Bangladesh’s external sector strengthened over the past year despite erratic trade performance, with foreign-exchange reserves and remittance inflows posting notable gains, according to a new government assessment.
The November 2025 Economic Update and Outlook, published by the General Economics Division and the Bangladesh Planning Commission, reports that reserves rose sharply—from US $ 24.35 billion in November 2024 to US $ 32.34 billion in October 2025. Under the BPM6 measure, reserves increased from US $ 18.61 billion to US $ 27.58 billion over the same period. The report attributes the improvement to stronger external inflows and “prudent management”.
Remittances provided further resilience, consistently outpacing the previous year. Inflows peaked in March, September and December 2024, and again in May and October 2025. October’s figure reached US $ 2.56 billion, up from US $ 2.40 billion a year earlier.
Trade indicators, however, remained volatile. Export earnings fell sharply between April and June 2025 before recovering moderately. Revenues stood at US $ 3.80 billion in September 2024, peaked at US $ 4.77 billion in July 2025 and slid back to US $ 3.82 billion by October. Readymade garments continued to dominate shipments, mirroring global demand trends. RMG exports reached US $ 3.02 billion in October, below the mid-year high, while non-RMG exports followed a similar mid-year dip before rebounding.
Import payments also fluctuated, hitting their lowest point in June 2025 before recovering in July and remaining uneven through September. The report cites shifts in global commodity prices, domestic import rules and changing international demand as key drivers of this instability.
Despite the turbulence in trade, the report concludes that rising reserves and strong remittance inflows have helped reinforce Bangladesh’s external position heading into late 2025. As the country prepares for its general election in February 2026, the outlook remains “cautiously optimistic”. The Asian Development Bank forecasts GDP growth of around 5% in FY2026, supported by export performance and remittances.
Even so, the report warns that inflationary pressures, weak business confidence and vulnerabilities in the banking sector could weigh on demand and investment. It also notes that election-related spending and potential disruptions may add further pressure on inflation and the foreign-exchange market.
