initiatives are vital for balanced, regionally informed policymaking.
“The EPI will help policymakers understand not just the numbers, but the stories behind them,” Taskeen Ahmed said, adding that the Chamber plans to expand the index to cover Chattogram, Khulna, Rajshahi and Sylhet in future phases.
As Bangladesh prepares for its post-LDC transition, the EPI is expected to serve as a vital instrument in assessing economic competitiveness, investment potential and productivity performance — both in Dhaka and across the country.