The interim government succeeded in preventing a deeper economic and geopolitical slide during a highly volatile period, but failed to translate that stability into meaningful institutional reform, transparency, and inclusive governance, said speakers at a policy dialogue on Saturday.

Economic analyst Mamun Rashid argued that although the interim government inherited an economy on the brink, particularly after the July 2024 uprising, its most visible achievement was halting further deterioration rather than delivering a decisive turnaround.

“The fall was stopped, not reversed,” said former banker Mamun Rashid at a virtual discussion titled “Interim Balance Sheet”, organised by the Power and Participation Research Centre (PPRC).

The economy in early 2024 was “going nowhere”, with macroeconomic indicators under severe stress. The period following the political transition marked a shift from decline to stabilisation, particularly in foreign exchange reserves, remittance inflows, and banking discipline.

Reforms in the banking sector, such as reconstituting bank boards and initiating forensic audits, particularly in troubled Islamic banks, were the most visible actions of the interim government.

Anwar-Ul-Alam Chowdhury (Parvez), president of the Bangladesh Chamber of Industries, alleged that advisers relied excessively on bureaucrats, often without understanding the real-world impact of policy decisions
Still, these measures largely reflected “business-as-usual” governance rather than a deeper transformation.

“We did not see the kind of modernisation in economic management that many expected after the movement,” he said, adding that conflicts of interest, bureaucratic dominance, and informal influence networks remained largely intact.

Private sector credit growth had slowed to 6.1 percent, while implementation of the annual development programme stood at just 17.28 percent in six months, said Anwar-Ul-Alam Chowdhury (Parvez), president of the Bangladesh Chamber of Industries.

He alleged that advisers relied excessively on bureaucrats, often without understanding the real-world impact of policy decisions.

“They thought they knew everything,” he said, adding that access to decision-makers was limited and engagement with businesses remained weak.

Public expectations after August 2024 were that social polarisation would decline and that a culture of open debate would emerge, said Rounaq Jahan, a political scientist.

“That did not happen,” she said.

While people are now speaking more openly, they are increasingly being labelled or targeted, creating a climate of fear.

She cited attacks on cultural and media institutions such as Prothom Alo, The Daily Star, Udichi, and Chhayanaut as examples of shrinking civic safety.

Jahan criticised the interim government for attempting too many ambitious reforms without sufficient consensus, particularly constitutional changes, while neglecting electoral preparation.

“Given the history of controversial elections, ensuring a credible next election should have been the priority,” she said.

The interim period coincided with rising regional and global instability, including uncertainties over water sharing with India and trade disruptions under the Trump administration in the US, said M Humayun Kabir, president of the Bangladesh Enterprise Institute.

While political parties mentioned geopolitics in their manifestos, concrete strategies were lacking.

Kabir welcomed Bangladesh’s economic partnership agreement with Japan, calling it a “bold step”, but criticised the interim government for failing to build strong institutional coordination across the foreign affairs and commerce ministries.

The interim government managed two critical challenges: halting macroeconomic decline and navigating a sensitive geopolitical environment, said Hossain Zillur Rahman, executive chairman of PPRC, who moderated the dialogue.

However, he warned that stability without transparency and social accountability could not deliver lasting change.

“The bureaucracy has further strengthened its grip on society, reflecting a continuation of colonial mindsets,” he said.

Rahman stressed that elections alone would not resolve systemic problems but could serve as a catalyst for rebuilding political dialogue and trust between parties and citizens.

The Dhaka Stock Exchange (DSE) has approved the transfer of 30 lakh shares of Genex Infosys PLC held by its director Nilofar Imam to City Bank PLC, according to a disclosure issued by the bourse.

The transfer will be executed outside the trading system of the exchange and is scheduled to be completed within the next 30 working days, effective from 3 February.

The share transfer will take place under Regulation 47(1)(d) of the Dhaka Stock Exchange (Listing) Regulations, 2015, which allows certain transactions to be conducted outside the trading platform. The provision permits off-market transfers in specific circumstances, including cases related to confiscation or loan default, subject to compliance with applicable laws and regulatory approval.

Genex Infosys' share price edged down slightly following the announcement. Today, the company's shares closed 0.38% lower at Tk26.20 on the DSE.

This is not the first instance of sponsor-level share transfers involving Genex Infosys in recent weeks. Earlier, on 18 January, another director of the company, Chowdhury Fazle Imam, transferred 8.07 lakh shares, while a corporate director Oracle Services Limited transferred 9.92 lakh shares to Dhaka Bank, also under the same regulatory provision.

Meanwhile, Genex Infosys' financial performance showed mixed trends in the first half of the ongoing fiscal year. For the July–December period of FY26, the company's consolidated revenue declined by 6% year-on-year to Tk96.96 crore.

However, its consolidated net profit rose by 16% to Tk17.59 crore, supported by improved cost management and operational efficiency. As a result, consolidated earnings per share stood at Tk1.46 at the end of the first half of the fiscal year.

According to the latest shareholding structure, sponsors and directors collectively hold 30.05% of Genex Infosys' shares, while institutional investors own 18.71%. Foreign investors account for 0.09%, and the remaining 51.15% shares are held by general public investors.

Earlier, the company recommended a 1% cash dividend for the fiscal year 2024–25, payable only to general shareholders, excluding sponsors and directors.

India's Prime Minister Narendra Modi and his Malaysian counterpart Anwar Ibrahim renewed pledges on Sunday to bolster trade and explore potential collaborations in semiconductors, defence and other fields.

Modi is on a two-day visit to the Southeast Asian nation, his first since the two countries elevated ties to a comprehensive strategic partnership in August 2024.

Anwar said the partnership included deep collaborations in multiple fields, including trade and investments, food security, defence, healthcare and tourism.

"It's really comprehensive, and we believe that we can advance this and execute in a speedy manner with the commitment of our both governments," he told a press conference after hosting Modi at his official residence in the administrative capital Putrajaya.

Following their meeting, Anwar and Modi also witnessed the exchange of 11 cooperation agreements, including on semiconductors, disaster management and peacekeeping.

Anwar said India and Malaysia would continue efforts to promote the use of local-currency settlement for cross-border activities and expressed hope that bilateral trade would surpass last year's $18.6 billion.

Malaysia will also support India's efforts to open a consulate in Malaysia's Sabah state on Borneo island, Anwar said.

The Bangladesh Competition Commission (BCC) has fined S Alam Super Edible Oil Ltd Tk 42.84 crore for artificially inflating cooking oil prices by restricting supply and colluding with dealers and rivals to manipulate the market in 2022.

Following demands from businesspeople, the government raised edible oil prices by Tk 38 per litre on May 5, 2022. Yet supply remained tight, leaving consumers struggling.

The BCC later launched an investigation into the import, production and pricing of cooking oil during that period, and filed charges against the company later that month.

In its final order, issued last Tuesday, the commission found that S Alam Super Edible Oil Company had violated the Competition Act of 2012 by restricting output and conspiring with distributors and other firms to control the market, reads a press statement.

It violated Section 15’s sub-section 1 and sub-section 2’s clauses a(i) and b of the law, which prohibit agreements that harm competition or create monopolies and oligopolies, particularly those that fix abnormal prices or limit production and supply.

Afroza Bilkis, a member of the BCC, told The Daily Star that S Alam Super Edible Oil Ltd must pay the fine within 30 days of receiving the full judgment.

If the company disagrees with the ruling, it can file a review with the commission or appeal to the Secretary of the ministry concerned within the same timeframe.

Bilkis added that failure to pay, review, or appeal would be considered a violation of the order, allowing the commission to initiate legal action, including criminal proceedings, against the company.

The company is owned by Mohammed Saiful Alam, who is accused of laundering thousands of crores of taka in loans from banks under his control during the 15 years of the Awami League-led regime.

The Daily Star attempted to contact S Alam Group’s Kazi Salahuddin Ahmed, senior general manager, and Subrata Kumar Bhowmick, executive director for finance, for comments on the matter. However, they did not respond by the time of filing this report, as of 6:30 pm.

Workers and employees at Chattogram Port have suspended their indefinite strike over the proposed New Mooring Container Terminal deal with DP World until 15 February, considering the upcoming general election and the need to keep goods moving ahead of Ramadan.

The announcement came in a press release issued early today (9 February) by the Chattogram Bandar Rokkha Sangram Parishad, which has been spearheading protests for the past nine days.

The group said Shipping Adviser Brig Gen (retd) M Sakhawat Hussain and Bida Chairman Chowdhury Ashik Mahmud Bin Harun had earlier told journalists that the interim government would not sign the NCT agreement during its tenure.

Despite the assurance, the platform alleged that the Chittagong Port Authority had taken a series of punitive actions against protesting workers. These included the arrest of five port employees, the filing of what it described as harassment cases, the transfer of 15 employees to different ports across the country and the imposition of various disciplinary measures.

It added that housing allocations of protesting workers had been cancelled and that 16 employees had been suspended, along with other penalties.

"In the interest of the 13th national election in 2026 and to ensure uninterrupted release of essential goods ahead of Ramadan, and following discussions with our leaders, we have decided to suspend the strike programme from 8am on 9 February to 15 February," the press release said.

The workers warned that failure to address their concerns within this period would prompt fresh programmes, to be announced at a press conference on 16 February.

The statement was signed by Mohammad Humayun Kabir and Mohammad Ibrahim Khokon, coordinators of the council.

It began its work abstention programme at 8am on 31 January, initially observing an eight-hour stoppage from 8am to 4pm for three days.

From last Tuesday (3 February), the protest escalated into an indefinite work stoppage, which was briefly suspended for two days following a visit by the shipping adviser on Thursday.

Despite the pause, the council alleged that further administrative actions by the CPA had reignited tensions, prompting workers to resume an indefinite strike yesterday morning.

The renewed stoppage disrupted operations at port terminals and the outer anchorage.

Indian refiners are avoiding Russian oil purchases for delivery in April and are expected to stay away from such trades for longer, refining and trade sources said, a move that could help New Delhi seal a trade pact with Washington.

The US and India moved closer to a trade pact on Friday, announcing a framework for a deal they hope to conclude by March that would lower tariffs and deepen economic cooperation.

Indian Oil, Bharat Petroleum and Reliance Industries are not accepting offers from traders for Russian oil loading in March and April, said a trader who approached the refiners.

These refiners, however, had already scheduled some deliveries of Russian oil in March, refining sources said. Most other refiners have stopped buying Russian crude.

TRUMP SAYS INDIA 'COMMITTED' TO HALTING PURCHASES

The three refiners and the oil ministry did not respond to requests for comment. The trade minister on Saturday referred questions about Russian oil to the foreign ministry.

A foreign ministry spokesperson said: "Diversifying our energy sourcing in keeping with objective market conditions and evolving international dynamics is at the core of our strategy" to ensure energy security for the world's most-populous nation.

Although a US-India statement on the trade framework did not mention Russian oil, President Donald Trump rescinded his 25 percent tariffs on Indian goods, imposed over Russian oil purchases, because, he said, New Delhi had "committed to stop directly or indirectly" importing Russian oil.

New Delhi has not announced plans to halt Russian oil imports.
India became the top buyer of discounted Russian seaborne crude after Russia invaded Ukraine in 2022, spurring a backlash from Western nations that had targeted Russia's energy sector with sanctions aimed at curtailing Moscow's revenue and making it harder to fund the war.

INDIA'S RUSSIAN-OIL IMPORTS A FRACTION OF 2025 LEVELS

One regular Indian buyer is Russia-backed private refiner Nayara, which relies solely on Russian oil for its 400,000-barrel-per-day refinery. Sources said Nayara may be allowed to keep buying Russian oil because other crude sellers pulled back after the European Union sanctioned the refiner in July.

Nayara also does not plan to import Russian crude in April due to a month-long refinery maintenance shutdown, a source familiar with its operations said.

Nayara did not respond to an email seeking comment.

Indian refiners may change their plan and place orders for Russian oil only if advised by the government, sources said.

Trump's order said US officials would monitor and recommend reinstating the tariffs if India resumed oil procurement from Russia.

Sources said last month that India was preparing to cut Russian oil imports below 1 million bpd by March, with volumes eventually falling to 500,000–600,000 bpd, compared with an average 1.7 million bpd last year. India's Russian oil imports topped 2 million bpd in mid-2025.

The intake of Russian oil by India, the world's third-biggest oil consumer and importer, declined to its lowest level in two years in December, data from trade and industry sources show.

Indian refiners have been buying more oil from Middle Eastern, African and South American countries as they scale back Russian oil purchases.

Stocks opened the week in negative territory as investors opted to book profits following recent gains, pushing the benchmark index of the Dhaka Stock Exchange (DSE) slightly lower amid a cautious trading mood.

The DSEX, the broad index of the prime bourse, edged down by 0.10% to close at 5,229 points, while the blue-chip DS30 index slipped 0.17% to finish at 1,998 points today (8 February).

Market breadth reflected a lack of clear direction, with 162 issues advancing, an equal number declining, and 69 remaining unchanged.

Turnover dropped sharply by 19% from the previous session to Tk478 crore, indicating reduced participation as investors stayed on the sidelines in the absence of fresh catalysts. Market participants appeared reluctant to take aggressive positions after the recent upward trend, choosing instead to reassess valuations.

EBL Securities, in its daily market review, said the benchmark index started the week on a flat note as investors took advantage of the recent price appreciation to realise profits, triggering sustained selling pressure in several large-cap and blue-chip stocks. It noted that investors remained watchful over further political clarity ahead of the upcoming national election, which continued to influence short-term sentiment.

Sector-wise, pharmaceutical stocks dominated turnover, accounting for 14.7% of total trading value, followed closely by textile and banking sectors, each contributing 13.6%. Asiatic Laboratories, Simtex Industries, Kay and Que, Islami Bank and Monno Fabrics emerged as the most actively traded stocks of the day.

Most sectors ended the session in the red, with engineering and jute stocks posting the steepest declines of 1% each, while the tannery sector lost 0.7%. The negative sectoral performance underscored the impact of profit-taking across a wide range of scrips.

Interestingly, the top gainers' list was dominated by risky and loss-making financial institutions, as speculative interest pushed up prices of Fareast Finance, International Leasing, Peoples Leasing and FAS Finance, each posting double-digit gains. Associated Oxygen also featured among the gainers.

On the losing side, DBH First Mutual Fund suffered the sharpest decline, followed by Meghna Condensed Milk, Meghna PET, Reliance Insurance Mutual Fund and Prime Bank First ICB AMCL Mutual Fund, as investors offloaded positions in these issues.

The Chittagong Stock Exchange also mirrored the weak sentiment. Its selective categories index CSCX fell by 43 points to 9,078, while the all-share index CASPI dropped 48 points to close at 14,683. Turnover on the port city bourse stood at Tk6.33 crore.

Bangladesh Bank is set to announce its latest monetary policy today, with the policy repo rate expected to remain unchanged at 10% as inflation continues to stay well above the central bank's target.

The policy will be unveiled at 11am by Bangladesh Bank Governor Ahsan H Mansur and will cover the six-month period from January to June.

This will be the interim government's third monetary policy announcement, and officials indicate that the central bank will continue with a contractionary stance to rein in persistent inflationary pressures.

Inflation rose for the third consecutive month in January, reaching its highest level in eight months. According to data released by the Bangladesh Bureau of Statistics yesterday, the overall inflation rate climbed to 8.58% in January, up from 8.49% in December, 8.29% in November and 8.17% in September.

The policy repo rate – the rate at which Bangladesh Bank lends to commercial banks – is expected to be kept unchanged as inflation has yet to fall to the targeted 6.5% set for FY26 under the previous monetary policy.

A senior Bangladesh Bank official said the primary objective of the central bank remains controlling inflation, which is why the upcoming monetary policy will continue to be contractionary.

Another senior official told The Business Standard that businesses have been pressuring the central bank to reduce the policy rate, arguing that high interest rates have made borrowing costly and constrained business operations.

"However, inflation remains elevated. Under the current circumstances, there is no plan to change the policy rate," the official said, adding that a rate cut could be considered in the next policy cycle if inflation shows a sustained decline.

Officials also said maintaining stability in the exchange rate will be a key focus going forward, as volatility in the dollar rate tends to push up import costs and domestic prices.

The Bangladesh Bank announces its monetary policy every six months.

After the interim government took office in August 2024, the central bank adopted a fully contractionary monetary policy and has maintained it since.

Meanwhile, credit growth in the private sector remains subdued. The target for private sector credit growth was set at 7.20% for December 2025, but actual growth stood at 6.10% at the end of December – its lowest level in two decades.

Bankers say weak investment sentiment following political changes has led businesses to scale back borrowing from banks, contributing to the slowdown in credit growth.

Bangladesh is set to sign a reciprocal tariff agreement with the United States today in Washington, aiming to address trade imbalances and secure continued access to the American market for Bangladeshi exports.

Commerce Adviser Sk Bashir Uddin and Secretary Mahbubur Rahman will participate in the signing ceremony virtually from Dhaka, while a delegation led by Khadija Naznin, additional secretary and head of the WTO wing, will represent the country in person at the US capital.

Bashir yesterday said details of the agreement would be disclosed after the signing ceremony.

The commerce adviser has already signed the document in Dhaka, which has been carried to Washington to be exchanged with the signature of US Trade Representative (USTR) Jamieson Greer.

The agreement comes in the context of the US decision to impose reciprocal tariffs on goods from several countries, including Bangladesh, in an effort to reduce its trade deficit. Since August last year, Bangladeshi exports to the US have been subject to a 20% reciprocal tariff.

Bangladesh exports goods worth about $8 billion annually to the US market, while US exports to Bangladesh amount to about $2 billion, resulting in a significant trade gap.

Officials said the agreement would include commitments by Bangladesh to increase imports from the US, particularly wheat, edible oil, fuel and cotton. The government has also decided to purchase 25 aircraft from US manufacturer Boeing as part of broader trade balancing efforts.

Speaking at a press conference at the Secretariat yesterday, the commerce adviser said the decision to procure 25 Boeing aircraft was aimed at maintaining the continuity of Bangladeshi exports to the US market.

The purchase is expected to cost between Tk30,000 crore and Tk35,000 crore, with payments to be made over 20 years.

He noted that the US had initially proposed the purchase of 47 aircraft, but the government opted for 25 for the time being. The interim administration is finalising the agreement to ease the burden on the next elected government, he added.

The adviser said further details of the reciprocal tariff agreement, including its specific terms and conditions, would be disclosed after the signing ceremony.

Referring to ongoing negotiations on tariff reductions, he said that the US had initially imposed a 37% tariff on Bangladeshi exports, which was brought down to 20% through discussions. Efforts are continuing to reduce tariffs on Bangladesh's main export item – readymade garments – to zero, he added.

Bashir observed that Bangladesh had been the only country whose draft agreement details were previously made public, a development he said had complicated earlier negotiations.

Had the details not been disclosed, he believed, it might have been possible to secure even lower tariff concessions.

Bangladesh has expressed interest in purchasing railway rolling stock, including freight wagons and passenger coaches, from Pakistan, citing competitive pricing and manufacturing capability, officials said.

A two-member Bangladeshi delegation recently visited Pakistan Railways facilities, including the carriage factory in Islamabad and the Mughalpura Workshop in Lahore, to assess production capacity and technical standards. The delegation included Farhad Islam, secretary for international organisations and consular affairs, and Mohammad Iqbal Hussain Khan, Bangladesh's high commissioner to Pakistan, says Dawn.

During the visit, Pakistan Railways officials briefed the delegation on technical capabilities, ongoing projects and manufacturing processes, including locomotive maintenance and rehabilitation. The Bangladeshi officials conveyed appreciation for Pakistan's technical expertise and professional competence, according to officials familiar with the discussions.

Bangladesh has traditionally sourced railway rolling stock from India but is now exploring Pakistan as a cost-effective alternative. Pakistan has previously exported rolling stock to Bangladesh, with deliveries dating back to the 1980s.

Pakistan Railways currently supplies coaches and freight wagons to several countries, including Sri Lanka, Nepal, Chile and Argentina, reflecting what officials describe as modern, indigenous manufacturing capabilities.

Pakistan's Railways Minister Hanif Abbasi has indicated an intention to advance bilateral cooperation in the railway sector. Officials said the next phase of engagement will involve a detailed technical evaluation by railway experts from Bangladesh.

The interim government has passed the much-talked-about reform plan to grant full autonomy to the Bangladesh Bank (BB) on to the next elected government.

Introducing sweeping amendments to a fundamental law such as the Bangladesh Bank Order during the interim government’s tenure may not be realistic, Finance Adviser Salehuddin Ahmed wrote in a reply to BB Governor Ahsan H Mansur yesterday.

“It would be more reasonable for the next elected government, after assuming office, to review and amend the Order as necessary,” he wrote in the letter.

In October last year, BB Governor Mansur sent a letter to the finance adviser requesting a legal overhaul of the 1972 Order. He sought greater autonomy for the central bank, aligning it with global standards and shielding the institution from political influence.

The proposals, backed by detailed justifications, aim to elevate the central bank leadership, restructure its board, and overhaul the appointment and removal process for top officials.

As the adviser did not respond and the interim government approached the end of its term, Mansur expressed concern over the delay at a public event last month. He said that passing the laws after the election would be difficult.

Days later, the International Monetary Fund (IMF) issued a statement quoting the government as reiterating its commitment to legal, institutional, and operational reforms for BB, while noting that key policy decisions would fall to the next elected administration.

In his letter to the governor, Ahmed, who is also a former central bank governor, took a cautious tone, saying that the Bangladesh Bank Order is a fundamental law governing the country’s central banking system. Any amendment requires careful consideration of the rationale behind the proposed changes.

“Therefore, it would be appropriate to conduct a detailed review of the proposed amendments and to hold consultations and discussions with key stakeholders and experts,” he wrote.

The finance adviser said the proposed amendments appear to require additional measures, including expanding the role and effectiveness of the existing coordination council and strengthening accountability frameworks to ensure good governance in banks and non-bank financial institutions.

“I have taken note of various aspects of the proposed amendments put forward by Bangladesh Bank, particularly issues relating to the appointment and removal of top officials, upgrading the governor’s status to that of a minister, restructuring the board, and the independence to create financial liabilities on behalf of the republic,” Ahmed added.

He said that under the existing law, BB already enjoys operational and functional independence, with no government interference in policy formulation or operations.

Amending the Bangladesh Bank Order topped the reform agenda that the interim government had pledged following the July uprising in 2024.

The IMF has long advocated greater autonomy for the central bank and provided technical support in drafting the amendments under its $5.5 billion loan programme.

The interim government informed the IMF about the delay. The Fund said that postponing banking and fiscal reforms could weaken growth, push up inflation, and heighten macro-financial risks.

Zahid Hussain, former lead economist at the World Bank’s Dhaka office, said the delay is “hard to explain” given the preparation of the drafts.

“This is not a new file,” he told The Daily Star.

Hussain said the drafts were developed after extensive discussions, including coordination committee meetings with the finance ministry, BB, and other stakeholders. The reforms were outlined in IMF mission reports and incorporated into the government’s Letter of Economic and Financial Policies, signed by both the finance minister and the BB governor.

“After that process, the role of the finance ministry is straightforward. It should review the draft, clear it, or clearly explain why it cannot be cleared,” Hussain said.

Leaving the file idle for months raises questions, he added.

The economist said the delay shows resistance linked to authority rather than technical disagreements. “One key element of the reform is reducing the representation of the finance ministry on the Bangladesh Bank board. From that perspective, the issue is control,” he said.

Hussain added that central bank independence should not be defined narrowly. “It is not only about fiscal dominance. It also involves bureaucratic dominance and influence from business lobbies.”

According to the economist, passing the reform laws now would clarify where institutions and political actors stand, rather than deferring responsibility to the next government.

Just seven new petrol-powered cars were sold in Norway last month, according to official data, underlining the country's rapid shift away from fossil-fuel vehicles, reports The Guardian.

Figures from the Norwegian Road Traffic Information Council (OFV) show that registrations of new fossil-fuel cars fell to a record low in January.

Alongside the seven petrol cars, only 29 hybrids and 98 diesel vehicles were registered, while more than 2,000 battery electric vehicles (BEVs) were sold.

Overall car sales were subdued, largely because many buyers rushed to make purchases in December to avoid tax increases that took effect in January, according to The Guardian. Even so, the collapse in petrol car sales highlights how close Norway is to phasing out internal combustion engines that contribute to climate change and extreme weather.

"The January figures do not mean demand has disappeared, but reflect the extraordinary surge in purchases before the new year," said OFV director Geir Inge Stokke. "We expect registrations to rise again as the market normalises."

BEVs accounted for 95.9% of all new-car sales in Norway last year. Analysts attribute the country's electric vehicle boom to high carbon taxes, strong incentives for EV buyers and the absence of a powerful lobby resisting the transition.

Christina Bu, secretary general of the Norwegian Electric Vehicle Association, said the early 2025 figures should not be read as the end of the journey.

The transition is also becoming evident in Norway's used-car market. Sales of secondhand electric vehicles rose 22.7% year on year in January, with EVs now accounting for one in four used cars sold, OFV data shows.

"Electrification is clearly gaining ground in the used-car market as well," Stokke said. "That makes electric cars accessible to far more buyers than before."

While Norway remains the global leader in EV adoption, other countries are catching up. Denmark has seen BEV market share jump from 2% to 68% over the past decade, while electric vehicles now account for more than a third of new-car sales in the Netherlands, Finland, Belgium and Sweden.

Private sector activity continued to expand in January, albeit at a slower pace, as the Purchasing Managers' Index (PMI) eased to 53.9 from the previous month.

The moderation signals sustained growth momentum, though at a more measured rate amid softer global conditions.

Released on Sunday, the latest PMI reading showed expansion across agriculture, manufacturing and services, while construction returned to growth after contracting in December, underscoring a broadly resilient domestic economy.

Agriculture recorded its fifth consecutive month of expansion, although momentum weakened.

New business and overall activity continued to grow, but employment and input costs declined. Order backlogs in the agricultural sector also remained in contraction, albeit at a slower pace.

The manufacturing stayed in expansion for the 17th straight month, though growth softened compared to December last.

New orders, factory output, imports, input prices and supplier delivery times all increased, even as export receipts remained subdued.

Of concern, new export orders, input purchases, finished goods inventories and employment declined, while order backlogs returned to expansion.

The construction sector moved back into expansion after contracting in the previous month. Growth was recorded in new business, construction activity and input costs, while employment and order backlogs continued to fall.

The services sector, which contributes more than 50 per cent to GDP, marked its 16th consecutive month of expansion, with activity accelerating in January.

New business, overall activity, employment, input costs and order backlogs all posted gains.

"Overall, the latest PMI readings indicate that the economy experienced slower expansion, with weak global supply chain recovery and cautious order placement weighing on manufacturing exports," said Dr M Masrur Reaz, Chairman and Chief Executive Officer of Policy Exchange Bangladesh.

"The agriculture sector also showed signs of slowdown following the late autumn paddy harvests," he added.

However, Dr Reaz noted that continued expansion in the future business index across all key sectors points to sustained optimism in the period ahead, particularly following the elections.

After months of uncertainty, optimism has returned to apparel manufacturers and exporters in Tiruppur, India's largest textile hub, following an interim trade agreement between the United States and India.

The textile and apparel sector has emerged as one of the biggest beneficiaries of the deal, under which US tariffs on Indian garments have been reduced from 50% to 18%.

Industry leaders said the move would provide immediate relief to exporters who had been operating at losses while fulfilling existing orders.

India exports apparel worth about $10.5 billion annually to the US, its largest textile market. Exporters said the tariff cut would restore competitiveness and improve profitability.

Major apparel exporters noted that the agreement would ease pressure from discounted deals. Pearl Global Industries Ltd, which supplies brands such as GAP Inc and Ralph Lauren Corp, said the removal of penalty tariffs would boost margins.

"With the penalty now eliminated, discount pressure will reduce, directly boosting profitability from February onwards," said P Banerjee, managing director of Pearl Global.

Textile exporters in Tiruppur welcomed the India-US framework trade agreement, saying it would help the sector compete more effectively with Bangladesh, Vietnam and China.

Industry representatives said garment orders worth around Rs4,000 crore had been stuck due to tariff uncertainty and were expected to be cleared following the agreement, which has taken immediate effect.

Tiruppur Exporters' Association President KM Subramanian described the joint statement by India and the US as "significant" and said exports from Tiruppur could double over the next five years. Currently, the hub's garment exports are valued at around Rs15,000 crore, according to him.

Subramanian, who is also founder-chairman of KM Knitwear Pvt Ltd, said the deal could generate substantial employment.

"About one million people are currently employed in the industry. I am hopeful that another 500,000 jobs could be created over the next three to five years if the momentum continues," he said, adding that the immediate impact would be visible within three to four months.

South Indian Mills Association President Durai Palanisamy said the deal with the US, along with improved trade ties with the European Union, would increase demand for Indian textile exports due to enhanced global competitiveness.

M Rathinasam, founder of Tiruppur-based Starlight Exporters, said earlier many orders had shifted to Bangladesh and other countries, but expressed hope that more orders would now return to India and that work on pending orders would resume soon.

A Sakthivel, chairman of the Apparel Export Promotion Council, said the agreement would also help address non-tariff barriers and reduce compliance burdens for exporters.

Amid Bangladesh’s fragmented preparation for LDC graduation, and at a time when unpredictable global geopolitical dynamics are reshaping competitiveness, some quietly consequential and rather rare good news has emerged from the United Kingdom. It relates to recent changes under the UK’s Developing Countries Trading Scheme, known as the DCTS. The changes mean that even after graduation, Bangladesh will continue to access the UK apparel market on the same terms it currently enjoys as an LDC. Yet this development has attracted little attention, despite potentially far-reaching implications for Bangladesh’s post-graduation export competitiveness.

What changes after graduation and why it matters

Like the EU’s GSP system, the DCTS is a tiered arrangement, with different levels of market access linked to income level and development status. At the top tier are LDCs, which qualify for Comprehensive Preferences, offering duty-free market access with the least restrictive rules of origin, including single-stage transformation for apparel. The second tier, Enhanced Preferences, is intended for economically vulnerable non-LDC countries. It provides duty-free access to most products, but with tighter conditions. The third tier, Standard Preferences, applies to other countries and offers more limited tariff reductions.

LDC graduation means Bangladesh moves from Comprehensive to Enhanced Preferences. Earlier, the UK announced that there would be no safeguard mechanism attached to a non-LDC beneficiary receiving duty-free access for apparel under Enhanced Preferences. By contrast, under the EU system, non-LDC countries with a large share of EU apparel imports face automatic safeguard measures.

This means that even if Bangladesh qualifies for GSP Plus after graduation, its apparel exports could still face MFN tariffs.

Until recently, however, the UK, like the EU GSP Plus, applied double-transformation rules of origin for apparel. Countries under Enhanced and Standard Preferences were required to undertake both fabric production and garment assembly domestically to qualify for duty-free access. The latest changes allow Enhanced Preferences beneficiaries to source up to 100 percent of apparel inputs from abroad while still qualifying for duty-free entry to the UK.

This shift is particularly significant given the UK’s expanding network of free trade agreements with countries such as India and Vietnam, which have large-scale and deeply integrated supply capacities. Without greater flexibility, post-LDC countries like Bangladesh would have faced a far tougher competitive environment, where nominal duty-free access coexisted with binding origin constraints, while FTA partners benefited from full tariff elimination and stronger backward linkages. Such an outcome would risk turning LDC graduation into an economic penalty, contrary to long-standing commitments to ensure smooth transitions.

WHAT THIS MEANS FOR EXPORTS AND JOBS

The UK is Bangladesh’s third-largest export market, accounting for about 10 percent of total merchandise exports. Apparel makes up more than 90 percent of these shipments. In 2024, Bangladesh exported roughly $3.3 billion worth of clothing to the UK, including $2 billion in knitwear and $1.3 billion in woven garments.

This distinction matters. Knitwear benefits from stronger domestic backward linkages and generally meets origin requirements. Woven apparel depends heavily on imported fabrics and is therefore far more exposed to restrictive rules of origin.

Under double-transformation requirements, a large share of woven exports would fail to qualify for preferences and face standard tariffs. Extending single-stage transformation under Enhanced Preferences substantially reduces post-graduation risks and moderates competitive pressure from other exporters gaining tariff-free access through UK trade agreements.

Quantitative modelling by Research and Policy Integration for Development (RAPID) shows that rules of origin matter at least as much as tariffs in determining competitiveness. Under a counterfactual scenario with double-transformation requirements, annual apparel export losses were estimated at $283 to $350 million, mainly in woven garments. The UK’s decision removes this barrier and averts these losses.

General equilibrium simulations using the GTAP framework suggest that without the DCTS changes, Bangladesh’s apparel exports to the UK could have fallen by more than 25 percent as graduation coincided with stronger competition from FTA partners. With single-stage transformation retained, projected losses fall from about $1.18 billion to around $150 million, reflecting competition rather than binding origin rules.

Based on current employment intensity, this policy shift is estimated to safeguard close to 100,000 jobs, more than half held by women. This is significant amid a sharp decline in female participation in manufacturing over the past decade.

WHAT THE UK GOT RIGHT

Allowing single-stage transformation under Enhanced Preferences reduces the risk of abrupt export losses after LDC graduation and supports a more predictable adjustment. It sets a constructive benchmark for post-LDC trade engagement and offers a reference point for discussions with other partners, particularly the European Union.

Rules of origin flexibility, however, should be seen as a transition tool rather than an endpoint. Long-term competitiveness will still depend on strengthening domestic textile capacity and backward linkages.

The UK’s approach shows that LDC graduation need not be economically punitive if trade preferences are designed with the evolving competitive landscape in mind. It also raises the bar for other partners, where rigid origin rules risk turning graduation into a disruptive shock rather than a managed transition.

The author is an economist and chairman of Research and Policy Integration for Development (RAPID). He can be reached at m.a.razzaque@gmail.com.

Palli Karma-Sahayak Foundation (PKSF) will increase financing and other support to promote Bangladeshi handicrafts in the nearly $1 trillion global export market while taking initiatives to expand the domestic market.

The information was disclosed in a press release issued today (5 February).

During a visit to export-oriented handicraft enterprise Taranga in Mirpur, PKSF Chairman Zakir Ahmed Khan said that handicrafts are a promising sector but face challenges such as financing constraints, skilled manpower shortages, infrastructural gaps and weak branding, which PKSF plans to address through specialized programs.

Bangladesh's domestic handicrafts market is estimated at Tk100–150 billion, while its global exports remain minimal, at $29.75 million in FY 2022–23. Major buyers include the United States, Europe, and the Middle East.

PKSF Managing Director Md Fazlul Kader said women artisans produce high-quality export products locally, raising family incomes.

He added that PKSF aims to help Bangladesh achieve $1 billion in handicraft exports through financing and technical support.

Taranga, backed by PKSF, employs around 32,000 women and allocates over 40% of sales revenue to workers' wages.

Following fair trade principles, it exports jute, water hyacinth, hogla leaves, bamboo, banana fiber, and natural dye products to 50 countries.

Bangladesh and Japan's Economic Partnership Agreement (EPA), signed yesterday (6 February), is a wide-ranging deal that goes beyond tariff reductions to cover trade procedures, investment protection, labour mobility and digital cooperation.

The agreement introduces new commitments aimed at simplifying business operations, strengthening legal certainty for investors and expanding cooperation in emerging sectors.

The main chapters are outlined below.

Trade facilitation and anti-corruption measures

The EPA contains a trade facilitation chapter that requires Bangladesh to simplify business procedures and improve the overall trade environment.

It introduces the Authorised Economic Operator (AEO) system, under which approved importers can assess and pay customs duties themselves, allowing goods to clear more quickly.

According to officials involved in negotiations, 10 firms have already been certified as AEOs, while applications from about 70 others are pending.

The agreement also includes a dedicated chapter on corruption and unlawful financial transactions, outlining enforcement mechanisms not previously included in Bangladesh's bilateral trade agreements.

Another provision revises customs penalty rules, limiting fines to the actual revenue loss rather than allowing blanket penalties of up to 200%, which is expected to reduce complications for businesses.

Legal certainty and investor protection

The investment chapter establishes a structured dispute resolution mechanism.

Parties must first attempt to resolve disagreements through internal consultations within 60 days before seeking arbitration at the International Centre for Settlement of Investment Disputes (ICSID).

The agreement also requires imports to be valued at the actual transaction price, leaving no scope for minimum import prices or tariff values.

In addition, the EPA introduces mutual participation in government procurement, enabling Japanese companies to take part in Bangladeshi tenders and Bangladeshi firms to compete for contracts in Japan, with certain concessions for local companies.

Officials believe these provisions could strengthen investor confidence and encourage further Japanese investment.

Skilled labour mobility

Unlike traditional labour agreements, the EPA focuses on skilled and semi-skilled professionals, including engineers, IT specialists and culinary workers.

Analysts say the inclusion reflects Japan's demographic pressures and Bangladesh's interest in expanding higher-value overseas employment.

However, strict language requirements, professional certification standards and employer-led recruitment mean the number of workers is likely to remain limited.

Despite these constraints, the provision is viewed as symbolically important, signalling Bangladesh's gradual move toward exporting more specialised human capital.

Procurement and digital trade

The agreement also covers government procurement and digital trade, areas that developing countries have traditionally approached cautiously.

Commitments to transparency and clear procedures in public procurement could improve governance and efficiency but may reduce the scope for domestic preference policies.

In digital trade, provisions supporting electronic transactions and cross-border data flows align Bangladesh with emerging global norms.

Experts note that implementing these commitments will require careful balancing of openness with data sovereignty and cybersecurity priorities.

Curbing wasteful spending by slashing populist development projects was a stated economic priority of the interim government as it sought to ease the fiscal strain inherited from the ousted previous regime. That goal was largely achieved through a sharp cut in development expenditure.

What the interim administration failed to rein in, however, was recurrent spending.

Economists warn that a series of expenditure-heavy decisions taken towards the end of the government's tenure including proposed pay hikes, expanded allowances and widened social safety-net coverage, will leave a substantial fiscal burden for the next elected government, expected to take office after the 12 February election.

They argue that while development spending was curtailed aggressively, operating expenditure has continued to rise at a time when revenue mobilisation remains weak, deepening the long-standing imbalance between income and expenditure.

As a result, the incoming government is likely to face severe pressure to implement politically and socially sensitive commitments without having the fiscal space to finance them.

Rising commitments, weak revenues

According to economists, the next administration will inherit pressure to implement decisions such as a proposed new pay scale for government employees, expanded allowances and beneficiary coverage under social safety-net programmes, a 20% electricity bill rebate for the fisheries sector, and the repayment of dues to customers of Sammilito Islami Bank and several non-bank financial institutions currently under liquidation.

If these commitments cannot be politically managed or fiscally phased, the country's already fragile fiscal balance could deteriorate further, economists warn, with potential consequences for growth, employment and macroeconomic stability.

Fahmida Khatun, executive director of the Centre for Policy Dialogue (CPD), told The Business Standard that the next elected government would face "massive pressure" if the newly announced expenditure initiatives were implemented in full.

"Resource mobilisation and expenditure management will face new challenges," she said. "Revenue collection has again fallen short, while operating expenditure is increasing at a time when it ideally should have been restrained."

She added that the scope for financing additional expenditure is extremely limited.

A budget meant to fix, not to dream

"No agency provides loans to pay salaries. Government borrowing from banks has already risen sharply, and further borrowing will crowd out private-sector credit. The options for meeting this extra expenditure are therefore very limited," she said.

Pay Commission: the biggest pressure point

One of the most significant sources of potential fiscal stress is the recommendation of the Pay Commission formed to revise salaries of government employees.

Estimates suggest that implementing the proposed pay structure for employees of ministries, divisions, offices and directorates alone would require additional spending of about Tk1.06 lakh crore. Extending the new scale to the armed forces, autonomous bodies and MPO-listed teachers would push the overall cost even higher.

On 27 January, Power and Energy Adviser Muhammad Fouzul Kabir Khan said the interim government would not implement the Pay Commission's recommendations, leaving the final decision to the next administration.

Economists warn that even postponing the decision does not eliminate the pressure.

35.33% of govt's operating expenditure goes to interest payments in Q1

Zahid Hussain, former lead economist at the World Bank's Dhaka office, said raising sufficient revenue to support such measures would be extremely difficult.

"These expenditures cannot be financed by borrowing or printing money, as that would fuel inflation," he said. "That leaves only two options: earning more revenue or cutting other spending."

But he added that savings of this magnitude are unlikely to come from other public expenditures. "So revenue mobilisation remains the only option and that is far harder than announcing a new pay scale."

Bangladesh's tax-to-GDP ratio currently stands at around 7%, one of the lowest globally, while government revenue remains insufficient to fully cover operating expenses. Debt-servicing costs are also projected to rise in the coming years, further shrinking fiscal space.

"In this context, introducing a new salary scale without a substantial increase in revenue would severely constrain development spending," economists warn, undermining efforts to boost investment, growth and job creation.

Safety-net expansion before budget

Alongside salary-related pressures, the interim government has expanded several social safety-net programmes during its tenure, increasing both the number of beneficiaries and allowance amounts for old-age pensions, widow and disability allowances, education stipends, healthcare support and other welfare schemes.

It has also decided to add five lakh families to the food-friendly programme, increase allowances for freedom fighters, expand the Vulnerable Group Feeding programme, and introduce a 20% electricity bill rebate for marginal fish, livestock and poultry farmers requiring a Tk100 crore fund.

Govt approves hike in social safety net benefits for FY27

While economists acknowledge the social importance of these measures, they caution that they will add several thousand crore taka to recurrent expenditure in the next fiscal year.

Fahmida Khatun described the timing of these decisions as unprecedented.

"Such measures are usually taken during budget formulation by an elected government," she said. "The interim government should have limited itself to making recommendations instead of creating invisible pressure on the next administration by announcing these decisions in advance."

Development spending squeezed

The fiscal pressure is compounded by weak development spending.

In FY2024-25, implementation of the Annual Development Programme (ADP) stood at 67.85% — the lowest rate in one and a half decades. In the current fiscal year, despite a reduced allocation, only 17% of the ADP was spent in the first half, the lowest on record.

Economists and planners say the next government will face strong pressure to increase development expenditure to revive growth, employment and private investment, even as revenue income is almost entirely consumed by operating expenses.

ADP spending drops Tk24,718cr in Jul-Mar

Planning Adviser Wahiduddin Mahmud warned on 28 January that no development strategy could succeed with revenue collection stuck at 7–8% of GDP, noting that the revised development budget for the current fiscal year is being financed through loans.

"There are no global examples of countries achieving sustainable development by relying on debt to fund education, health and social security," he said.

Fiscal measures way before budget

With the next budget still five months away, the interim government increased both the number of beneficiaries and the allowance amounts under various social safety net programmes.

Fahmida Khatun described the move as unprecedented, noting that such decisions are typically taken during budget formulation by an elected government.

Expressing concern, the CPD executive director said the interim government should have limited itself to making recommendations for the next administration.

Further fiscal pressure is expected as the fisheries and livestock ministry announced a 20% rebate on electricity bill for marginal fish, livestock and poultry farmers, which would require creation of a Tk100 crore fund.

Political parties must pledge specific banking reforms in election manifestos: CPD's Fahmida

Since assuming office, the interim government has also increased operating expenditure by accepting various demands following protests by different professional groups and employees.

One such decision involves salary and allowance increases for a large number of MPO-listed teachers.

More than Tk20,000 crore in unpaid electricity bills remain outstanding, a liability that economists say will fall on the next government.

Pressure from weak development spending

In the 2024-25 fiscal year, implementation of the Annual Development Programme (ADP) stood at 67.85% of the allocation, the lowest rate in the past one and a half decades.

In the current fiscal year, despite a reduced ADP allocation, implementation has remained sluggish. The outlay has been slashed to Tk2 lakh crore as only 17% of the development budget was spent in the first half, the lowest on record.

Mobilising resources to finance development spending remains a challenge as the revenue income is almost entirely exhausted in operating expenses.

How Bangladesh engineered a power crisis it can no longer afford

During the tenure of the interim government, the tax-to-GDP ratio has declined to 7%. In the first five months of the current fiscal year (July to November), the NBR's revenue collection grew by over 15% compared to the same period of the previous fiscal year; nevertheless, collection remained below the projected target.

"No development strategy can succeed with this level (7% to 8% of GDP) of revenue collection," Planning Adviser Wahiduddin Mahmud said at an event on 28 January, adding the revised development budget for the current fiscal is being financed through loans.

Will higher pay curb corruption?

The last public-sector pay scale was announced in 2015, raising salaries by 70% to 100%. A decade later, the current Pay Commission has proposed similar increases, partly justified by claims that higher pay would reduce corruption and improve service delivery.

Transparency International Bangladesh (TIB) executive director Iftekharuzzaman rejected that argument.

"There is no evidence that corruption declined or service quality improved after the 2015 pay hike," he said. "Without strong accountability mechanisms, higher salaries alone do not reduce corruption. In fact, illegal transactions often rise faster than pay."

Creative destruction, Bangladeshi style

Zahid Hussain echoed the concern, noting that the idea of "self-financing" salary hikes — where reduced corruption boosts revenue — has little support in Bangladesh's past experience.

"From a fiscal perspective, implementing such recommendations without structural reforms in revenue mobilisation and accountability is nearly impossible," he said.

Taken together, economists warn that the interim government's end-of-term spending decisions have significantly narrowed the fiscal room available to the next administration, underscoring the urgency of revenue reforms and tougher expenditure prioritisation to avoid deeper strain on public finances.

The United States and India today (7 February) released a joint statement outlining a framework for an interim bilateral trade agreement under which New Delhi will eliminate or reduce tariffs on all US industrial goods and a wide range of US food and agricultural products, while Washington will apply a reciprocal tariff rate of 18% on Indian goods, including textiles.

The joint statement, released simultaneously in New Delhi and Washington, said India intends to purchase $500 billion worth of US energy products, aircraft and aircraft parts, precious metals, technology products, and coking coal over the next five years.

The announcement follows nearly a year of trade tensions between the two countries, sparked by the Trump administration's imposition of tariffs on Indian goods, which were later doubled to 50% as a penalty over India's purchase of Russian oil.

Earlier today, President Donald Trump also signed an executive order lifting the punitive additional 25% tariff imposed on India over its Russian oil imports.

The joint statement said, "India and the United States will significantly increase trade in technology products, including Graphics Processing Units (GPUs) and other goods used in data centres, and expand joint technology cooperation."

"Today's framework reaffirms the countries' commitment to the broader US-India Bilateral Trade Agreement (BTA) negotiations, launched by President Donald Trump and Prime Minister Narendra Modi on 13 February 2025, which will include additional market access commitments and support more resilient supply chains," it added.

"The interim agreement between the United States and India will represent a historic milestone in our countries' partnership, demonstrating a common commitment to reciprocal and balanced trade based on mutual interests and concrete outcomes," the statement said.

According to the joint statement, key terms of the interim trade agreement will include India eliminating or reducing tariffs on all US industrial goods and a wide range of US food and agricultural products, including dried distillers' grains, red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine and spirits, and additional products.

The United States will apply a reciprocal tariff rate of 18% under an executive order on originating goods from India, including textiles and apparel, leather and footwear, plastic and rubber products, organic chemicals, home décor, artisanal products, and certain machinery.

The United States will also remove tariffs on certain Indian aircraft and aircraft parts. Similarly, India will receive a preferential tariff-rate quota for automotive parts.

The two countries commit to providing each other with preferential market access in sectors of mutual interest on a sustained basis.

They will also establish rules of origin to ensure that the benefits of the bilateral trade agreement accrue predominantly to the United States and India.

According to the statement, both sides will address non-tariff barriers affecting bilateral trade. "India agrees to address long-standing barriers to trade in US medical devices and to eliminate restrictive import licensing procedures that delay market access for, or impose quantitative restrictions on, US Information and Communication Technology (ICT) goods," it said.

India will also determine, within six months of the agreement's entry into force and with a view towards a positive outcome, whether US-developed or international standards, including testing requirements, are acceptable for US exports entering the Indian market in identified sectors.

India further agreed to address long-standing non-tariff barriers affecting US food and agricultural products.

To enhance ease of compliance with applicable technical regulations, the United States and India intend to discuss their respective standards and conformity assessment procedures for mutually agreed sectors.

In the event of changes to agreed-upon tariffs by either country, both sides agree that the other may modify its commitments accordingly.

The United States and India will work towards expanding market access opportunities through continued negotiations under the bilateral trade agreement.

The United States affirmed that it intends to take into consideration India's request to continue working toward lowering tariffs on Indian goods.

Both countries also agreed to strengthen economic security alignment to enhance supply chain resilience and innovation through complementary actions to address non-market policies of third parties, as well as cooperation on inbound and outbound investment reviews and export controls.

The two sides committed to addressing discriminatory or burdensome practices and other barriers to digital trade, and to setting a clear pathway toward robust, ambitious, and mutually beneficial digital trade rules as part of the bilateral trade agreement.

Indian Prime Minister Narendra Modi welcomed the framework for the interim trade agreement, saying it reflects the growing depth, trust, and dynamism of the bilateral partnership.

Modi said the agreement would strengthen the Make in India initiative by opening new opportunities for farmers, entrepreneurs, MSMEs, startup innovators, and fishermen, while generating large-scale employment for women and youth.

He added that the framework would deepen investment and technology partnerships, strengthen resilient and trusted supply chains, and contribute to global growth.

The prime minister reiterated India's commitment to future-oriented global partnerships that empower people and promote shared prosperity, and thanked President Trump "for his personal commitment to strengthening ties between the two countries."

"This framework reflects the growing depth, trust, and dynamism of our partnership. It strengthens Make in India by opening new opportunities for India's hardworking farmers, entrepreneurs, MSMEs, startup innovators, fishermen, and more. It will generate large-scale employment for women and youngsters," Modi said.

"India and the United States share a commitment to promoting innovation, and this framework will further deepen investment and technology partnerships between us," he added in a post on X.

Modi said the framework for the bilateral trade deal would also strengthen resilient and trusted supply chains and contribute to global growth.

Bangladesh Bank purchased $196.50 million from 16 commercial banks today (5 February), continuing its efforts to stabilise the foreign exchange market and support remittances and exports.

Arief Hossain Khan, spokesperson and executive director of Bangladesh Bank, confirmed the latest purchase.

He said the transaction, conducted at a cut-off rate of Tk122.30, brings the central bank's total dollar purchases for February to $586 million.

Since July, Bangladesh Bank has bought over $4.5 billion from commercial banks through similar auctions, injecting an equivalent amount of taka into the banking system and strengthening foreign exchange reserves.

The increased availability of dollars is largely driven by rising remittance flows through banking channels, prompting commercial banks to sell foreign currency to the central bank.

A senior Bangladesh Bank official told TBS that these purchases are aimed at bolstering reserves, supporting exporters, and maintaining steady remittance inflows, forming part of a broader strategy to prevent the US dollar from depreciating against the taka.