Bangladesh’s foreign loan commitments from development partners rose sharply in the first five months of fiscal year 2025-26, increasing by 133 per cent from a year earlier, according to government data.
The Economic Relations Division (ERD) said in an updated report released on 28 December that Bangladesh signed new loan agreements or received commitments worth about $1.219 billion between July and November.
That compares with commitments of $522.68 million in the same period of the previous fiscal year.
ERD officials attributed last year’s weaker commitments to political upheaval, including the mass uprising, the fall of the government and subsequent administrative instability, which eroded confidence among development partners.
Officials said that with the overall situation improving, new loan commitments have rebounded significantly.
Foreign loan disbursements also increased during the July–November period compared with a year earlier, ERD data shows.
Development partners disbursed $1.94 billion during the five months, while Bangladesh repaid almost an equivalent amount over the same period.
Bangladesh paid $1.89 billion in principal and interest on foreign loans between July and November, nearly matching total disbursements received during the period.
