ADB forecasts 5% growth for Bangladesh in FY26, but US tariffs cloud outlookBangladesh’s economy is projected to grow by 5 percent in fiscal year 2025-26 (FY26), but new US tariffs on exports threaten to weigh on performance, the Asian Development Bank (ADB) has warned. But industrial growth is expected to slow after the United States imposed an additional 20 percent tariff on Bangladeshi exports in August. SLOWER GROWTH IN FY25The growth outlook follows a difficult year in FY25, when GDP expanded by 4 percent, down from 4.2 percent the year before. Quarterly data showed some improvement as the year progressed, with GDP growth rising from 2 percent year on year in the first quarter to 4.9 percent in the third, helped by stronger manufacturing. The September outlook comes after the ADB in April revised down its FY25 growth forecast to 3.9 percent, citing political instability, high inflation and weak global demand.
