Bangladesh’s economy is beginning to show encouraging signs of stabilization, according to the “Economic Update and Outlook: May 2025” released by the General Economics Division (GED) of the Planning Commission. This positive trend emerges despite ongoing structural challenges, underscoring the resilience and adaptability of the nation’s economic framework. The report highlights several key indicators that point towards a more stable economic future for Bangladesh. A significant development is the continued decline in headline inflation, which reached 9.05% in May 2025. This marks the lowest inflation rate observed since the post-COVID period and the surges related to global events. The easing of food prices, supported by timely government interventions and a relatively stable foreign exchange market, has been a primary contributor to this welcome reduction in inflationary pressures. This brings much-needed relief to households and businesses across the country. Furthermore, Bangladesh’s external sector has demonstrated remarkable strength, showcasing its adaptability in the global market. Export earnings experienced a robust rebound in May, surging to an impressive $4.74 billion. This figure represents the highest monthly export earning for the current fiscal year, indicating strong external demand for Bangladeshi products and the continued competitiveness of its export-oriented industries. This resurgence in exports is a crucial driver for economic growth and stability. In addition to exports, the foreign exchange market, which has faced volatility over the past two years due to the depreciation of the Bangladeshi Taka against the US dollar, has also shown signs of improvement. The Taka stabilized in mid-June, suggesting effective and managed intervention by the authorities to maintain currency stability. This stability is vital for import costs, foreign investment, and overall economic predictability. The vision of the Planning Commission provides an optimistic view regarding the economic future of Bangladesh. While acknowledging the presence of underlying structural challenges, the report emphasizes that the early signs of stabilization in key areas like inflation control and export performance are foundational for sustainable growth. These encouraging changes show how the government’s active steps and the economy’s natural resilience help overcome challenges. This sets the stage for ongoing growth and success in the months ahead.
Bangladesh’s Economy Shows Promising Signs of Stabilization, Planning Commission Reports
10