Bangladesh economy remains in fragile, uneven recovery phase: MCCI

The Bangladesh economy remained in a "fragile and
uneven recovery phase" during the January–March quarter of FY2025–26, as
persistent inflation, weak private investment, subdued industrial activity and
external sector pressures continued to weigh on overall economic momentum,
according to the Metropolitan Chamber of Commerce and Industry.
In
its latest "Review of Economic Situation in Bangladesh" for Q3 of
FY26, published yesterday (12 May), the business body said although the
political and administrative instability that followed the transition period in
late 2024 has eased considerably, the economy has yet to regain strong momentum.
"High
living costs, cautious private sector sentiment and weak industrial expansion
continued to weigh on overall economic performance," the report stated.
According to the review, economic growth during the January–March quarter
remained modest due to slower export expansion, subdued private investment and
the continuation of tight monetary policy aimed at containing inflation.
Restrictive
credit conditions, elevated borrowing costs and high inflation continued to
suppress domestic demand, business expansion and consumer spending during the
quarter, the report said.
Despite
the challenges, the chamber said strong remittance inflows continued to support
the economy by stabilising foreign exchange reserves and partially offsetting
the impact of a widening trade deficit.
















