Asian Development Bank (ADB) has revised its economic growth projection for Bangladesh but also said inflation might surge further in FY25.
According to Asian Development Outlook July 2024 published last week, Bangladesh's economy might grow 6.5% in this fiscal, lower than its forecast in April of 6.6%, owing to sluggish growth of the industrial sector.
The Manila-based lender's projection is lower than the government's 6.75% growth target for the economy.
The ADB's forecast came just before the country witnessed five days of severe disruptions in economic activities amidst an internet outage, violence centring a movement for reforming quota at public jobs and subsequent curfew to control the situation.
The multilateral lender said monthly inflation rates in Bangladesh continued to be near double digits in the first 11 months of FY24 and may persist due to high domestic food prices.
