Human Capital Investment in Bangladesh: Issues and Options

Abstract

Human capital is regarded as one of the most important determinants for economic growth and development. It is recognized by the level of education and health in a population. This paper analyzes the public and private expenditure on education and health as an investment in human capital. The budgetary allocation is considered here as public expenditure. In contrast, the individual payment towards education and health is considered as a private expenditure. Mainly secondary sources of data have been taken for discussion. The descriptive approach of data analysis has been done to investigate the present situation of human capital investment. The study found that the allocation towards education and health has been increased in terms of quantity in a steady peace over the years. The proportion of public education and health expenditure, as well as the percentage of GDP on education and health expenditure, has been decreased. Finally, it suggests the allocation of more funds especially from the public sector towards education and health. Further, new initiatives and timely steps should be taken as per local and world market demands.