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    SME Development, Inclusive Growth, and Poverty Alleviation in Bangladesh

    Islam, Mohammad Mohidul | June 2020
    Abstract
    The massive involvement of SMEs in economic development is considered one of the important prerequisites for inclusive growth in developing countries. This paper aims to assess the performance of SMEs towards economic development in Bangladesh based on the research question of whether SMEs have a significant influence on economic growth and the alleviation of poverty. Annual time-series data from 1996 to 2017 have been used to carry out the empirical analysis. The econometric analysis has been performed employing OLS and 2SLS techniques to investigate the impact of SMEs on economic growth and poverty alleviation. The results of the empirical analyses show that there is an economic linkage between SME development, economic growth, and the incidence of poverty. Even though such empirical relationships are not found to be statistically well justified, an increase in the percentage share of SMEs expansion has a positive effect on economic growth, which in turn, can alleviate poverty in Bangladesh. The findings of the study suggest that in light of economic theory, SME development is implicitly essential for ensuring inclusive growth and consequent poverty alleviation.
    Citation
    Islam, Mohammad Mohidul. 2020. SME Development, Inclusive Growth, and Poverty Alleviation in Bangladesh. © Bangladesh Institute of Development Studies. http://hdl.handle.net/11540/14697.
    Keywords
    Poverty Analysis
    Participatory Poverty Assessment
    Poverty Reduction Strategy
    Extreme Poverty
    Economic development
    Growth And Poverty
    Macroeconomic
    Macroeconomic Analysis
    Macroeconomic Framework
    Macroeconomic Models
    Macroeconomic Performance
    Macroeconomic Planning
    Macroeconomic Policies
    Macroeconomic Reform
    Macroeconomic Stabilization
    SMEs
    Small business development
    Development Indicators
    Environmental Indicators
    Economic Indicators
    Educational Indicators
    Demographic Indicators
    Health Indicators
    Income Distribution
    Income Distribution
    Demographic Indicators
    Social Justice
    Price stabilization
    Food prices
    Price policy
    Development Indicators
    Environmental Indicators
    Economic Indicators
    Educational Indicators
    Demographic Indicators
    Health Indicators
    Disadvantaged Groups
    Low Income Groups
    Socially Disadvantaged Children
    Social change
    Social accounting
    Inequality of income
    Economic growth
    Quality of Life
    Open price system
    Price fixing
    Price regulation
    Consumer price indexes
    Poor
    Economic forecasting
    Economic Zones
    Health expectancy
    Social groups
    Political participation
    Distribution of income
    Developing countries
    Rural community development
    Mass society
    Social policy
    Social stability
    Population
    Sustainable development
    Show allCollapse
    Citable URI
    http://hdl.handle.net/11540/14697
    Metadata
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    Thumbnail
    05_SME-Development,InclusiveGrowthandPovertyAlleviation.pdf (420.1Kb)
    Author
    Islam, Mohammad Mohidul
    Theme
    Poverty
    Economics
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise