Costs of LDC graduation

• Bangladesh will lose access to LDC-specific duty-free and quota-free schemes 
• LDC-specific preferential rules of origin will go 
• Significant impacts are expected in the EU, Japan and other markets, affecting especially garments 
• No significant impacts are expected in the US considering current rules
• Bangladesh will no longer benefit from extension given to LDCs on Trade-Related Aspects of Intellectual Property Rights (TRIPS) 
• The TRIPS-related development may lead to higher medicine prices in Bangladesh and other countries 
• LDC graduation may leave limited impact on development cooperation in Bangladesh 
• Bangladesh may lose international support measures in trade, official development assistance and others
• There will be no travel support to UN meetings and no benefit from LDC-specific support measures 

BENEFITS OF LDC GRADUATION 

• Achieving the status will be an important development milestone though the gain is sometimes unquantifiable 
• More FDI is expected due to better image of the country 
• Bangladesh may obtain easy loans because of better credit ratings 

Source: UN