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In the first nine months of fiscal 2009 (July-March), 537,000 migrant workers found employment abroad compared to 720,000 in the same period last year. The migrant outflow to Gulf Cooperation Council member countries has declined by 16 percent from 407,000 in fiscal 2008 (July-Feb) to 342,000 in fiscal 2009 (July-Feb).Data shows that 13,540 Bangladeshi workers returned between December 2008 and February 2009.

Frozen shrimp has experienced a steep decline in prices from $5 per kg to $3.7 per kg.

The current economic situation in Bangladesh is stable, but this cannot be taken for granted.

The WB suggested Bangladesh take effective stimulus measures that include strengthening social safety nets, frontloading existing projects and increasing maintenance spending, expenditure increase tends to be more effective than tax cuts.The WB said the measures Bangladesh should avoid include new large-scale entitlement programmes, increase in public-sector wage bill, increase in subsidies to specific industries, reduction in corporate tax rates, increase in tariffs, tax amnesties for companies and interest rate ceilings. On the constraints to a bailout package, the WB report said the government does not have adequate space to finance large bailout packages. "There is some room for higher fiscal deficit, because of savings from subsidy provision, but it needs to be used wisely. These may not benefit the poor," it said.There are better candidates for spending the improved fiscal space: infrastructure, support to small and medium enterprises, microcredit schemes, health and education, safety net programmes, it said.The WB stressed the need for structural reforms to improve investment climate.The WB recommended immediate measures such as reassessing public spending priorities: rural and urban infrastructure, especially power sector, basic health and education. It also emphasised support to the microfinance sector and enhancing the small enterprise fund and support to the housing finance market.Recommending giving transit, the WB said it would promote regional connectivity and trade. It said Bangladesh could earn an additional $1.0 billion or more from exports, transit charges and port fees.

The CPD, in a recent report highlights:”Although overall exports have picked up again in January, 2009 (12 percent growth compared to January 2008), disaggregated figures of second quarter, FY 09 and January 2009 testify to the fact that global crisis have started to have an adverse impact on Bangladesh’s export-oriented sectors and has subjected it to higher volatility”. The government has said that it is considering the idea of expanding the existing cash subsidy scheme to another seven export items.

The garment industry employs 2.5 million workers, mostly women, who account for more than 40 percent of Bangladesh's industrial workforce.

the currencies of India and Pakistan have depreciated against the dollar in recent months, making their goods cheaper, while the Bangladeshi taka has remained steady."Garment exports grew over 40 percent in the first quarter as orders meant for China directed to Bangladesh because of its cheap production cost,' said trade expert Mustafizur Rahman, a visiting Yale University professor."But it started to slow down sharply since October as China has withdrawn taxes and pumped incentives to its apparel manufacturers to cushion against global recession," he said.The BGMEA, which groups 4,500 export-oriented garment factories, said firms need subsidies worth 10 percent of the value of their exports to stay competitive.

The World Bank has forecast growth this financial year could be two percentage points lower than expected at 4.5 percent, the lowest in eight years.Last year the economy grew by 6.2 percent and the government had been aiming for 6.5 percent this year.On top of the export slump, Bangladeshi workers abroad are being laid off in the Middle East, South East Asia and other countries where Bangladeshis find low-skilled, low-wage work.This has hit remittances, another worry for authorities as money sent home by workers abroad is the second biggest foreign exchange earner after exports.