The World Bank’s latest Global Economic Prospects report, released in January 2026, states that Bangladesh’s medium-term economic outlook has improved, with growth expected to strengthen steadily over the next two fiscal years. The forecast for 2025–26 has been revised upward to 4.6 percent, and for 2026–27 to 6.1 percent, reflecting stronger domestic demand, industrial activity, and investment.

According to the report, easing inflation is expected to boost private consumption, while reduced political uncertainty following the 2026 general election and anticipated structural reforms by the new government will support industrial expansion. Public spending and investment growth are also projected to accelerate faster than previously forecast, with the 2027 growth estimate raised by 0.3 percentage points compared to the June projection.

In the global context, the World Bank noted that despite trade tensions and policy uncertainty, the world economy remains more resilient than expected. However, it warned that if current trends persist, the 2020s could become the weakest decade for global growth since the 1960s.