The widening deficit also indicated a sluggish trend in the economy owing to the global coronavirus pandemic. Export growth contracted by 18.16% to $30.17 billion in July-May from $36.86 billion in the same period of the previous fiscal year. However, current account deficit decreased 15.13% year-on-year to $4.37 billion in the first eleven months of the current fiscal year, as per central bank data. The trade deficit will increase alarmingly in the coming months owing to downward trend in both export and remittance, says Zahid Hussain, former lead economist of the World Bank, Bangladesh. The decreasing trend of current account deficit will not sustain in the near future, he also adds.

Source: Dhaka Tribune June 28, 2020 16:30 UTC