We provide Industry & Company Intelligence, Data and Business Advisory services to local and global companies in Bangladesh
The government has reduced its bank borrowing target by 28% to Tk 990 billion for FY2024-25, down from Tk 1,375 billion, due to lower expenditures and slow ADP implementation, which stood at 18% in the first half of the fiscal year. The Bangladesh Bank estimates actual borrowing may reach Tk 900 billion. Private sector credit growth remained at 7.28% in December 2024, below the 9.80% target. The government borrowed Tk 689.31 billion from banks in the first seven months of FY2024-25, but after repayments, net borrowing stood at Tk 136 billion. Comparatively lower operational expenses of the interim government also contributed to the borrowing cut. The move is expected to increase market liquidity, potentially reducing interest rates on loans and deposits. The government can borrow up to Tk 120 billion from the central bank under the Ways-and-Means Advances (WMA) facility for short-term spending.
The government has reduced its bank borrowing target by 28% to Tk 990 billion for FY2024-25, down from Tk 1,375 billion, due to lower expenditures and slow ADP implementation, which stood at 18% in the first half of the fiscal year. The Bangladesh Bank estimates actual borrowing may reach Tk 900 billion. Private sector credit growth remained at 7.28% in December 2024, below the 9.80% target. The government borrowed Tk 689.31 billion from banks in the first seven months of FY2024-25, but after repayments, net borrowing stood at Tk 136 billion. Comparatively lower operational expenses of the interim government also contributed to the borrowing cut. The move is expected to increase market liquidity, potentially reducing interest rates on loans and deposits. The government can borrow up to Tk 120 billion from the central bank under the Ways-and-Means Advances (WMA) facility for short-term spending.
Fitch Solutions forecasts Bangladesh’s inflation to average 8.5% in FY2024-25, exceeding Bangladesh Bank’s 7.0-8.0% target. Despite maintaining a 10% policy rate, inflation remains high due to political unrest and economic uncertainties. The agency expects another 15% taka depreciation in 2025, driven by a shift to a market-based exchange rate and a weaker-than-expected US Federal Reserve rate cut. Private-sector credit growth dropped to 7.3% in December 2024, the lowest since 2015, while real wages stagnate, weakening consumer spending. Consequently, Fitch plans to revise down its 5.5% GDP growth forecast for FY2025-26. The upcoming general election, now expected in FY2025-26, could exacerbate economic disruptions, historically driving inflation up post-elections. Additionally, potential US policy shifts under a Trump administration may further strain Bangladesh’s currency and economic stability. While agricultural output and lower oil prices may help, they likely won’t offset inflationary pressures from currency depreciation.
Red Sea Gateway Terminal (RSGT) Bangladesh will invest $30 million to procure four ship-to-shore (STS) cranes for Patenga Container Terminal (PCT) at Chattogram port, following a $26 million purchase of 14 rubber-tyred gantry (RTG) cranes. The Chinese firm SANY Marine Heavy Industry will supply the STS cranes, expected to arrive by Q1 2026. These custom-built cranes will boost PCT’s annual handling capacity from 250,000 TEUs to 600,000 TEUs, enhancing efficiency and reducing logistics costs. RSGT Bangladesh, a subsidiary of Saudi-based RSGTI, signed a 22-year concession agreement with Chattogram port in December 2023. Since June 2023, the terminal has been handling export containers via geared vessels. CEO Erwin Haaze emphasized RSGT’s collaboration with key stakeholders, including the Chittagong Port Authority and National Board of Revenue, to modernize Bangladesh’s logistics infrastructure and improve operational efficiency.
Potato cultivation in Bangladesh surged 15% year-on-year to 5.24 lakh hectares in FY2024-25 due to record-high prices last season. However, an oversupply has driven prices below production costs, with farmers selling at Tk 11-13 per kg, despite costs rising to Tk 15-17 per kg. The 1.06-1.20 crore tonnes production estimate surpasses the 90 lakh tonnes annual demand, worsening the price crash. High input costs, including Tk 80 per kg for seeds, have deepened farmer losses. Cold storage charges have also risen by Tk 4 per kg, further squeezing profits. Retail prices remain low at Tk 20-30 per kg, with experts predicting they won’t exceed Tk 40 per kg this year. The government acknowledges the crisis and plans policy support, but supply chain monitoring challenges persist. Farmers fear continued losses, with some reconsidering potato cultivation next season unless intervention stabilizes the market.
Potato cultivation in Bangladesh surged 15% year-on-year to 5.24 lakh hectares in FY2024-25 due to record-high prices last season. However, an oversupply has driven prices below production costs, with farmers selling at Tk 11-13 per kg, despite costs rising to Tk 15-17 per kg. The 1.06-1.20 crore tonnes production estimate surpasses the 90 lakh tonnes annual demand, worsening the price crash. High input costs, including Tk 80 per kg for seeds, have deepened farmer losses. Cold storage charges have also risen by Tk 4 per kg, further squeezing profits. Retail prices remain low at Tk 20-30 per kg, with experts predicting they won’t exceed Tk 40 per kg this year. The government acknowledges the crisis and plans policy support, but supply chain monitoring challenges persist. Farmers fear continued losses, with some reconsidering potato cultivation next season unless intervention stabilizes the market.
TRANSFORM, an impact accelerator led by Unilever, the UK Government, and EY, announced grants of up to BDT 10 million each for two Bangladeshi SMEs focused on climate resilience. Deshifarmer, an agri-tech platform, connects farmers directly to consumers, aiming to benefit 3,000 farmers and 20,000 consumers in its first year. Techno Plastic Solution addresses ocean plastic pollution by improving collection infrastructure and launching a pilot program in Kuakata to collect 100 tonnes of plastic waste monthly. The Bangladesh Climate Challenge, launched in October 2023, supports enterprises working on climate resilience through funding and resources. This collaboration between Unilever, the UK Government, and EY marks their first joint effort in Bangladesh. TRANSFORM has previously supported 10 other enterprises in Bangladesh, impacting over three million lives.
A proposed hike in gas prices by Petrobangla has sparked major concerns among industrialists in Bangladesh, fearing economic harm. Industrial leaders argue that the increase, if approved, could lead to factory closures, job losses, and reduced industrial output, harming economic growth and potentially causing social unrest. Critics like Kutubuddin Ahmed and Abdullah Hil Rakib highlight that rising power and production costs already challenge competitiveness. The proposal affects new and existing gas users, with significant cost increases tied to LNG imports and additional charges. Industry leaders urge the government to reconsider the proposal, warning of the detrimental impact on both industries and the broader economy.
In FY 2023-24, the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) faced operating losses due to reduced trading, fewer IPOs, and increased costs. The DSE’s core revenue of Tk 125 crore fell short of expenses, causing a Tk 20 crore loss, while the CSE incurred a Tk 10 crore loss with Tk 31 crore in core revenue. Both exchanges relied on fixed deposit interest to achieve net profits of Tk 61 crore (DSE) and Tk 31 crore (CSE).
Declining daily turnovers, down to Tk 622 crore for the DSE, coupled with poor fund management and risky investments in troubled banks and NBFIs, exacerbated challenges. Experts recommend reforms, product diversification, and stronger company listings to revitalize the market. Meanwhile, 95% of brokerage houses are struggling with operating losses due to sluggish trading.
Our Solutions:
Data Terminal
Company Database
Business Monitor
Advisory
Data Terminal
Company Database
Business Monitor
Advisory
DATATERMINAL

Provides data of 50,000+ indicators for 500+ listed and non listed companies in Bangladesh

Offers industry-level data of 7,000+ indicators across 50+ sectors in Bangladesh

Provides data of 50,000+ indicators for 500+ listed and non listed companies in Bangladesh
Subscribe to our Data Terminal now
BUSINESSMONITOR
Industry Monitor
Wheat cultivation in Bangladesh fell to a record low in FY2024-25, with acreage declining 8% year-on-year to 2.87 lakh hectares, down from 3.11 lakh hectares in FY24. This marks a continued decline since FY16 when wheat covered 4.44 lakh hectares.
Potato cultivation in Bangladesh surged 15% year-on-year to 5.24 lakh hectares in FY2024-25 due to record-high prices last season. However, an oversupply has driven prices below production costs, with farmers selling at Tk 11-13 per kg, despite costs rising to Tk 15-17 per kg.
Red Sea Gateway Terminal (RSGT) Bangladesh will invest $30 million to procure four ship-to-shore (STS) cranes for Patenga Container Terminal (PCT) at Chattogram port, following a $26 million purchase of 14 rubber-tyred gantry (RTG) cranes.