Inflation in Bangladesh is likely to be above the central bank’s new target of 7-8 per cent, and the bank will hold its rate till FY25 end (June), according to BMI, a Fitch Solutions company.
It expects headline inflation to average 8.5 per cent over FY26, up from 8 per cent previously.
It expects the central bank to remain hawkish for an extended period and only begin easing in later FY26.