In his address to the nation on Friday, Chief Adviser Dr Muhammad Yunus painted a cautiously optimistic portrait of Bangladesh’s economy one year after the “Monsoon Revolution” toppled a 16‑year autocratic regime.
He highlighted recovering bank health, rising foreign currency reserves, a remittance boom, and a historic shift toward people‑centered budgeting and revenue administration.
Dr Yunus did not mince words in describing the dire economic legacy left by the previous government.
“Even the economy of a war‑torn nation is not as bad as what 16 years of unbridled plundering has caused,” he said, noting that deposits across all financial institutions are now secure and key indicators have turned positive.
He credited decisive action to reverse restrictions on repatriation of foreign‑investor earnings, a move that helped replenish reserves previously feared to hit zero.
“We have managed to bring the foreign currency reserves back to a positive state,” he declared, underlining renewed investor confidence.
For the fiscal year 2025–26, the interim government has presented a budget smaller than its predecessor, a first in the country’s history.
Dr Yunus explained this reflects a strategic pivot from “growth‑centric thinking” toward “holistic development” that places citizens at its core.
“This budget is not a conventional record of physical infrastructure development; instead, it prioritizes people,” he said, announcing increased allocations for healthcare, education, social safety nets, and rural livelihoods, while maintaining prudent fiscal discipline.
Despite global headwinds, export earnings have risen under tighter oversight, and expatriate Bangladeshis — termed “remittance warriors” — have sent home record funds.
“In this challenging economic time, our expatriate brothers and sisters have stepped forward… resulting in a significant increase in remittance inflow,” Yunus said, offering national gratitude.
Since assuming power, the interim government has launched an aggressive campaign against money laundering and settled legacy import liabilities, easing pressure on reserves and reinforcing financial integrity.
In a landmark overhaul, the National Board of Revenue (NBR) has been dismantled and replaced by two autonomous bodies — the Revenue Policy Division and Revenue Management Division — under the Finance Ministry.
Dr Yunus touted this reform as “major structural change” that will reduce corruption, boost efficiency, eliminate conflicts of interest, and expand the tax base.
He asserted: “As a result of this decision, large‑scale corruption will decline, the efficiency of the revenue system will increase, conflicts of interest will reduce, and the scope of revenue collection will expand.”
While Dr Yunus acknowledged lingering challenges — rising global inflation, energy shortages, and the ongoing Rohingya humanitarian crisis — he remained confident that the government’s reforms will stabilize the economy and lay the groundwork for equitable growth.
“The hopeful aspect is that not just the banks, but every financial institution has now begun to recover,” he concluded.
“Most economic indicators have returned to a positive trend. The positive trajectory of our economy is also attracting foreign investors.”
