Prime Minister Sheikh Hasina has ranked at 42 on Forbes' annual list of the 100 most powerful women this year.
Last year, she was ranked at 43.
Sheikh Hasina, the longest serving prime minister in the history of Bangladesh, is currently serving her fourth term in office.
She won her fourth term, which is also her third consecutive term, after Awami League won 288 of the 300 parliamentary seats in the 11th general election.
Sheikh Hasina plans to focus on issues such as food security and access to education and healthcare.
An ongoing struggle for the prime minister has been establishing a firm democracy in Bangladesh.
The Forbes list put Ursula von der Leyen, president of the European Commission as the most powerful woman in the world. She was followed by European Central Bank President Christine Lagarde and US Vice President Kamala Harris.
Indian Financial Minister Nirmala Sitharaman is ranked 36th on the list. She is among six Indians who made it to the list.