Debt-Service Automation Mandated for State-Owned Firms

On November 20, 2024, the Standing Committee on Non-Concessional Loans (SCNCL) approved two hard-term loans worth $260 million to fund key infrastructure projects in Bangladesh. The loans will finance power transmission upgrades, road development, and terminal projects. The Asian Development Bank (ADB) is providing $100 million for public-private partnership (PPP) projects, including the Dhaka bypass and Patenga terminal in Chittagong.

Finance Secretary Dr. Md Khairuzzaman Mozumder announced that the Asian Development Bank (ADB) and the World Bank will provide $600 million and $500 million in loan assistance, respectively, by December 2024.

Bangladesh aims to receive $1 billion from the IMF within this fiscal year, with additional support requested for the ongoing three-year loan program. Finance Secretary Dr. Khairuzzaman Mozumder confirmed that an IMF team will visit Bangladesh on December 4 for final discussions. Additionally, the Asian Development Bank (ADB) will provide $600 million, and the World Bank $500 million in budgetary support by December.

The Transparency International Bangladesh (TIB), on November 18, 2024, criticized India's response to the August ousting of a Delhi-backed regime in Bangladesh, labeling it a significant diplomatic setback for India. The TIB executive director highlighted India's reluctance to adapt to the new political landscape, accusing Indian politicians, media, and civil society of fostering instability in Bangladesh through disinformation and sensational narratives, including exaggerated concerns about minority rights.

On November 18, 2024, Moody’s downgraded Bangladesh’s long-term sovereign credit rating to B2 from B1, with a "negative" outlook, marking its second downgrade in under two years. The rating agency also lowered GDP growth forecasts for FY25 to 4.5% from 6.3%, citing heightened political risks, weak economic activity, and growing reliance on short-term debt.