Syncing Incentives

Bangladesh has quite a story to tell. When I lived there as a child fifty years ago (give or take) it was an impoverished nation with few industries. At the time jute production was the most vital employer. And even today the total area under cultivation for the fiber in Bangladesh is 559,000 hectors.

Jute production circa 1970

Since then the country’s gross domestic product has surged from $4.27B in 1960 to $416.26B in 2022. This ratcheting up of financial success is all good. But ideally, a country with poor infrastructure, health, and environmental concerns would also like to make progress in public spheres.

Syncing the incentives between those with an abundance of social capital, like foreign investors, and local enterprises enjoying early success, is the puzzle destined to produce positive synergies. Who can provide what and when, and under what circumstances would they be willing to engage such resources is the type of knowledge that would be useful.