Red-Indian
Local Club Star
- Joined
- Jan 3, 2024
- Runs
- 2,179
So this is one area where I'm pretty well informed. Bangladesh has issues but they're not structural like Pakistan or Sri Lanka's. While the current account deficit is a problem because they insist on managing their exchange rate, especially recently, they're in a pretty good position overall because their government debt is at ~35% of GDP - well below the regional and developing country averages of around ~50%. Even their external debt service hovers around 5% of forex inflows which is really solid. Their debt profile is also very neat.The lid on BD economy was blown last year when they had to run to IMF for a bailout.
Such was their economic condition that they were not able to pay for energy fuels and started closing down businesses to conserve energy.
Bangladesh goes all out just to save power: Shops, markets to be shut after 8 pm | World News – India TV
The notification aims at saving power and energy against the backdrop of worldwide continued price hike in power and energy price.www.indiatvnews.com
They could've borrowed from the market (Pakistan couldn't dream of it) but chose to go to the IMF to signal their seriousness and got approved easily unlike all the negotiation that had to happen for the other countries.
They're like the boy in the class who was a good student but has fallen into some bad habits recently like not turning in homework on time and the teachers are keeping an eye on him but not too worried. Pakistan in contrast is the guy sitting with his legs up on the last bench smoking a cigarette in class.