BNP Government Marks Six Months With Economic Reforms

The Bangladesh Nationalist Party government completed its first six months in office on August 12, 2026, following the national election held on February 12. During this period, the administration increased foreign exchange reserves to $32.26 billion and established the Family Card program, which provides poor families with monthly payments of Tk 2,500.

To stabilize the financial sector, the government passed the Bank Resolution Act 2026 and the Deposit Insurance Act 2026. These laws grant the Bangladesh Bank enhanced authority to restructure, recapitalize, merge, or resolve troubled banks to protect small depositors. Additionally, the administration requested a deferment of the country's graduation from Least Developed Country status until November 24, 2029.

Despite these initiatives, the government faces persistent economic headwinds. Inflation dropped to 8.32 percent in July 2026 but continues to strain purchasing power. The administration also struggles with a low tax-GDP ratio below 7 percent and a banking sector burdened by non-performing loans, which totaled approximately Tk 5.57 lakh crore by the end of 2025. An energy crisis has further complicated the recovery, exacerbated by technical faults at the Moheshkhali floating LNG terminal.