Bangladesh’s economy last week centred on investment constraints, export performance, public spending adjustments, stock market anomalies, growth trends, external outlook revisions and strategic aviation decisions, reflecting both near-term pressures and structural challenges facing the economy.
The following is a recap of seven major developments as covered by Star Business.
Low investment, high inflation major hurdles for next govt: CPD (Jan 11)
Low private investment and stubbornly high inflation will pose the biggest challenges for the next government, the Centre for Policy Dialogue said, warning that policy uncertainty, weak infrastructure and high financing costs are undermining growth, employment creation and income stability.
Garment exports to US grew 15% in Jan–Oct (Jan 11)
Bangladesh’s garment exports to the United States rose more than 15 percent year-on-year to $7.08 billion during January–October, driven largely by front-loaded shipments amid changing trade conditions, according to US import data cited in the report.
Govt to slash ADP allocation drastically (Jan 12)
The government is set to cut the annual development programme allocation by about 12.5 percent this fiscal year, as implementation lagged in the first five months, forcing authorities to realign spending priorities under pressure.
DSEX reshuffle lays bare market irrationality (Jan 13)
The latest DSEX reshuffle dropped multinational major Unilever while including several fundamentally weak stocks, exposing inconsistencies in index construction and raising concerns over transparency and rationality in Bangladesh’s equity market.
GDP growth accelerates, led by industrial expansion (Jan 14)
Bangladesh’s GDP grew 4.50 percent in the first quarter of the current fiscal year, supported mainly by stronger industrial output and modest agricultural gains, signalling a tentative recovery momentum amid broader economic headwinds.
World Bank cuts Bangladesh growth forecast for FY26 (Jan 15)
The World Bank lowered Bangladesh’s growth forecast for FY26, citing persistent inflation, subdued investment and external uncertainties as key risks weighing on the medium-term outlook.
Govt to guarantee Biman’s purchase of 14 Boeing aircraft (Jan 16)
The government approved a sovereign guarantee for Biman Bangladesh Airlines to acquire 14 aircraft from Boeing, aiming to modernise the fleet and expand international operations.