High-level meeting held on the country’s economic progress

A high-level meeting on the country’s overall economic performance and budget spending was held today at the State Guest House Jamuna in the capital.

Chief Adviser Professor Muhammad Yunus chaired the meeting, which was attended, among others, by Finance Adviser Dr Salehuddin Ahmed, Planning Adviser Wahiduddin Mahmud, and Bangladesh Bank Governor Ahsan H Mansur.

Participants reviewed a wide range of key economic issues, including inflation, wage growth, agricultural output, the financial and external sectors, the current account, remittances, imports, and letters of credit.

Inflation:
The meeting was told that, on a 12-month average basis, overall inflation fell below 9 percent in November 2025 for the first time since June 2023. On a point-to-point basis, inflation had crossed 9 percent in March 2023, peaking at 9.33 percent, but declined below 9 percent in June 2025 and further to 8.29 percent in November 2025.
Owing to the government’s contractionary monetary policy and austerity measures, inflation is expected to fall below 7 percent by June 2026.

Wage growth:
It was noted that in recent years the gap between inflation and wage growth had been wide, leading to a decline in real incomes. However, this gap has narrowed significantly in recent months of the current fiscal year.
In November 2025, point-to-point inflation and wage growth stood at 8.29 percent and 8.04 percent respectively, compared to averages of 9.02 percent and 7.04 percent in FY 2022–23. As a result, after a sharp erosion in real income in previous years, a gradual recovery is expected during the current fiscal year.

Agricultural production:
The meeting was informed that appropriate incentives and improved management helped ensure strong Boro production in the last fiscal year. With no major natural disasters so far, a good Aman harvest is also expected this year.
Accordingly, the government is likely to meet its food grain procurement target in the current fiscal year. As of December 15, 2025, Aman production reached 160.95 lakh metric tonnes, and total output is expected to exceed the target once harvesting is completed. Although Aus production was slightly below target, overall production rose by 7.20 percent compared to FY 2024–25.
Overall imbalances across key economic indicators were reported to have moved toward a more balanced position.

Financial and external sector:
As of December 18, 2025, gross foreign exchange reserves stood at US$32.57 billion, up from around US$25 billion in August 2024. With exchange rate stability, higher remittance inflows, and a recent rise in interest rates in the financial sector, reserves are expected to increase further in the coming days.

More to follow.