Sakif Shamim: Bangladesh's economy has undergone a remarkable transformation over the last decade. The country has gained global recognition as a "development surprise" due to its rising per capita income, significant infrastructure development, and positive shifts in social indicators. A key force behind this progress is the country's vast youth population.

The robust participation of young people in the digital economy has been a primary driver of Bangladesh's impressive economic growth over the past decade. Rather than being limited to seeking employment, they are creating a new financial ecosystem. Even with challenges like global economic recession, inflation, and the dollar crisis, digital platforms are paving a new way forward. Through outsourcing, e-commerce, freelancing, and the startup ecosystem, young entrepreneurs are generating new economic opportunities both domestically and internationally.

According to the Bangladesh Association of Software and Information Services (BASIS), the country's annual export income from the IT and IT-enabled services (ITES) sector is approximately $1.4 billion, with a significant portion of this coming from young freelancers and entrepreneurs. The goal is to increase this to $5 billion this year. Bangladesh is a leader in the freelancing world, ranking as the second-largest country globally in terms of the number of freelancers, as reported by the global freelancing platform Upwork. Each year, thousands of young people join these platforms, earning substantial foreign currency from international clients. This success is largely due to the tech skills and innovative mindset of the younger generation.

The e-commerce sector has also seen incredible growth thanks to young entrepreneurs. BASIS reports that there are over 25,000 e-commerce sites and Facebook-based F-commerce pages in the country, the majority of which are run by young people. During the COVID-19 pandemic, when traditional businesses stalled, these e-commerce platforms played a vital role in keeping the economy afloat.

The establishment of IT parks has been a landmark step in expanding Bangladesh's digital economy. Around 39 high-tech parks, software technology parks, and IT incubation centres have already been built across the country, including the Kaliakoir Hi-Tech Park. The primary goal of these parks is to attract domestic and international investment by providing advanced IT infrastructure and creating a supportive ecosystem for young entrepreneurs. However, there are some questions about their effectiveness, such as ensuring a reliable and affordable power supply. It's possible to make these parks more sustainable by using solar and other renewable energy sources. Without an uninterrupted power supply, the companies within these parks cannot operate properly, which undermines the entire project's purpose.

Government policy support is essential for boosting the digital economy's growth. A crucial step is to reduce import duties on IT products. This would help local IT companies import necessary equipment and technology, increasing their production capacity and competitiveness. Additionally, it's necessary to create special incentive packages, tax exemptions, and simplified business policies for foreign investors.

Skill development is the foundation of the digital revolution. Our education system needs to be adapted to meet the demands of the Fourth Industrial Revolution. It's essential to train young people in subjects like coding, data science, artificial intelligence (AI), and cybersecurity. Organisations such as the Information and Communication Technology (ICT) Division and Startup Bangladesh are playing an important role in this area.

Crafting a specific policy for young entrepreneurs is a timely demand. This policy could include provisions for easy access to loans, venture capital funding, and tax holidays for startups. At the same time, strategic patent development is crucial for protecting the digital economy. Implementing strong patent laws is necessary to protect our innovations and intellectual property. This will not only encourage our innovators but also strengthen Bangladesh's position on the international stage.

The new chapter of Bangladesh's economic growth is being written by its young generation. Their participation in the digital economy has created a new sense of hope. It's not just about economic growth but also about building an inclusive and sustainable society. While many challenges remain, the right policies and effective implementation can make this journey smoother. By ensuring the proper use of the indomitable power and innovative talent of its youth, Bangladesh will soon establish itself as one of the world's most powerful digital economies.

The author of this article is the Managing Director of Labaid Cancer Hospital & Super Speciality Centre, also Deputy Managing Director, Labaid Group.