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Bangladesh’s foreign loan disbursement declines again in July
Foreign loan disbursements to Bangladesh have dropped sharply in July, the first month of the 2025-26 fiscal year, extending a decline that began amid last year’s quota reform unrest and economic slowdown. According to data released by the Economic Relations Division (ERD) on Thursday, only $208.3 million came in during July, down 43.5 percent from $358.3 million received in the same month a year earlier. In July 2024, disbursements had already fallen 11.5 percent year-on-year amid the unrest. Repayments, however, far outpaced fresh inflows. Bangladesh paid over $446.6 million in July, including $327.7 million in principal and $118.9 million in interest. This was up from $385.6 million repaid in July 2024, marking a 16 percent increase in debt servicing costs...
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