Bangladesh Economy Daily Brief (5 pm Dhaka)
– Growth outlook: The World Bank projects Bangladesh’s GDP growth at 4.8% in FY26, noting a rebound from last year but warning of softer regional momentum ahead. Separately, the ADB expects the economy to gain pace in FY26, contingent on policy continuity and easing price pressures.
– Inflation: Bangladesh currently has the highest inflation in South Asia. The ADB expects inflation to moderate to around 8% in FY26, still elevated and implying continued pressure on household budgets and a need for tight monetary and fiscal discipline.
– Financing: Bangladesh has secured about USD 250 million in new World Bank financing, adding near-term support for the reform agenda and budgetary needs amid a challenging external environment.
– Defense procurement watch: The government is moving ahead with a plan to acquire 20 Chinese J-10C fighter jets in a deal reportedly worth about USD 2.2 billion. Financing terms will be key for the balance of payments; supplier credit or phased payments could mitigate near-term foreign exchange outflows.
– Risks and catalysts: External demand uncertainty, high domestic prices, and dollar liquidity constraints remain the principal drags. An improvement in inflation and steady reform progress would underpin the FY26 momentum signaled by multilaterals.
Note: No new official data on reserves, remittances, exports, or CPI were released today. Investors are watching upcoming policy signals and data prints to gauge the pace of disinflation and the strength of the FY26 recovery.
