Abstract: In this study attempt has been made to review the inter-linkage between the environment, poverty and economic growth in Bangladesh. It is found that while economic growth, often, negatively affect the improvement in the environment, it is the improvement of the environment that has positive linkage with poverty reduction. It is also found that certain policies such as providing common resources rights to the poor people can improve the environment. In Bangladesh, we see, that the pressure to increase food production has resulted in excessive uses of fertilizers in past decades that had serious impact on the quality and fertility of land. We have also found that the objective of export led growth strategy through shrimp culture brought loss in bio-diversity and increasing salinity of soil. On the other hand environment degradation like soil degradation and river erosion has severe impact on poverty specially on the rural poor. Thus at the end appropriate policy framework is suggested for the balanced and sustainable development of the country in light of the study.