Dhaka, Sept. 23 -- Bangladesh's private sector has adopted a cautious approach to external borrowing, repaying more short-term foreign loans than it has taken in fresh credit during the first seven months of 2025.
The trend underscores a combination of political uncertainty, subdued investment appetite, and improved dollar liquidity within domestic banks.
According to Bangladesh Bank data, between January and July businesses borrowed $12.21 billion in short-term foreign loans, while repayments-including principal and interest-reached $12.82 billion. This means repayments exceeded new borrowings by over $600 million.
Monthly figures show that borrowing ticked up in July to $1.82 billion, compared to $1.55 billion in June. Repayments also ...