IMF Meets Newly Elected Government, Sixth Loan Installment May Be Deferred

Papageorgiou said, “It is reasonable to give the newly elected government an opportunity to provide opinions on the program and necessary measures. A high-level mission may visit in April or May for a joint review and final decision.”

Under the ongoing program, the IMF has already disbursed $3.64 billion to Bangladesh in five installments. $1.86 billion remains, and the sixth installment, scheduled for December, may be deferred.

The IMF has highlighted revenue collection as a national priority. Without increased revenue, the government cannot invest in essential infrastructure and social protection, making economic stability difficult. Revenue collection in Bangladesh is low relative to GDP, and many individuals and organizations are not paying taxes properly.

The IMF emphasized not only policies and planning but also implementation. Papageorgiou said, “Rather than small or partial reforms, bold, effective, and easily enforceable reforms are needed.” He added that international partners support Bangladesh, but long-term self-reliance depends on increasing domestic resource mobilization.

Regarding the economic sector, he warned that sustained efforts are needed to address weaknesses in the banking system. Recovery of non-performing loans and transparency in bank management are crucial. Monetary policy should remain strict, and interest rates should not be reduced unnecessarily.

The IMF considers social protection not only for poverty reduction but also as a tool for social stability and human dignity. Continuity in policy after the new government takes office will help Bangladesh continue its development trajectory.

The press conference also noted that the IMF has met with government departments as well as some political parties, including BNP and Jamaat-e-Islami, to ensure policy continuity and coordination with the new government.