As part of preparations for trade dialogue with the United States, the 2025-26 budget proposes full import duty waivers on 110 items and reduced tariffs on many more. Economic Advisor Salehuddin Ahmed stated that the proposal includes withdrawing supplementary duties on 9 items and reducing them on 442 others. Exempted goods include various yarns, nuclear reactor parts, boilers, hydraulic turbines, gas turbines, milking machines, and other dairy farm equipment. The move aims to address the nearly $6 billion trade deficit with the US.

Chief Economic Adviser Dr. Salehuddin Ahmed, in his budget speech, criticized the ruling Awami League for leading the financial sector to near ruin through systemic misgovernance. He revealed that the non-performing loan (NPL) ratio surged from 10.11% in June 2023 to 20.20% by December 2024—nearly doubling in just 18 months. To restore public trust and address structural challenges, the interim government has initiated key reforms, including the drafting of the Bank Resolution Ordinance 2025 and the formation of three task forces aimed at stabilizing the sector.

Governor of Bangladesh Bank, Ahsan H. Mansur, formally handed over the designs of six new currency notes to Chief Adviser Dr. Muhammad Yunus. The handover ceremony was attended by Economic Adviser Saleh Uddin Ahmed, Legal Adviser Dr. Asif Nazrul, Hill Tracts Affairs Adviser Supradip Chakma, and Local Government Adviser Asif Mahmud Sajib Bhuiyan.

In the proposed national budget for FY 2025–26, the Chief Economic Adviser has recommended increasing duties and VAT on a range of consumer goods, including mobile phones, washing machines, LPG cylinders, and cosmetics such as lipsticks. The VAT exemption benefits for manufacturing items like washing machines, microwave ovens, blenders, juicers, irons, rice cookers, and pressure cookers have been partially reduced. VAT on plastic household items has been doubled to 15%, although environment-friendly alternatives remain exempt. The VAT exemption period for locally produced LPG cylinders has been extended, but the exemption itself has been slightly reduced. Import valuation for cosmetics used on the lips, eyes, and face has been significantly increased, potentially raising their market prices.

Economic Adviser Saleh Uddin Ahmed stated that a marginal increase in VAT on biscuits is unlikely to significantly affect the poor, though he did not justify the hike as entirely reasonable. “Bread affects everyone equally—rich and poor alike,” he said, adding that efforts are being made to keep the VAT on essential items like bread, biscuits, and cakes within tolerable limits. He also noted that the government has imported essential food items like wheat, chickpeas, soybean, and lentils to ensure food security. “When we took office, food reserves were nearly depleted. We are working to bring them to satisfactory levels,” he added. He acknowledged price fluctuations in the global market, including rising fertilizer costs and mixed trends in rice and soybean prices, calling it a significant challenge.

In his budget speech, Economic Adviser Saleh Uddin Ahmed announced that the government has decided not to increase electricity prices for now, in light of ongoing high inflation. He stated that a long-term plan is underway to reduce subsidies in the power sector by lowering overall production costs. Measures include reviewing power purchase agreements and conducting energy audits. He also revealed plans to supply 648 million cubic feet of gas from domestic sources this year, with an additional 1,500 million cubic feet expected by 2028.

The Advisory Council, chaired by Chief Adviser Dr. Yunus, has approved a budget of Tk 7,89,999 crore (7.89 trillion) for the fiscal year 2025–2026. Finance Adviser Dr. Salehuddin Ahmed will record the budget speech at Bangladesh Television (BTV). The pre-recorded speech will be broadcast today at 3 PM on BTV and Bangladesh Betar.

During her visit to Dhaka, Indonesian Deputy Foreign Minister Armanatha Christiawan Nasir emphasized the importance of strengthening trade and institutional cooperation between the two countries. “We are here to plant the seeds of future collaboration,” she said. “Let us transform Bangladeshi and Indonesian brands into regional and innovative forces—across sectors from textiles to tech, agriculture to green energy.” She added, “Business is built on trust, networks, and human connections—not just contracts.”

Chowdhury Ashiq Mahmood, Chairman of the Bangladesh Investment Development Authority (BIDA), has expressed optimism over investment prospects as a large delegation of Chinese business leaders is currently visiting Bangladesh. This initiative coincides with the government’s ongoing work to establish a dedicated Chinese Economic Zone in the country.
The Chinese delegation, led by Commerce Minister Wang Wentao, arrived in Dhaka on Saturday for a three-day visit, comprising nearly 250 investors and entrepreneurs from 143 companies. Mahmood noted that the recent Investment and Trade Conference saw robust participation from both Chinese and Bangladeshi investors.
He also confirmed that BEZA has signed a bilateral Memorandum of Understanding with China for cooperation in the power sector, and another MoU has been signed for an agriculture-based project in Chandpur.

At the opening session of the China-Bangladesh Investment and Trade Conference, Chief Adviser Dr. Muhammad Yunus invited Chinese investors to help transform Bangladesh into a manufacturing hub. Highlighting opportunities in textiles, pharmaceuticals, agri-processing, IT, jute, and fisheries, he said the partnership could mark a transformative chapter in bilateral relations. “Chinese investment has transformed economies across Southeast Asia. We hope Bangladesh will be next,” he added, outlining ongoing reforms and investment incentives.

Recalling the golden heritage of jute, Chief Adviser Dr. Muhammad Yunus has stressed the importance of reviving Bangladesh's jute sector to boost the national economy. Speaking at the China-Bangladesh Investment and Trade Conference, he called jute an emotional and strategic asset for the country. He emphasized that Bangladesh, rich in natural fibers, must leverage the eco-friendly properties of jute, which remains underutilized globally.

Bangladesh and China signed two Memorandums of Understanding (MoUs) on Saturday to strengthen bilateral trade and cooperation in commerce. The agreements were signed by Bangladesh’s Trade Adviser Sheikh Bashir Uddin and Chinese Commerce Minister Wang Wentao. During the bilateral talks, Bangladesh requested assistance from China in using drone technology for agricultural development. The Chinese minister expressed willingness to support this initiative. Adviser Bashir Uddin also called for increased Chinese investment in Bangladesh.

The interim government has formed a five-member committee led by Finance Adviser Dr. Salehuddin Ahmed to increase foreign direct investment (FDI) through incentive measures. Members include Bangladesh Bank Governor Dr. Ahsan H. Mansur, NBR Chairman Md. Abdur Rahman Khan, Finance Division Secretary Dr. Md. Khairuzzaman Mozumder, and BIDA Executive Chairman Chowdhury Ashiq Mahmud Bin Harun, who will serve as the committee’s member secretary.

Former U.S. President Donald Trump has announced that the existing 25% tariff on imported steel and aluminum will be doubled to 50%, effective Wednesday.
Trump stated that this measure will revive the domestic steel industry, enhance national self-reliance, and reduce dependence on China.
Speaking at a rally, he said, “There will be no layoffs, no outsourcing—and every American steelworker will soon receive a $5,000 bonus.”
He further revealed a $14 billion investment in steel production in the Pittsburgh region through a joint venture between U.S. Steel and Japan’s Nippon Steel.

India's economic growth has declined to its lowest rate in four years, sparking concerns about further downturns due to US tariff policies. According to the BBC, the country recorded a 6.5% GDP growth in the 2024–25 fiscal year (April–March), compared to 9.2% in 2023–24.

Analysts predict the GDP growth could dip further to 6% in 2025–26. Despite plans by companies like Apple to shift production from China to India, the recent withdrawal of trade tariffs between the US and China may stall such investments.