INSUBCONTINENT EXCLUSIVE:
Nobel Peace Prize winner Muhammad Yunus, now interim leader, took charge amid deep unrest and economic distress.His administration must
government faces persistent inflation, with official data showing annual rates above 9% in early 2025
cautious estimate of 3.3% for the same period
Foreign direct investment fell sharply, with net inflows of $300 million in September 2024, down from $949 million the previous
quarter.These figures reflect declining investor confidence and a riskier business climate
Fix the Economy and Restore Trust?
assets to fund education, health, and youth entrepreneurship, but he acknowledges the process will take time
Yunus seeks to negotiate tariff reductions by offering to buy U.S
India blocked Bangladeshi exports through Kolkata after Bangladesh restricted yarn imports.Yunus downplays the dispute, noting that
Bangladesh found alternative export routes and increased use of its own ports
China and Japan have become more important partners.China supplies most industrial equipment and has invested in infrastructure
Yunus asked President Xi Jinping to consider lowering loan rates
Japan is helping build a deep-water port, aiming to turn southern Bangladesh into a regional trade hub.Yunus also wants to send more
Bangladeshi workers to Japan, addressing labor shortages there
Political uncertainty remains high
Yunus insists that electoral and governance reforms must precede elections, which he says will occur between December 2025 and June
2026.Opposition parties want a firmer date, while some fear the return of authoritarianism if reforms stall
The interim government lifted a ban on the Islamist Jamaat-e-Islami party and released some leaders, sparking concerns about political
stability and minority safety.Bangladesh stands at a crossroads
The next year will test whether reforms can restore trust and unlock economic potential, or if instability will deepen
