Suryaa Business Desk: Bangladesh's trade deficit increased by 31 percent to reach $7.48 billion during the first quarter of the current fiscal year, spanning from July to September. According to data from Bangladesh Bank, the country's economic situation has been impacted by rising international oil prices due to tensions in West Asia, which caused the fuel import bill to double.
Total imports for the first quarter were valued at $19.33 billion, marking a 15 percent increase compared to the previous year. Export earnings rose by 7 percent to $11.86 billion. The trade deficit was primarily driven by a 105 percent increase in petroleum product imports, which reached $4.2 billion. Imports of cooking oil and wheat also saw a significant rise.
Economic slowdown, inflation, and uncertainty have led to a decline in business investments. Imports of capital goods decreased by 13.6 percent, while machinery imports fell by 22.5 percent to $770 million. Although remittances have helped mitigate the deficit to some extent, economic experts have expressed concern regarding the continued pressure on foreign exchange reserves.