The World Bank has identified four major challenges still weighing on Bangladesh’s economy: sluggish private investment, stagnant employment, a banking sector burdened by high non-performing loans, and declining revenue collection.
In its Bangladesh Development Update – October 2025 Edition, the World Bank said strong and timely reforms are essential to sustain inclusive growth. It emphasised that reforms are critical for maintaining economic expansion and employment.
The report was released at a press briefing held at the World Bank’s Dhaka office on Tuesday.
Jean Pascal Pesme, WB’s Country Director for Bangladesh and Bhutan, and economist Nazmus Sadat Khan presented the findings.
Pesme noted that Bangladesh’s economy has shown resilience in recent times. According to him, bold reforms and swift implementation are vital for sustainable growth and quality employment.
Priority areas include expanding revenue collection, strengthening the banking sector, reducing energy subsidies, improving urban planning, and enhancing the investment climate.