Dhaka, Oct. 1 -- Bangladesh's economy is likely to grow by 5 percent in fiscal year of 2026, slightly higher than the previous year, said the Asian Development Bank (ADB) on Monday.

In its Asian Development Outlook for September 2025, the Manila-based lender said services and agriculture are expected to drive economic expansion, supported by easing inflation, stronger household purchasing power, rising remittances and election-related public spending.

The economy expanded by 4.2 percent in FY2024 and it is estimated to grow by 4 percent in the following year.

"Future growth will depend on improving the business environment to boost competitiveness and attract investment, and on ensuring reliable energy supplies," said ADB Country Direc...