Bangladesh’s economy faced considerable challenges in the fourth quarter of the 2023-24 financial year, according to the Metropolitan Chamber of Commerce and Industry (MCCI). The economy was strained by high inflation, a shortfall in revenue collection, slow public expenditure, currency depreciation, and declining foreign exchange reserves. Inflation remained persistently high, with general inflation at 9.72% in June 2024 and food inflation slightly lower at 10.42%. The taka depreciated by 8.17% against the US dollar, while foreign exchange reserves dropped significantly.
National Board of Revenue’s tax collection grew by 14.86% but still fell short of its target. The industrial sector showed 7.03% growth, but investment in the private sector remained sluggish, with private sector credit growth at 9.84%. Public sector credit growth also declined sharply. Foreign direct investment inflows decreased by 6.50%, though net FDI liabilities increased slightly. Despite these challenges, the services sector showed some growth, rising by 4.97% in the third quarter of FY24.
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