Dhaka, Apr 09 (V7N) – The Asian Development Bank (ADB) has sharply revised down Bangladesh’s GDP growth forecast to 3.9 percent for the current fiscal year 2024–25, marking a significant drop from its earlier projection of 4.3 percent. The revised figure is also well below the South Asian regional average of 6 percent, as outlined in the Asian Development Outlook (ADO) report released on Wednesday (April 9).

According to the ADB, multiple domestic and external challenges have contributed to the economic slowdown in Bangladesh. These include political instability, natural disasters, labor unrest, and persistently high inflation, all of which have affected economic activities, particularly in the first quarter (July–September) of the fiscal year.

The report highlighted that during this period, the pace of economic expansion remained sluggish, hampering confidence in key sectors such as manufacturing and services.

However, the ADB maintained a cautiously optimistic outlook for the following fiscal year (2025–26), projecting a rebound in GDP growth to 5.1 percent, assuming greater political stability, improved external demand, and a revival in industrial production.

The ADB noted that Bangladesh’s manufacturing sector is showing signs of stabilization, which could help support growth in the upcoming quarters. Continued investment in infrastructure, energy, and reforms in public finance could also drive medium-term improvements.

The report advised Bangladesh to focus on maintaining macroeconomic stability, improving export competitiveness, and advancing labor market reforms to cushion external shocks and promote sustainable growth.

The ADB’s projections come at a critical time when the government is pushing forward with fiscal consolidation, seeking foreign investments, and preparing for national elections.

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