Bangladesh suffers 27bn trade deficit in 10 months of current FY

The country witnessed a mammoth $ 27.56 billion trade deficit in 10 months of the current fiscal year because of an increase in import demand following easing of Covid-19 pandemic, reports UNB.

The amount is more than 12 times higher than the sum registered in the previous fiscal year.

The information was divulged through a central bank statement on Thursday. Bangladesh Bank released the ‘the current account balance’ after clearing foreign transactions. In the last FY 21, the trade deficit was $2.28 billion.

The BB data shows that during July -April of the current financial year, the exports increased by 34.56 per cent. On the other hand, imports grew by 41.42 per cent during the same period.

In these 10 months, the country has earned $41.10 billion from exports while it spent $ 68.67 billion on imports.

Dr Salehuddin Ahmed, former governor of BB told UNB that the gap has widened as imports are increasing while exports and remittances are decreasing.

“If we want to reduce the deficit, we have to increase exports and remittances. Besides, luxury and unnecessary imports have to be reduced,” he added.

 He also urged increased vigilance on imported goods and containers to ensure that the goods against import LCs are really entering in the country.