The United Nations General Assembly has approved a historic resolution that would graduate three countries, including Bangladesh and Nepal, from the least developed country (LDC) category to the developing country grouping, marking a key milestone in the countries’ growth.
At its 76th session, the United Nations General Assembly (UNGA) passed the resolution. Bangladesh, Nepal, and the Lao People’s Democratic Republic are the three countries that have been granted graduation.
Bangladesh, the Lao People’s Democratic Republic, and Nepal have been graduated from the least developed country category, as per UN General Assembly Resolution A/76/L.6/Rev.1. The three nations will graduate from the LDC category following a five-year preparatory period (the typical time is three years) to allow them to plan for a post-COVID-19 recovery and adopt policies and strategies to repair the economic and social damage caused by the COVID-19 shock.
The UN Committee on Development Policy as of now lists 46 nations on the LDC list. One of the conditions for transitioning into a developing country, according to the UN, is a per capita income of USD 1,230.
Bangladesh’s poverty rate was 83 percent when the UN classified the country as an LDC in 1975. Poverty has decreased over time, reaching 20.5 percent in 2019-20 before the pandemic wrecked many people’s jobs and economic options.
Bangladesh will formally become a developing country in 2026 after a UN commission suggested that the country be given five years instead of three to prepare for the transition because of the economic impact of the Covid-19.
For the second time, the country has met all three graduation criteria: per capita income, human assets index (HAI), and economic and environmental vulnerability index (EVI).
In 1971, Nepal was designated as a least developed country. LDCs are countries that have significant structural barriers to achieving sustainable development.
Every three years, membership is reviewed based on the average gross national income (GDP plus net income from overseas); human assets (under-five mortality rate, gross secondary enrolment ratio, and adult literacy rate); and economic vulnerability (such as population, remoteness, merchandise export concentration, natural disasters, instability of agriculture production, and instability of goods and services exports, among other factors).