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Bangladesh’s domestic debt increased by more than Tk 1.13 trillion during the 14 months of the interim government, according to data from Bangladesh Bank. The total domestic debt stood at Tk 9.24 trillion in July 2024, when the Awami League government was in power, and rose to Tk 10.36 trillion by the end of October 2025. This growth indicates continued borrowing from domestic sources, creating additional pressure on revenue management.

Bangladesh Bank data show that the government borrowed Tk 5.49 trillion from banks and Tk 4.88 trillion from non-bank sources, reflecting a strong reliance on domestic financial institutions. The upward trend in borrowing had already been visible earlier, with domestic debt increasing by about 10 percent year-on-year as of October 2024.

The report suggests that while new borrowing from banks may be slowing, the overall rise in domestic debt continues to strain fiscal stability and highlights the government’s dependence on internal financing channels.

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