Bangladesh Bank to Announce New Monetary Policy Today

Bangladesh Bank is set to announce its Monetary Policy Statement (MPS) for the first half of the 2025–26 fiscal year today, Thursday (31 July).

The official declaration will be made by Dr. Ahsan H. Mansur, Governor of Bangladesh Bank, during a press conference at the central bank’s headquarters in Dhaka.

Details of the Announcement

In the press briefing, the Governor is expected to present insights into the results of the current monetary policy, particularly its effectiveness in:

• Containing inflation
• Steering credit growth in the private sector
• Driving overall economic expansion

Attendees at the Press Conference

The announcement event will be attended by top officials of Bangladesh Bank, including:

• Chief Economist
• Head of Bangladesh Financial Intelligence Unit (BFIU)
• Other senior officials from key departments of the central bank

Policy

Previously, on 10 February, the central bank unveiled its MPS for the second half of FY 2024–25 (January–June). At that time, Governor Dr. Ahsan H. Mansur made the following notable remarks:

“The years 2024 and 2025 are not favourable for investment growth.
If inflation comes under control, policy interest rates on bank loans may begin to be reduced by the end of June this year.”Policy Continuity Amid Inflationary Pressure

Bangladesh’s economy has been struggling with persistently high inflation, a challenge that intensified during the tenure of the previous government. To combat this, the former Governor, Abdur Rouf Talukder, implemented repeated increases in interest rates.

This tightening of monetary policy continued even after the caretaker government assumed power. While these measures had limited success in reducing inflation, they led to a sharp slowdown in investment activities.

Economic Implications

High interest rates have caused businesses and entrepreneurs to delay or halt planned investments, further weakening the country’s economic momentum. The new MPS is expected to offer directional clarity on:

• Whether interest rates will be eased in the coming months
• How the bank aims to balance inflation control and investment stimulation
• What measures will be taken to revive economic confidence

As stakeholders await the new policy framework, all eyes will be on how Bangladesh Bank plans to navigate the challenging balance between macroeconomic stability and growth revitalisation.