The Bangladesh economy is bracing for substantial hurdles in the second half of the 2025 fiscal year, with growth projected to decelerate amid inflationary pressures, financial strain and external headwinds.

The failure to tame inflation not only imposes a steep tax on the poor and the middle class, it also erodes economic competitiveness.

Latest figures show how persistent the problem has been

Leniency towards habitual defaulters led to this situation

The actual share of NPLs in total loans would have crossed 20 percent had BB not loosened the definition.