Bangladesh at Economic Crossroads as Growth Falters and Inflation Bites

Bangladesh faces a pivotal moment as growth slows and inflation bites, a tightening economic crossroads described by the DCCI. Ahmed, president of the DCCI, spoke at The Daily Observer's National Print Dialogue, urging a coherent, forward-looking reform agenda. Entering 2026, macro conditions intertwine economic management, political stability, and external vulnerabilities. Growth is projected at 6.5%, with inflation near 7.5% and private investment weakened amid subdued demand and higher borrowing costs. Reserves have stabilised but stay under pressure from a high import bill. External debt stands above USD 78 billion and the banking sector remains weak, with NPLs at Tk 5.57 trillion, about 30.6% of loans.