DHAKA, April 19: A Bangladesh government adviser has warned that International Monetary Fund (IMF) loan conditions are limiting the country’s economic flexibility and could weaken growth while increasing inflation, according to a report.
Adviser Rashed Al Mahmud Titumir said strict IMF-linked reforms, including higher tax-to-GDP targets under weak economic conditions, could push growth below 3% and intensify pressure on households and businesses. He cautioned that policies not tailored to local realities may worsen inflation, particularly affecting farmers and low-income groups.
Titumir also criticised global institutions for promoting subsidy cuts despite acknowledging rising poverty levels. He argued that Bangladesh’s reliance on IMF support stems from earlier policy choices and stressed the need for more context-specific solutions, stronger private investment, improved use of domestic funds, and better coordination between fiscal and monetary policies to stabilise the economy. (IANS)
