Small and cottage industries remain the backbone of Bangladesh’s economy despite significant growth in overall business establishments, according to the latest Economic Census 2024 published by the Bangladesh Bureau of Statistics.
The report shows that the total number of economic units rose nearly 50% over the past decade to 11.7 million in 2024, up from 7.8 million in 2013. Employment also increased by over 25%, reaching 30.6 million people.
However, the structure of the economy continues to be dominated by small entrepreneurs. Small industries account for 56.67% of all units, while cottage industries make up 38.74%, highlighting their central role in economic activity. In contrast, medium and large industries together represent less than 1%.
Despite this growth, challenges persist. Around 86% entrepreneurs identified lack of capital as a key constraint to business operations.
The census also revealed a decline in foreign-linked employment and expatriate investment. While the number of foreign and joint-ownership enterprises increased modestly, employment in these firms fell by nearly 25% over the decade. Investment by expatriate Bangladeshis also dropped sharply, with the number of such enterprises declining significantly. The findings underscore the continued importance of grassroots entrepreneurship in sustaining economic growth, even as Bangladesh faces challenges in attracting investment and improving access to finance.
