The WB attributed the overall deceleration in the first three quarters of FY25 to a sharp decline in private and public investment

The Asian Development Bank has identified four major risks to Bangladesh’s economy, including the potential impact of additional US tariffs and political uncertainty, both of which could hinder growth and fuel inflationary pressures.

With major indicators showing stress in the economy, there is no good news in the investment flow too as investors now prefer to stay away from taking new projects or expanding their existing capacity.

The World Bank has revised down its growth forecast for fiscal 2023-24 to 5.6 percent as the Bangladesh economy is expected to remain stressed throughout the year thanks to persistent inflationary pressures and external sector challenges.

The International Monetary Fund has revised down its economic growth projection for Bangladesh to 6.4 percent for the current fiscal year largely because of Russia-Ukraine war and supply chain disruptions.