The external sector improved amid record remittance inflows despite stagnant exports and weak global demand, it said.
Severe banking sector stress, revenue shortfalls, and historically low implementation of the annual development programme underscore the need for political stability and structural reforms, the report remarked.
The report was recently launched by the Centre for Macroeconomic Analysis (CMEA), in partnership with Australia’s Department of Foreign Affairs and Trade (DFAT).
Terming 2026 as a year of stabilisation amid continued political uncertainty, PRI principal economist Ashikur Rahman said foreign exchange reserves have increased, the exchange rate has stabilised and inflation has moderated slightly. However, imports have not grown at the expected pace, indicating weak domestic demand, he noted.
Restoring growth depends on policy predictability, as businesses are discouraged by uncertain and volatile environments like the one seen now, Kamran T Rahman, president of the Metropolitan Chamber of Commerce and Industry (MCCI), said at the launch ceremony.
Containing inflation will require supply-side reforms and smarter trade policies alongside a tight monetary stance, he was cited as saying by domestic media reports.
ALCHEMPro News Desk (DS)
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