IMPACT OF FOREIGN DEBT ON ECONOMIC GROWTH IN BANGLADESH: AN ECONOMETRICS ANALYSIS (Published)
This paper tried to investigate the impact of foreign debt on growth in Bangladesh. The annual data series over the period 1972-2010 has been used. The study has been made by using the ARDL (Auto- Regressive Distributive Lag model) model to check the relationship of growth and debt. According findings there is a significant adverse effect of debt on growth in Bangladesh. In Bangladesh External debt service is a burden for its nation and it makes the GDP slows down. This study recommended that Bangladesh should find out any option of debt cancellation and must increase human development and more infrastructure development. It is also recommended that debt management should be effective and fair, and Exports, FDI and Remittances are helpful for the growth of Bangladesh.
Keywords: ARDL, Export, FDI, Remittance, cointegration test and unit Root, foreign debt