The financial institutions sector in Bangladesh is facing a crisis of unprecedented proportions, with a staggering 36% of all loans now in default, according to a recent report from Bangladesh Bank. The distress is particularly severe among non-banking financial institutions (NBFIs), some of which are on the brink of collapse, unable to meet their obligations ...more

According to Bangladesh Bank data, in the recently concluded 2024 (January-December), the total remittances into the country through legal channels were $26.88 billion. Last year (2023), the total amount of remittances received was $21.92 billion. Accordingly, remittances increased by $4.97 billion in 2024 compared to 2023.Officially recorded remittances to low- and middle-income countries (LMICs) are ...more

As 2025 dawns, Bangladesh’s economy finds itself ensnared in a challenging vicious cycle, where inflation, investment, and political stability are interdependent. The new year presents daunting challenges, including controlling inflation, boosting investment, creating employment, maintaining foreign exchange reserves, and ensuring political stability. Economists warn that failure in one area could trigger a cascade of negative ...more

The interim government has announced a reduction in foreign debt allocation for the upcoming fiscal year 2025-26. The new Annual Development Program (ADP) will see a decrease of Tk 25,000 crore in foreign loans, marking a departure from the previous trend of increasing foreign debt year after year. The allocation for foreign debt in the ...more

Bangladesh’s development efforts are facing a severe financing crisis, with dwindling foreign loan commitments and rising repayment obligations, according to a recent report by the Economic Relations Department (ERD). This alarming trend threatens to derail the nation’s economic progress and poses significant challenges to the country’s financial stability.In the first five months of the current ...more

Bangladesh Bank (BB) has identified several factors contributing to the rising demand for US dollars, leading to volatility in the foreign exchange market.In a statement released on Monday, Husneara Shikha, Executive Director and Spokesperson of the central bank, mentioned that December traditionally witnesses heightened dollar demand due to year-end obligations.“The repayment deadlines for various foreign ...more

A well-known phrase in Bengali is “jagakhichuri” (mess in English). While we use this word depending on the context of the situation, it has surprisingly become synonymous with making a mess rather than referring to food in our daily conversations. I have often heard stories of people burping with satisfaction after enjoying bhunakhichuri on rainy ...more

The dollar market in Bangladesh is experiencing increased pressure as the central bank works to boost foreign exchange reserves in compliance with International Monetary Fund (IMF) conditions. The remittance rate has surged to Tk 125.40, prompting the Bangladesh Bank to purchase dollars from commercial banks to stabilize reserves. The dollar rate, previously stable, has escalated due ...more

Following the fall and flight of Sheikh Hasina, remittance inflows into the country have increased by 26 percent, said Professor Dr. Asif Nazrul, who serves as an Advisor on Law, Justice, Parliamentary Affairs, and Expatriate Welfare on Wednesday. He stated, “Expatriates are supporting the interim government by contributing significantly to our economy. They are the primary ...more

The Finance and Debt Court has ordered the seizure of shares of S Alam Group Chairman Saiful Alam Masud and his brother Abdus Samad Labu in the Janata Bank loan default case of about Tk 2,000 crore. On Sunday (December 1), Judge Mujahidur Rahman of the Chattogram Finance and Debt Court ordered the seizure of ...more