UNB, Dhaka :
Noting that the Bangladesh economy is facing some major challenges, head of the International Monetary Fund (IMF) staff team Rodrigo Cubero on Tuesday said the GDP growth rate in the current fiscal year in Bangladesh will be around 6.5 percent or a bit less.
“We expect the growth in this fiscal year will be similar to last year and it’ll be around 6.5 percent and may be a bit less,” he said while replying to a question at a press conference at the Ministry of Finance upon conclusion of the visit of the IMF staff team.
The IMF staff team, led by Rodrigo Cubero, visited Dhaka on November 4-17 and held discussions on the 2015 Article IV Consultation with government officials. During their stay, the IMF team met the Bangladesh Bank Governor, then Finance Secretary, the Banking Secretary, then NBR chairman as well as representatives of the business and banking sectors, labour unions, NGOs, think tanks and development partners. They finally met Finance Minister AMA Muhith.
Cubero said, over the two years since the last Article IV Consultation (the regular
review that the IMF conducts of its members’ economies), prudent policies have underpinned Bangladesh’s strong macroeconomic performance, supported by the recently completed Extended Credit Facility arrangement with the IMF.
He said, the real GDP growth has been robust, inflation eased, international reserves increased significantly, and the public debt-to-GDP ratio remained stable at a moderate level. “In FY16 inflation and real GDP growth rates are expected to be similar to FY15, with growth supported by higher public sector wages, public investment and remittances.”
The IMF official said the external current account is expected to remain in a moderate deficit. “Over the medium term, provided that policies remain prudent, growth is projected to increase gradually to 7 percent, reflecting a further ramp-up in public investment and stronger private investment as regulatory and infrastructure constraints are eased and the financial sector strengthens.”
Noting that the Bangladesh economy is facing some major challenges, head of the International Monetary Fund (IMF) staff team Rodrigo Cubero on Tuesday said the GDP growth rate in the current fiscal year in Bangladesh will be around 6.5 percent or a bit less.
“We expect the growth in this fiscal year will be similar to last year and it’ll be around 6.5 percent and may be a bit less,” he said while replying to a question at a press conference at the Ministry of Finance upon conclusion of the visit of the IMF staff team.
The IMF staff team, led by Rodrigo Cubero, visited Dhaka on November 4-17 and held discussions on the 2015 Article IV Consultation with government officials. During their stay, the IMF team met the Bangladesh Bank Governor, then Finance Secretary, the Banking Secretary, then NBR chairman as well as representatives of the business and banking sectors, labour unions, NGOs, think tanks and development partners. They finally met Finance Minister AMA Muhith.
Cubero said, over the two years since the last Article IV Consultation (the regular
review that the IMF conducts of its members’ economies), prudent policies have underpinned Bangladesh’s strong macroeconomic performance, supported by the recently completed Extended Credit Facility arrangement with the IMF.
He said, the real GDP growth has been robust, inflation eased, international reserves increased significantly, and the public debt-to-GDP ratio remained stable at a moderate level. “In FY16 inflation and real GDP growth rates are expected to be similar to FY15, with growth supported by higher public sector wages, public investment and remittances.”
The IMF official said the external current account is expected to remain in a moderate deficit. “Over the medium term, provided that policies remain prudent, growth is projected to increase gradually to 7 percent, reflecting a further ramp-up in public investment and stronger private investment as regulatory and infrastructure constraints are eased and the financial sector strengthens.”
