A delegation from the International Monetary Fund (IMF) is set to arrive in Dhaka tomorrow on a nine-day trip to discuss the government’s request for a $4.5 billion loan in the form of budgetary support.
Bangladesh Bank today says it has decided to raise the ratio of import payments businesses must make to banks while opening letters of credit (LCs) for luxury goods, foreign fruits and non-essential items such as non-cereal food, canned and processed products.
The central bank of Bangladesh will have to use the monetary policy to stabilise the foreign exchange market to pave the way for curbing inflation through demand management, said Ahsan H Mansur, executive director of the Policy Research Institute of Bangladesh.
Large industries, SMEs and the flood-hit agriculture sector will enjoy a flexible loan repayment facility up to December this year as Bangladesh Bank yesterday revived the partial loan moratorium amid a deepening economic crisis.
The wage growth in Bangladesh grew slower than the inflation rate in May, handing a blow to the country’s millions of low-paid skilled and unskilled workers already struggling to make ends meet amid the rising cost of living.
Inflation surged to an eight-year high of 7.42 per cent in May, driven by a hike in food costs, underscoring the plight a majority of the population in Bangladesh is currently experiencing, official figures showed yesterday.