Bangladesh Economy Daily Brief (5 pm Dhaka) — Saturday, 27 September 2025
External sector and remittances
– Remittance inflows remain a key cushion; February receipts were reported at $2.53 billion, one of the highest monthly tallies this year. Officials also highlight recent record inflows aiding recovery.
– Labor market diversification continues: Albania is seeking Bangladeshi workers, potentially widening future remittance channels.
Trade and industry
– Import demand remains subdued as LC openings fell in the first two months of FY25, signaling ongoing import compression that can restrain domestic production.
– Export logistics saw a positive signal with a new Asia–Europe ocean route launched by a global discount retailer’s carrier, potentially easing apparel shipping constraints.
– Utilities: Titas Gas reported a 27% year-on-year profit increase, underscoring resilient energy distribution earnings.
Public debt, growth outlook, and multilateral support
– Bangladesh’s external debt has risen by about $80 billion over the past 15 years. Even so, international assessments say current debt levels are not a concern.
– The growth outlook has softened, with the latest multilateral assessment warning of the weakest expansion since the pandemic.
– Financing talks intensify: Bangladesh is seeking an additional $3 billion from the IMF, and the Fund has signaled willingness to raise budgetary support contingent on reforms.
Banking and liquidity
– Banks faced heavy footfall on reopening, with long queues for cash withdrawals and utility payments—an indication of tight household and business cashflows.
Energy transition and financing
– The International Solar Alliance will provide technical support to scale up renewable energy financing in Bangladesh, a boost for clean power pipelines and green investment.
Outlook
– Inflation is moderating but still high; import compression is cooling demand and weighing on activity. Strong remittances and prospective multilateral support are cushioning the external position, while the growth slowdown argues for calibrated policy tightening alongside measures to unclog imports of essentials and inputs.
