Assessing the Impact of Tourism Finance on Sustainable Economic Development in Bangladesh

Abstract

Tourism is essential to Bangladesh's economy; yet, its enduring contribution to sustainable development relies on the availability of financial resources, the formulation of suitable financing structures, and the incorporation of environmental, social, and governance factors. This study evaluates the impact of tourism financing on sustainable economic growth in Bangladesh. A qualitative documentary analysis was performed utilizing the analytical framework of the original climate finance study, examining scholarly publications, policy papers, and regulatory documents from 2018 to 2025. The literature review contextualizes tourism finance within global and regional discourses, emphasizing the unequal influence of tourism receipts on GDP growth in Bangladesh, the significance of environmental integrity, social equity, economic prosperity, and technological adaptation in sustainable tourism, as well as the critical role of green finance and renewable energy in defining the tourism–finance–environment relationship. Research reveals an increasing awareness of tourism finance in Bangladesh; nonetheless, the sector is hindered by a scarcity of financial instruments, insufficient disclosure norms, inadequate data, and rather modest funding flows. The analysis identifies opportunities in digital financial inclusion, public-private partnerships, green taxation, and microfinance for community-based tourism. To harness tourism's potential for sustainable economic development, governments must emphasize open public finance frameworks, targeted investment instruments, inclusive digital finance, and enhanced stakeholder participation. The study concludes by suggesting a research agenda for incorporating tourism finance into national sustainable development planning and providing recommendations for politicians, investors, and researchers.