Bangladesh to move away from IMF loans toward market-based financing: Finance Minister

Finance Minister Amir Khosru Mahmud Chowdhury has called for Bangladesh to reduce its dependence on foreign borrowing from the International Monetary Fund (IMF) and increasingly raise capital through domestic and international markets using bonds, equities and other market-based financing mechanisms.

He made the remarks on Sunday while speaking as the chief guest at the inaugural ceremony of World Investor Week 2026, organised by the Bangladesh Securities and Exchange Commission (BSEC) at the Krishibid Institution in Dhaka.

“We cannot depend on the IMF. Relying on the IMF... forget it,” Khosru said.

He said Bangladesh’s financial architecture was undergoing significant changes and urged stakeholders to work toward the government’s goal of building a trillion-dollar economy by 2034.

Referring to the decision to suspend the previous IMF programme, Khosru said the government had found some of the lender’s conditions unsuitable for the country.

“You surely saw it, right? Earlier, I cancelled the IMF programme. Your conditions are not acceptable to us,” he said.

According to the minister, IMF financing alone would not provide the scale of funding Bangladesh needs to achieve its economic ambitions.

“I need $50 billion every year. All of you together will give $10 billion — I do not have time for that anymore,” he said.

The government suspended the previous IMF programme in June 2026, saying some of its conditions were no longer appropriate for Bangladesh’s prevailing economic circumstances.

Khosru said the government was receiving a positive response to its efforts to mobilise funds from both domestic and international markets through bonds and equities.

He expressed optimism that the country’s capital market could undergo a major transformation within the next year.

The finance minister also said international investors were gaining confidence in Bangladesh’s capital market, particularly after the government’s recent engagement with Wall Street institutions during Prime Minister Tarique Rahman’s visit to the United States.

He said representatives of leading global financial institutions had developed a better understanding of Bangladesh’s capital market and were closely monitoring recent developments.

“They have confidence in the leadership, they have confidence in the deregulation that this government has announced, they have confidence in the clarity that is coming to this market, and they have confidence in the professionalism this market is showing right now,” Khosru said.

He added that several international institutions could become partners in Bangladesh’s capital market, with some expected to visit Dhaka in the near future.

Bangladesh is also preparing to access international capital markets, including through a proposed dollar-denominated bond issuance in New York, he said.

“We have to take the plunge. We have to send the message to Wall Street,” Khosru said.

He said Bangladesh’s recent engagement with global investors had demonstrated that the country could no longer remain disconnected from international capital markets.

The broader objective, he said, was to develop a credible, transparent and professionally managed capital market capable of mobilising long-term domestic and foreign investment while reducing the country’s heavy reliance on bank financing.

Khosru also stressed the importance of lowering borrowing costs through a stronger capital market.

He said businesses should increasingly raise funds through the capital market instead of depending heavily on banks and paying high interest rates.

The government, he added, could not continue using taxpayers’ money to finance commercial activities.

“Find your money in the market, and make money to repay the government. The government cannot run enterprises and behave like a cheque writer,” the minister said.