The development of private sector capabilities is a prerequisite for securing sustainable economic growth.

Private companies are spearheading Bangladesh’s growth with their energy and optimism, putting the economy on a path to cross the $1-trillion mark by 2040, according to a top global consulting firm. 

Bangladesh’s private sector has long been in stagnation because of the coronavirus pandemic, and this was again on display during the auction for sukuk last week.

The government is going to exceed its annual limit for bank borrowing within the first half of this fiscal year due to poor revenue collection, and this could give a credit crunch for the private sector to deal with.

Private sector credit growth dropped to an 18-month low of 15.87 percent in July, as banks have adopted a “go slow” policy for loan disbursement to comply with the central bank's newly set loan-deposit ratio.