Bangladesh economy resilient amid global risks: IMF
- Update Time : 02:13:33 pm, Thursday, 17 April 2025
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Bangladesh’s current foreign exchange reserves and exchange rate remain relatively stable and slightly above previous projections, according to a statement by the International Monetary Fund (IMF) following the conclusion of their visit to Dhaka on April 17. In a press release, IMF mission chief for South Asia, Chris Papageorgiou, noted that prudent financial adjustments would help align with inflation forecasts, while a more flexible exchange rate could boost export competitiveness, rebuild reserves, and enhance the country’s resilience to global economic shocks.
Despite this relative stability, the IMF stressed the need for short-term policy tightening to manage persistent inflation and address the growing external financing gap. The visit, which ran from April 6 to 17, included key discussions between Bangladeshi officials and IMF representatives under the frameworks of the Extended Credit Facility (ECF), Extended Fund Facility (EFF), and Resilience and Sustainability Facility (RSF), focusing on macroeconomic and financial policy.
Papageorgiou also emphasized the importance of tax reform, urging Bangladesh to modernize its revenue system by eliminating unnecessary exemptions and streamlining the tax structure. Such reforms, he suggested, would increase transparency in revenue collection and strengthen the government’s long-term fiscal capacity.
