Md Fazlur Rahman

Stocks in Bangladesh climbed 1.6 percent yesterday, driven by a surge in the prices of some blue-chip companies such as Renata PLC and Linde Bangladesh.

Unctad’s World Investment Report shows

The government is not moving at full throttle in bringing discipline to the banking sector, implementing reforms wholeheartedly, taking measures against syndication, and bringing money launderers under the rule of law, said a top economist.

Fighting raging inflation and putting the economy back on track have not been taken seriously as evidenced from the government’s delayed response, which set the scene for one of the worst economic crises in its history and an unprecedented prolonged period of higher consumer prices, said an economist. 

The government has not addressed the stability issue through its fiscal policy for two years in a row although the economy is in turmoil owing to both external and internal pressures. A noted economist, however, thinks it can bring the situation under better control through the budget in the next fiscal year beginning on July 1.

Foreign direct investments to Bangladesh snapped its rising trend in 2023, highlighting the nervousness outside investors face in pumping money into a country whose foreign exchange regime is experiencing one of its worst periods in recent times

The government has cut the export subsidy for almost all sectors to reduce the pressures on Bangladesh's coffers and bring down the rates gradually

The economy is losing momentum. Inflation remains stubborn. Bangladesh is facing deterioration in external buffers, with official reserves falling to $20.18 billion as of January 10, less than half their historic peak in 2021. The currency shock is lingering.