Bangladesh Seeks Fresh International Financing Amid Fiscal Strain

(MENAFN) Bangladesh is pursuing $14.5 billion in new funding from the International Monetary Fund (IMF) and the World Bank as the government faces increasing pressure on public finances, poor revenue collection and ongoing economic difficulties, according to reports citing an official.

If the proposals are approved, the funding would mark the first new IMF lending arrangement under Prime Minister Tarique Rahman's administration, which took office in February 2026 after the country's first general election since the 2024 uprising that removed former Prime Minister Sheikh Hasina from power.

Rashed Al Mahmud Titumir, an adviser to the finance minister, said Dhaka had requested a new IMF package worth $4.5 billion alongside $10 billion in World Bank financing spread over three years. He confirmed that discussions on both requests were in progress.

Bangladeshi officials are seeking financial support designed around the country's specific economic circumstances instead of relying on standard lending conditions, as pressure on government finances continues to grow.

Finance Minister Amir Khosru Mahmud Chowdhury has likewise highlighted the importance of securing adaptable financing to help tackle longstanding structural problems within the economy.

The country's previous IMF assistance package was approved in January 2023 during Hasina's administration. Originally valued at $4.7 billion, the program was subsequently increased to approximately $5.5 billion.

Bangladesh continues to contend with elevated inflation, weaknesses in its banking sector, rising subsidies for energy and a tax-to-GDP ratio that remains among the lowest worldwide.

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