Dhaka, Sep 21 (V7N) – The International Monetary Fund (IMF) has recommended that Bangladesh Bank (BB) focus on creating a publicly accessible Residential Property Price Index (RPPI) to better assess developments and risks in the property market. This index would help to understand the link between property markets and financial stability, according to a report recently published by the IMF.

The report, based on a technical assistance mission that visited Bangladesh in May 2023, advised BB to publish an experimental RPPI for Dhaka, including sub-indices for six regional areas, on its website.

The IMF highlighted the need for quarterly updates of the RPPI, and once improvements are made, the "experimental" label could be removed. They also stressed the importance of making data collection mandatory for all financial institutions.

The report emphasized that BB's efforts to develop the RPPI were delayed due to staff shortages. To expedite progress, the IMF recommended increasing staff in the Residential Property Price Analysis wing.

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