Dhaka: Finance Adviser Dr. Salehuddin Ahmed today stated that Bangladesh’s economy is currently stable, despite facing significant challenges that necessitate sustained reforms, improved coordination, and strong political commitment from the forthcoming government. Speaking at a discussion meeting, he emphasized the importance of addressing these challenges without underestimating them.
According to Bangladesh Sangbad Sangstha, the adviser highlighted that, despite various domestic and global pressures, Bangladesh has maintained macroeconomic stability and avoided a deep crisis. “The economy was on the verge of collapsing. But, we are managing the situation…the challenges are there and must not be underestimated,” he remarked. Dr. Salehuddin was speaking as the chief guest at an event titled “Macroeconomic Insights: An Economic Reform Agenda for the Elected Government” held at a hotel in the capital. The event was jointly organized by the Policy Research Institute of Bangladesh (PRI) and the Department of Foreign Affairs and Trade (DFAT) of the Australian Government.
The session was presided over by Dr. Zaidi Sattar, chairman of PRI, and featured Dr. KAS Murshid, former director general of Bangladesh Institute of Development Studies (BIDS), and Clinton Pobke, deputy high commissioner of Australia to Bangladesh, as special guests. Dr. Ashikur Rahman, principal economist of PRI, delivered the keynote presentation while Dr. Fahmida Khatun, executive director of Centre for Policy Dialogue (CPD), and Dr. M. Masrur Reaz, chairman and CEO of Policy Exchange Bangladesh (PEB), participated as distinguished panelists. Concluding remarks were provided by Dr. Ahmad Ahsan, director of PRI.
Dr. Salehuddin noted that Bangladesh has exhibited resilience amid global disruptions, including post-pandemic challenges, geopolitical tensions, energy price volatility, and tightening global financial conditions. He attributed the country’s ability to navigate these difficulties to prudent macroeconomic management. Addressing issues such as inflation, balance of payments pressure, and fiscal stress, he pointed out that these are not unique to Bangladesh, stating, “Many countries are going through similar problems. What matters is how we respond through reforms and institutional strengthening.”
The Finance Adviser explained that the interim government has prioritized stabilizing the macroeconomy, enforcing fiscal discipline, managing foreign exchange pressures, and ensuring the continuation of essential economic operations. “We have tried to take balanced decisions so that the economy continues to function while protecting the vulnerable,” he stated.
He also emphasized that revenue mobilization remains a significant challenge for Bangladesh, as the country’s tax-to-GDP ratio is low compared to peer economies. “It is extremely difficult to run a modern state with such a low level of revenue collection,” he said, underscoring the need for tax reform, expansion of the tax base, and improved compliance.