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Bangladesh is projected to surpass India in GDP per capita in 2026, according to the International Monetary Fund’s (IMF) latest World Economic Outlook.
The IMF estimates Bangladesh’s GDP per capita at $2,886 in 2026, compared with $2,749 in India.
However, India’s overall economy is expected to remain nearly eight times larger than Bangladesh’s.
Bangladesh’s garment industry, remittances from expatriate workers and growing female participation in the workforce have contributed to its economic progress over the past two decades.
However, the country continues to face challenges, including high inflation and slowing economic growth.
The IMF projects Bangladesh’s economic growth at 3.6% in 2026, compared with 7% for India.
The comparison also changes when purchasing power parity (PPP) is taken into account, as this measure adjusts for differences in the cost of goods and services between countries.
On this basis, India’s projected GDP per capita stands at $12,998, compared with $10,884 for Bangladesh.
The IMF forecasts that Bangladesh will maintain its lead in nominal GDP per capita for the next two years.
However, India is projected to regain the lead in 2029, when its GDP per capita could reach $3,662, compared with $3,334 for Bangladesh.
Economists caution that GDP per capita is an average and does not reflect how income is distributed among citizens or fully capture their living standards.
Inflation, purchasing power and income inequality must also be considered when comparing the economic well-being of people in the two countries.
