How ready is Bangladesh for the fourth industrial revolution?

Three industrial revolutions have so far changed the course of human civilization. The First Industrial Revolution took place in 1784 with the invention of the steam engine. Then, the inventions of electricity in 1870 and the internet in 1969 further accelerated the industrial revolution. However, the digital revolution has the potential to surpass the previous three revolutions.

There is a growing uproar worldwide about this phenomenon, now referred to as the Fourth Industrial Revolution. On June 23, 2016, political leaders, CEOs of multinational corporations, entrepreneurs, technologists, and analysts gathered in Davos, Switzerland, to discuss why the digital revolution is called the Fourth Industrial Revolution. The Fourth Industrial Revolution was a key topic at the World Economic Forum's (WEF) annual conference. 

After this WEF conference, the concept of the Fourth Industrial Revolution gained significant attention. WEF founder Klaus Schwab remarked, "Whether we like it or not, the way we live, work, and think is beginning to change. Now we are going through a technological shift, and most importantly, this change is affecting every sector in every country in the world, thereby transforming the processes of production, management, and even governance." 

Schwab believes that advancements in information technology—such as smartphones, the Internet of Things (IoT), artificial intelligence (AI) in machinery management, robotics, biotechnology, and quantum computing—have initiated the Fourth Industrial Revolution.

The effect of this revolution on the quality of life globally has sparked two divergent opinions. One group of experts believes that it will increase the income and standard of living for all people. Digital technology will also revolutionise the product delivery process worldwide, greatly reducing the cost of shipping goods from one country to another, which will positively impact international trade.

However, another group of economists and experts is concerned that the digital revolution will exacerbate inequality and poverty. The increasing use of digital technology is expected to replace many human tasks with robots and machines, potentially leading to fewer job opportunities. Additionally, the demand for low-skilled workers in the labour market will diminish, which could pose challenges, particularly for developing countries.

Technical education in developed countries and Bangladesh

Technical education began in Germany in 1969, where dual vocational training is practised and globally recognised. Students simultaneously attend a vocational training school while gaining practical knowledge by working in a real company. At the technical school, the theoretical part, essential for industrial work, is taught, while practical experience is gained in the company.

In Japan, vocational education was traditionally reserved for lower-performing students and those from financially disadvantaged backgrounds. However, it has recently gained popularity as industry demands align more closely with vocational training. It is not only school graduates pursuing vocational education; many university graduates who struggle to apply their knowledge in the workplace are also turning to technical training.

Singapore's vocational education system, established in the 1960s, saw 85% of its 2019 graduates begin their careers within six months of completing their education. This success encourages more students to pursue vocational pathways. Malaysia operates a vocational education system under UNESCO's TVET program. 

Meanwhile, China stands out as one of the most active countries in technical education, with vocational programs at junior secondary, senior secondary, and tertiary levels. In 2021, China had 23,000 vocational secondary schools, a testament to the country's increasing focus on technical education and research, as evidenced by its profitable market for Chinese products.

India had approximately 20,000 vocational secondary schools in 2021, with plans to increase this number to 25,000. The Indian government has developed a new vocational education system aimed at equipping secondary and higher secondary students with the skills and knowledge needed in the modern workplace.

India's National Education Policy (2020) seeks to integrate technical education at all levels and ensure that workers migrating abroad have the necessary technical skills. This policy has already borne fruit, as Indian expatriate workers, being more skilled, earn higher salaries than their Bangladeshi counterparts. 

For instance, according to BBS and ILO data, about 90% of Bangladeshis in Saudi Arabia are unskilled, with an average monthly income of Tk 22,140. In contrast, Indian workers in the same regions tend to earn more due to their higher skill levels.

Bangladesh's technical education landscape

In contrast, Bangladesh lags behind in technical education, with only 16% of students enrolled in technical programs. There are also concerns about the quality of the education that this 16% receives. Due to a lack of quality education, limited institutions offering higher technical education, and a shortage of resources, students are falling behind. 

The previous government had set ambitious targets to increase the literacy rate in technical education to 30% by 2030 and 50% by 2040, but the necessary teachers and infrastructure are not yet in place to achieve these goals.

Technological advancements continue to evolve rapidly, but because Bangladesh's trainers and training centres cannot keep pace, many students are missing out on essential, up-to-date technical training. This delay may lead to job losses, although new jobs will also emerge. Labour-intensive economies like Bangladesh are particularly vulnerable. To avoid falling behind, the country must shift focus toward a knowledge-based economy.

Although Bangladesh is still in the early stages of technologies like artificial intelligence, IoT, and blockchain, there is immense potential for growth across various sectors, including traffic management, supply chains, healthcare, industry, banking, agriculture, and education. The key is to modernise and upgrade the low-skilled labour market, identify the challenges and risks to current achievements, and explore new employment opportunities during the Fourth Industrial Revolution.

Organisations like the Bangladesh Economic Zone Authority, Bangladesh Export Processing Authority, PPP Authority, and Bangladesh Hi-Tech Park Authority are working toward the country's economic development and the employment of its large working population. These sectors will require skilled workers. Therefore, the Ministry of Education must plan technical education programs in line with investment proposals.

Additionally, proper training must be provided to expatriate workers before they are sent abroad. While Bangladesh may have many workers, their skills often lag behind those of competing countries. Without sufficient technical skills, Bangladesh risks falling behind in foreign remittance earnings, which could have severe consequences for a developing country like Bangladesh during future economic shocks.

In conclusion, it is imperative that the Ministry of Education, the National Skill Development Authority, and organisations like BEPZA, the PPP Authority, and the Hi-Tech Park Authority collaboratively address the challenges posed by the Fourth Industrial Revolution. 

Together, they must develop short-, medium-, and long-term plans, increase the budget for technical education, and ensure the country's labour force is equipped to thrive in the competitive global market. Otherwise, Bangladesh may struggle to attract foreign investment and compete in the rapidly changing industrial landscape.

Md Abdul Quader Khan is a freelancer consultant for environment and social development in Bangladesh.   

Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the opinions and views of The Business Standard.