Bangladesh's economy is showing signs of recovery, with the latest forecast from the International Monetary Fund (IMF) projecting a significant upturn.
In its World Economic Outlook released on Tuesday night (Washington time), the IMF projected a GDP growth of 3.8 percent for Bangladesh in the current fiscal year (2024-25), reports UNB.
The outlook further anticipates an increase in growth to 6.5 percent in the following fiscal year (2025-26).
IMF hints at approving 2 tranches from $4.7 billion loan for Bangladesh soon
The report was unveiled on the second day of the World Bank-IMF Spring Meetings, currently taking place in Washington, USA.
Alongside global trends, the IMF updated country-specific data in this outlook. It projects inflation in Bangladesh to remain at 10 percent.
The country has been grappling with persistent inflationary pressure over the past two years.
According to the Bangladesh Bureau of Statistics (BBS), inflation stood at 9.35 percent in March, with an annual average of 10.26 percent over the past year.
The Awami League government initially targeted a GDP growth rate of 6.75 percent when it presented the budget for FY 2024-25 in June.
But, the interim administration recently revised the target downward to 5.25 percent, citing ongoing financial challenges, business stagnation, and political instability following the change in government.
Earlier this month, the Asian Development Bank (ADB) projected a GDP growth of 3.9 percent for Bangladesh this fiscal year—slightly higher than the IMF's updated estimate.
Globally, the IMF expects average GDP growth to be 2.8 percent, while the average for Asia is forecast to be 4.5 percent.
A 15-member Bangladesh delegation, led by Finance Advisor Dr Salehuddin Ahmed, is participating in the Spring Meetings, which began on April 21 and will continue until April 26.
Comments