BD beats Pakistan, India in WB’s Human Capital Index
Published : Friday, 12 October, 2018 at 12:00 AM Count : 76
Bangladesh ranked ahead of Afghanistan, India and Pakistan in World Bank (WB)'s new Human Capital Index (HCI) research report that was launched in Bali on Thursday.
Among 157 countries Singapore ranked top the list which scored 0.88 out of 100 and Chad was at the bottom of the list that scored only 0.29.
The other two South Asian countries the Maldives and Bhutan were not shown in the report.
The position of Bangladesh is 106th and it scored 0.48 ahead of Pakistan that ranked 134th with 0.39 points, Afghanistan ranked 133rd with 0.39 points and India ranked 115th with 0.44 points in South Asia where Sri Lanka and Nepal are ahead of Bangladesh.
A Human Capital Index that was launched on the day at the World Bank-IMF Annual Meetings, shows that 56 per cent of children born today across the world will lose more than half their potential lifetime earnings because governments are not currently making effective investments in their people to ensure a healthy, educated, and resilient population ready for the workplace of the future.
Human capital-the knowledge, skills and health that people accumulate over their lives-has been a key factor behind the sustained economic growth and poverty reduction rates of many countries in the 20th century, especially East Asia.
Bangladesh performed better than the South Asian average as well as the Lower Middle-Income average in all criteria except for 'stunting'.
In Bangladesh, stunting and quality of education holds back a child for achieving her full potential. With current education and health conditions, a child born today in Bangladesh will be 48 per cent as productive as she could have been.
"For the poorest people, human capital is often the only capital they have," World Bank Group President Jim Yong Kim said. "Human capital is a key driver of sustainable, inclusive economic growth, but investing in health and education has not gotten the attention it deserves."
This index creates a direct line between improving outcomes in health and education, productivity, and economic growth. I hope that it drives countries to take urgent action and invest more - and more effectively - in their people.
"The bar is rising for everyone," Kim added. "Building human capital is critical for all countries, at all income levels, to compete in the economy of the future."
The Human Capital Index measures the amount of human capital that a child born today can expect to attain by age 18 given the risks of poor health and education that prevail in the country where he or she lives. The Index measures each country's distance to the frontier of complete education and full health for a child born today.
The measure includes: a) Survival: which means will children survive till school age? b) School: it means will children complete their schooling? Health: Will they leave school in good health, ready for further learning and/or work as adults?
In Bangladesh, 97 per cent of children are likely to survive to age 5 and about 87 per cent of 15-year olds are likely to survive to age 60. Further, a child who starts school at the age of 4 will complete schooling by her 18th birthday.
The country performs well in gender equity. A girl has higher human capital than a boy. But, with about 36 percent children stunted, there is no room for complacency.
The HCI reflects the productivity as a future worker of a child born today compared with what it could be if he or she had full health and complete, high-quality education, on a scale from zero to one, with 1 as the best possible score.
A country score of 0.5, for example, means that individuals - and the country as a whole - are forgoing half their future economic potential. Calculated over 50 years, this translates into deep economic losses: a 1.4 percent annual loss in GDP growth.
Sex-disaggregated data is available for 126 of the Index's 157 countries. For this subset of countries, both boys' and girls' human capital is still far from the frontier of potential human capital accumulation. In most countries, the human capital gap for both boys and girls from the frontier is larger than the gap between boys and girls.