In June, Bangladesh’s financial account surplus surged by nearly $2.5 billion, ending fiscal year 2023-24 with a $4.55 billion surplus, largely due to inflows of bilateral and multilateral loans. Despite this increase, the surplus was lower than the previous year’s $7 billion. The trade deficit decreased by 18%, and the current account deficit narrowed by 44%, thanks to reduced imports and a $2 billion rise in remittances. The central bank’s measures to control imports and the reluctance of businesses to take new loans amid rising interest rates contributed to these changes. However, the overall balance of payments deficit stood at $4.3 billion, leading to a $3 billion drop in foreign exchange reserves. Economist Prof. Mustafizur Rahman emphasized the need to boost remittances, exports, and foreign loan disbursements to ease reserve pressure and stabilize the exchange rate.
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