China has introduced a value-added tax (VAT) on condoms and other contraceptives for the first time in three decades, as part of a broader effort to modernize its tax system and address the country’s persistently low birth rate. The new VAT law, passed in 2024, ends a long-standing exemption dating back to 1993. At the same time, Beijing has launched a national childcare subsidy program worth 90 billion yuan ($12.7 billion) and expanded maternity coverage under the national health insurance scheme.

The policy shift comes as China’s birth rate stood at just 6.77 per 1,000 people in 2024, despite incentives such as cash bonuses, IVF discounts, and extended paid leave for new couples. Social media users have mocked the condom tax, calling it a desperate attempt to boost fertility. Experts argue the measure is largely symbolic and unlikely to influence reproductive decisions, though it signals the government’s preference for pro-natalist behavior.

Sociologists warn that restricting access to contraception could disproportionately affect women, particularly those from disadvantaged backgrounds, while raising concerns about intrusive local monitoring of women’s reproductive cycles.

Saudi Arabia has announced the abolition of expatriate worker fees (Iqama) for employees in licensed industrial establishments, a move approved by the Council of Ministers chaired by Crown Prince and Prime Minister Mohammed bin Salman. The decision, based on recommendations from the Council of Economic and Development Affairs (CEDA), aims to strengthen national factories, ensure sustainability, and enhance global competitiveness under the Vision 2030 diversification plan.

Industry and Mineral Resources Minister Bandar Al-Khorayef said the measure will reduce operational costs, facilitate production expansion, and accelerate the adoption of automation, artificial intelligence, and advanced manufacturing technologies. Between 2019 and 2024, Saudi Arabia’s industrial sector saw factories rise from 8,822 to over 12,000, investments grow 35% to 1.22 trillion riyals, and employment increase 74% to 847,000 workers.

Officials expect the policy to further energize the sector and attract international investment. The government aims to triple industrial GDP to 895 billion riyals by 2035, reinforcing Saudi Arabia’s position as a regional manufacturing hub.

Bangladesh Bank Governor Ahsan H. Mansur stated that bank owners alone cannot be blamed for institutional collapse, emphasizing that officials also share responsibility. Speaking at an Economic Reporters Forum discussion in Dhaka, he outlined ongoing reforms, including plans to merge five banks to strengthen the sector. Mansur assured depositors that their funds remain safe under deposit insurance coverage and projected foreign reserves to reach $34–35 billion by fiscal year-end without borrowing from international lenders.

The governor acknowledged persistent challenges such as capital shortfalls and a non-performing loan (NPL) rate now estimated at 36%. He pledged transparency in disclosing accurate financial data. Mutual Trust Bank’s CEO Syed Mahbubur Rahman noted that commercial banks had been forced into long-term investments due to a weak capital market, while CPD’s Executive Director Fahmida Khatun warned that political interference and poor governance had eroded the sector’s integrity.

Experts urged continued implementation of the Bank Resolution Act and full autonomy for Bangladesh Bank to restore confidence and ensure sustainable recovery ahead of the upcoming national elections.

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.

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.

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.

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.

Bangladesh’s Chief Adviser, Professor Dr. Muhammad Yunus, has identified brokers as the main obstacle to the country’s overseas manpower exports. Speaking at the Osmani Memorial Auditorium on the occasion of International Migrants Day and National Expatriates Day 2025, he urged authorities to protect migrant workers from exploitation and to free the sector from middlemen. According to Yunus, the entire labor export process is dominated by brokers who deceive workers and hinder progress.

Dr. Yunus emphasized that Bangladesh’s youthful population is a valuable resource in a world facing labor shortages. Citing his recent visit to Japan, he noted that Japan needs workers and that Bangladesh could supply up to 100,000 if language training is ensured. He expressed surprise that Japan recruited 7,000 workers from Nepal but only 2,000 from Bangladesh.

He added that many Japanese cities face severe labor shortages, with idle farmland and halted taxi services. Yunus urged reforms to ensure transparent recruitment, enabling Bangladesh to capitalize on its demographic advantage and expand its global labor footprint.

Bangladesh Bank’s latest report reveals that as of September 2025, nearly 91% of all defaulted loans in the banking sector have become unrecoverable, posing a severe threat to the country’s financial stability. The total volume of defaulted loans reached BDT 6.44 trillion, with BDT 5.85 trillion classified as bad or loss category. This marks a sharp rise from the previous year, when unrecoverable loans accounted for about 82% of total defaults.

Sector insiders attribute the surge to large business groups that borrowed heavily during the previous Awami League government and allegedly siphoned funds abroad. Following political changes, many borrowers fled the country, further reducing recovery prospects. State-owned banks hold the largest share of bad loans, with Janata Bank alone reporting BDT 695.86 billion in unrecoverable debt. Private banks, including Islami Bank Bangladesh and First Security Islami Bank, also face mounting pressure.

Experts warn that the growing volume of bad loans will erode banks’ lending capacity and profitability, as they must maintain full provisioning against such debts. Bangladesh Bank has identified 24 commercial banks failing to meet required provisions, signaling deep structural stress in the sector.