MONTHLY Bangladesh Economic Update, December 2016
The Unnayan Onneshan (UO), an independent multidisciplinary think-tank, in its monthly publication of the ‘Bangladesh Economic Update’ December 2016 reveals increased trade deficit and resultant negative current account balance coupled with negative growth in inflow of remittance is likely to exert pressure on country’s balance of payment.
Referring to the most recent data published by the central bank, the research organization shows that trade deficit increased by 12.52 percent to 2777 million USD in July-October 2016 from 2468 million USD in July-October, 2015 since export increased by 6.78 percent whereas import increased by 7.93 percent during July-October 2016.
The other three components of current account balance – services, primary income and secondary income – also exhibit declining trends, notes the think tank. The balance of services further declined from negative 865 million USD in July-October 2015 to negative 1036 million USD during the corresponding period of the current fiscal year.