Dhaka, Jan. 15 -- Bangladesh's private sector risks a tightening credit environment as government borrowing from the banking system has surged to nearly Tk 60,000 crore in the first half of the current fiscal year, raising concerns about reduced lending capacity for businesses.

According to Bangladesh Bank data, the government's net borrowing from banks reached Tk 59,756 crore between July 1 and January 4 of FY2025-26.

The amount accounts for more than 57 percent of the full-year borrowing target of Tk 1.04 lakh crore, surpassing the halfway mark well before the fiscal year's midpoint.

The pace of borrowing marks a sharp escalation from a year earlier. In the same period of FY2024-25, the government's net bank borrowing stood at Tk 8,3...