In the first quarter of the fiscal year 2023-2024, Bangladesh faced a substantial decline in imports, contracting by 18% year-on-year to $15.9 billion, compared to $19.4 billion in the same period the previous year. This drop is attributed to a scarcity of dollars, with banks reluctant to open letters of credit.
Consumer goods imports witnessed a significant fall of nearly 48%, impacting economic dynamics. The decline extends to various sectors, including capital machinery (24% decrease to $547 million), intermediate goods (28% decrease to $1.1 billion), and fuel (12.4% decrease to $2.4 billion). The “others” category experienced a slight increase of 5.24% to $5.2 billion. Economists express concerns over the negative implications for supply chains, industrial production, and GDP growth due to the import downturn.
The situation is attributed to both dollar scarcity and market uncertainties, affecting employment and growth prospects. Industry insiders hope for central bank intervention to stimulate demand and alleviate the import challenges.
Source for more details:
