Bangladesh’s banking sector is facing renewed pressure as government borrowing from banks has sharply increased midway through the 2025–26 fiscal year. According to the latest Bangladesh Bank data, the government borrowed a net Tk 45,239 crore between July and December 8, marking a 58.46% rise from the same period last year. Earlier in the fiscal year, the government had been repaying loans, but rising development spending, election-related costs, and higher subsidy and interest obligations have reversed that trend.

Sector analysts note that the initial months saw reduced borrowing due to strong revenue growth and foreign loan inflows. However, the recent acceleration in government borrowing has raised concerns about liquidity pressures in the banking system and potential crowding out of private credit. Commercial banks’ total government loan holdings rose to Tk 475,709 crore by December 8, while borrowing from the central bank reached Tk 120,435 crore.

Economists warn that continued reliance on domestic banks to finance budget deficits could limit credit availability to businesses and complicate inflation management. The government’s current borrowing pace, though below the annual target, may strain monetary stability if sustained.

A mild cold wave has persisted for more than a week in Tetulia, Panchagarh, marking the lowest temperatures in Bangladesh this winter. On Thursday, December 18, the Tetulia Weather Observatory recorded a minimum temperature of 9.5°C, with humidity at 72% and wind speeds between 8 and 10 km/h. Similar readings were observed in previous days, with temperatures hovering around 9°C each morning despite sunny conditions.

According to Jitendranath Roy, acting officer at the Tetulia Weather Observatory, the cold wave began on December 11 when the temperature dropped to 8.9°C, the season’s lowest so far. He noted that the mild cold spell is expected to continue for several more days. Local residents have reported increased morning chill and fog, while daytime temperatures have remained near 27°C.

Meteorologists suggest that such prolonged mild cold waves are typical for northern Bangladesh during December, though they can affect agriculture and daily life. Authorities have advised residents to take precautions against cold-related illnesses, especially among children and the elderly.

A newly constructed bridge in Shahjadapur Union of Brahmanbaria’s Sarail upazila has developed major cracks before its official inauguration, alarming residents who fear a potential collapse. The bridge, built at a cost of about 32.3 million taka under the 2023–24 fiscal year, was expected to transform local connectivity for nearly 20,000 people across several villages.

Locals accuse the contractor and engineering department of using substandard materials and neglecting proper supervision. Witnesses claim that less cement was used and concrete curing was skipped, leading to structural weakness. Contractor Lokman Enterprise denies wrongdoing, citing a temporary halt in work due to soil shortage. The upazila engineer, however, said the cracks are being examined but are unlikely to cause major structural failure.

Residents are demanding an impartial investigation and legal action against those responsible, fearing that decades of anticipation for improved transport infrastructure could end in disappointment. Authorities have yet to announce any formal inquiry or remedial plan.

The Shailkupa Mini Fish Hatchery in Jhenaidah, Bangladesh, has remained closed for ten years due to a persistent shortage of staff and malfunctioning equipment. Once a vital source of fish fry production since its establishment in 1982, the facility has fallen into disrepair, causing a significant shortage of fish fry in the region. Local fish farmers have urged the government to reopen the hatchery to restore supply and reduce costs.

According to the Upazila Fisheries Office, the hatchery could produce around 40 kilograms of fish spawn per season—enough for over four million fry—if operational. Farmers report that the closure has forced them to buy fry from distant districts, increasing expenses and reducing profitability. Shailkupa Fisheries Officer Imran Hossain confirmed that while the facility was renovated in 2024 through a government allocation, it remains inactive due to staffing and budget constraints.

Experts warn that without urgent action, the hatchery’s infrastructure may become permanently unusable, further undermining local aquaculture and rural livelihoods.

Bangladesh Bank Governor Ahsan H. Mansur has directed that all depositors of five recently merged banks must receive their funds by the end of December 2025. The instruction came during the first board meeting of the newly formed Sammilit Islami Bank, which combines the five institutions under a single resolution framework. Mansur emphasized completing all procedural and technical preparations to ensure timely repayment and avoid disruptions.

The meeting, chaired by Dr. Mohammad Ayub Mia, included senior government secretaries and Bangladesh Bank officials. The governor also ordered rapid integration of IT systems and the creation of a unified human resources policy to harmonize ranks, grades, and promotion structures across the merged banks. Customers will be allowed to withdraw funds using previously issued checks.

The Sammilit Islami Bank is scheduled for formal inauguration in January 2026, but depositors are expected to receive their money beforehand. The board pledged to prioritize depositor protection and maintain transparency under Bangladesh Bank’s supervision.

Saudi Arabia has announced the cancellation of work permit (Iqama) fees for expatriate workers employed in licensed industrial establishments. The decision, approved under the chairmanship of Crown Prince Mohammed bin Salman, follows recommendations from the Council of Economic and Development Affairs (CEDA). Officials said the move aims to strengthen the industrial sector and support sustainable economic diversification under Vision 2030.

Industry and Mineral Resources Minister Bandar Al-Khorayef stated that waiving the fees will reduce operational costs for factories, attract quality investments, and encourage expansion and higher production. He added that the policy will enhance Saudi industries’ global competitiveness and reduce the kingdom’s reliance on oil revenues. The initiative is also expected to accelerate the adoption of automation, artificial intelligence, and advanced manufacturing technologies.

The decision comes as Saudi Arabia remains a major source of remittances for countries such as Pakistan, which received $753 million in November 2025. Analysts view the policy as a strategic step toward a more diversified, technology-driven industrial economy.

The Trump administration has announced plans to dismantle the National Center for Atmospheric Research (NCAR), one of the world’s foremost climate research institutions based in Boulder, Colorado. Established in 1960 with federal funding, NCAR has been a cornerstone of atmospheric and climate science for decades. According to the Office of Management and Budget Director Russ Vogt, only activities deemed 'essential' will be transferred to other agencies or locations.

Vogt described NCAR as a major source of 'climate alarmism,' while U.S. media reported that the closure process will begin immediately, including the shutdown of its Mesa Laboratory. Prominent climate scientist Kevin Trenberth warned that closing the lab would cause severe damage to global scientific research, noting NCAR’s crucial role in advancing modern climate science.

The move aligns with President Donald Trump’s broader rollback of clean energy and climate policies enacted under his predecessor Joe Biden. Trump, who has repeatedly questioned climate change, recently called it 'the greatest hoax in Earth’s history' during a United Nations address.

The International Energy Agency (IEA) reported that global coal demand, which reached a record high in 2025 at 8.85 billion tonnes, is projected to decline gradually by 2030. The shift is attributed to the rapid expansion of renewable energy, nuclear power, and natural gas-based electricity generation. Despite a 0.5% increase in 2025, the IEA forecasts a steady reduction in coal consumption toward the end of the decade.

IEA Energy Markets and Security Director Keisuke Sadamori noted that the world’s reliance on coal remains strong but is beginning to weaken as clean energy alternatives gain ground. India saw a rare drop in coal use due to increased hydropower output and reduced electricity demand, while U.S. coal consumption rose following a presidential order to support domestic mining. China, the largest coal consumer, maintained stable demand but is expected to see a moderate decline by 2030.

Analysts warn that faster electricity demand growth or slower renewable integration in China could delay the global coal decline, potentially complicating climate targets.

Israel has approved a record-breaking natural gas export agreement with Egypt valued at approximately $34.67 billion. Prime Minister Benjamin Netanyahu described the deal, involving the Leviathan gas field and partners including U.S. energy giant Chevron, as the largest in Israel’s history and a historic milestone. The agreement will see Israel supply gas to Egypt over several years, expanding the countries’ energy cooperation.

The announcement comes as Israel continues its military operations in Gaza, where thousands of civilians have been killed or injured, according to the United Nations and human rights groups. Observers note the stark contrast between Israel’s expanding regional economic partnerships and the ongoing humanitarian crisis in Palestinian territories. Critics argue that while Israel promotes regional stability through energy diplomacy, its actions in Gaza undermine that goal.

Egypt’s declining gas production since 2022 has increased its reliance on Israeli imports, reshaping the regional energy landscape. Analysts suggest the deal could strengthen Israel’s role as a key energy supplier in the Eastern Mediterranean.

Bangladesh Bank has reported that the country's foreign exchange reserves increased to $32.48 billion as of December 17, 2025. The figure, however, stands at $27.82 billion when calculated under the International Monetary Fund’s BPM6 (Balance of Payments Manual 6) methodology. The announcement was made by Arif Hossain Khan, Executive Director and spokesperson of Bangladesh Bank.

The reserves had been $32.12 billion a week earlier, or $27.45 billion under the IMF standard. The difference between the two accounting methods reflects the exclusion of certain funds, such as export development and other non-liquid assets, under the BPM6 framework. The rise in reserves follows recent remittance inflows and moderate import payments, helping stabilize the country’s external balance.

Economists note that while the increase is positive, Bangladesh continues to face pressure from global commodity prices and a strong U.S. dollar. The central bank is expected to continue cautious management of reserves to maintain import coverage and meet IMF program conditions in the coming months.

Bangladesh’s Chief Adviser Dr. Muhammad Yunus announced that the interim government has undertaken continuous reforms to attract foreign direct investment (FDI), resolving a long-standing issue at the Korean Export Processing Zone in Chattogram. He expressed optimism that this move would encourage major South Korean companies to expand their investments in Bangladesh.

During a farewell meeting with South Korean Ambassador Park Young-sik at the state guesthouse Jamuna, both sides discussed deepening bilateral relations. Topics included boosting Korean investment, advancing the proposed Comprehensive Economic Partnership Agreement (CEPA), and expanding cultural and human resource cooperation. Ambassador Park conveyed condolences over the deaths of six Bangladeshi peacekeepers in Sudan and wished success for Bangladesh’s democratic transition and upcoming February 12 elections.

Park noted that Samsung plans to expand operations in Bangladesh, including mobile phone production. The next CEPA negotiation round is scheduled for February, which could grant Bangladeshi apparel duty-free access to the Korean market, currently dominated by Vietnam and Indonesia.

Toyota has officially launched direct operations in Bangladesh under the new entity Toyota Bangladesh Limited, marking a significant milestone in the country’s automotive sector. The company inaugurated its first exclusive showroom in Tejgaon, Dhaka, signaling the start of a new distribution and service model aimed at enhancing customer experience and product accessibility.

Managing Director Premmit Singh stated that Toyota Bangladesh Limited will operate in line with the global vision 'Be the Right One,' focusing on meeting the evolving demands of Bangladeshi car enthusiasts. The company plans to introduce advanced features and modern facilities while maintaining sustainable growth across changing market conditions. Singh emphasized teamwork and long-term commitment to customer satisfaction as key priorities.

Industry observers view Toyota’s direct entry as a strategic move to strengthen brand presence and streamline after-sales service in Bangladesh. The company hinted at further announcements soon, suggesting expanded investments and product offerings in the near future.

A new study by Educo Bangladesh and the Child Labor Elimination Platform (CLAP) reveals that 66.6% of child laborers in Bangladesh are working in industrial factories, followed by 44.4% in services and 38.8% in agriculture. The report, presented at a policy-sharing event in Dhaka, warns that most of these children face severe health risks and calls for stronger social protection measures to prevent child labor.

Dr. Khondaker Golam Moazzem, who presented the policy proposal, noted that around 3.5 million children are engaged in various forms of work, with about 100,000 in hazardous conditions. Despite existing laws and international commitments, informal child labor remains widespread. Government officials reaffirmed their commitment to the UN Sustainable Development Goals (SDGs) and pledged to expand social safety nets for out-of-school children.

Experts at the event emphasized the need for universal child benefits, increased education spending, and investment in rural livelihoods to reduce economic dependency on child labor. The recommendations aim to strengthen Bangladesh’s social protection framework and accelerate progress toward eliminating child labor by 2030.

After nearly two decades of delay, Dhaka North City Corporation (DNCC) has officially opened the long-awaited 60-foot link road in Mirpur for public use. The inauguration ceremony, held in Mirpur, was attended by Faiz Ahmad Tayyeb, Special Assistant to the Chief Adviser, as chief guest, and DNCC Administrator Mohammad Ejaz as chair. The project aims to directly connect the 60-foot road to Mirpur’s main thoroughfare, significantly improving traffic flow.

DNCC officials explained that the project had been stalled for 17 years due to land disputes and inter-departmental coordination issues. Through joint efforts among government agencies, the road was completed within two months. Tayyeb emphasized the symbolic importance of the road, noting that coordinated work among service agencies can still make Dhaka a livable city. The DNCC cleared illegal structures and acquired postal department land to complete the connection.

Local residents expect the new link to reduce chronic congestion between Mirpur-10 and Mirpur-2. DNCC plans further infrastructure upgrades to address long-pending urban mobility challenges.

Global oil markets saw renewed volatility after U.S. President Donald Trump announced a blockade on all authorized oil tankers entering or leaving Venezuela. The move immediately pushed crude prices higher, with Brent futures rising 1.5% to $59.79 per barrel and West Texas Intermediate climbing to $56.12. The announcement came at a time of recovering demand, amplifying concerns about supply disruptions and geopolitical uncertainty.

Traders in Asia described the price rebound as partly emotional, noting that Venezuela contributes a relatively small share to global oil supply. However, the timing of the U.S. action, coinciding with progress in Russia–Ukraine peace talks, added complexity to market sentiment. Analysts said that if sanctions on Moscow ease following a peace deal, global supply could stabilize despite the Venezuelan restrictions.

Market observers warned that while the short-term spike reflects risk sentiment, continued political maneuvering in Washington and Caracas could sustain volatility. Investors are now watching both the U.S. policy trajectory and the outcome of the Russia–Ukraine negotiations for cues on oil’s next direction.