# ADB Report: Bangladesh Economy Demonstrates Resilience Amid Slowing Growth

*The Asian Development Bank (ADB) has highlighted Bangladesh's economic resilience despite moderating growth, supported by strong remittance inflows and a steady services sector.*

July 9, 2026 · Economy

## At a glance

- ADB projects Bangladesh's GDP growth at 3.7% in FY2026 and 4.5% in FY2027.
- Strong remittance inflows and steady services sector support economic resilience.
- Inflation projected at 9.0% in FY2026, easing to 8.8% in FY2027.
- Ongoing reforms crucial for sustained growth and improved business climate.
- Services sector expected to continue supporting economic activity.

The Asian Development Bank (ADB) has highlighted Bangladesh's economic resilience despite moderating growth, supported by strong remittance inflows and a steady services sector. According to the latest Asian Development Outlook (ADO) July 2026, the ADB projects Bangladesh's gross domestic product (GDP) to grow by 3.7 percent in fiscal year (FY) 2026 and 4.5 percent in FY2027.

## Economic Resilience Amid Challenges

The ADB report notes that Bangladesh's economy continues to show resilience amid a difficult global and domestic environment. Key factors supporting this resilience include robust remittance inflows and steady expansion of the services sector. Akira Matsunaga, Officer-in-Charge for ADB's Bangladesh Resident Mission, emphasized the importance of sustained reforms to strengthen macroeconomic stability, improve the investment climate, enhance financial sector governance, and address energy and infrastructure constraints.

## Projected Growth and Inflation

The ADB projects that growth in FY2026 will be underpinned by targeted credit support for priority sectors despite a tight macro-financial environment. Inflation is projected at 9.0 percent in FY2026 and is expected to ease gradually to 8.8 percent in FY2027 as economic conditions improve. The report highlights that moderate inflation, simplified business regulations, improved governance, tax administration reforms, and continued remittance incentives are expected to strengthen private consumption and investment in FY2027.

## Services Sector and Ongoing Reforms

The services sector is expected to continue supporting economic activity, while ongoing reforms are anticipated to improve the business climate and boost investor confidence over the medium term. The ADB emphasized that continued policy reforms and prudent macroeconomic management would be crucial to sustaining growth, enhancing competitiveness, and strengthening Bangladesh's resilience against external shocks.

## Why This Matters

For Bangladesh, the ADB's report underscores the importance of leveraging remittance inflows and the services sector to maintain economic stability. The projected growth rates, though moderated, indicate a path towards recovery and sustained development. The emphasis on reforms and improved governance signals a commitment to long-term economic health and resilience, which is crucial for attracting private investment and creating quality jobs.

## Sources

- BSS

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Source: https://pulsetoday.com.bd/en/economy/bangladesh-economy-resilience-adb-report