IMF conditions unacceptable, we will raise funds from our own market: Finance minister
Bangladesh needs $50 billion a year and will raise funds through the capital market rather than rely on IMF and World Bank loans, says the minister.
Finance Minister Amir Khosru Mahmud Chowdhury has said the government will not accept unacceptable conditions under the IMF programme and will instead raise funds from Bangladesh's own capital market as it seeks to finance the country's development.
"I have cancelled the IMF programme. You know that, you are seeing it. Their conditions are not acceptable to us. I want to raise my money from the market," he said.
The finance minister was speaking at the opening of World Investor Week 2026, jointly organised by the Bangladesh Securities and Exchange Commission and the International Organization of Securities Commissions at the Krishibid Institution auditorium in Dhaka today (4 October).
'No time to depend on development partners'
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Khosru said Bangladesh could not continue depending on the IMF, World Bank, Asian Development Bank and other development partners to meet its financing needs.
He said the government wants to build stronger links with global financial centres such as New York and Hong Kong to create opportunities for Bangladesh to raise funds directly from international markets.
The country could raise money through instruments such as dollar bonds, panda bonds, samurai bonds, local-currency bonds and Bangladesh-focused international equity funds, he said.
"We want to create opportunities to raise money from the international market. We have to connect ourselves with the international financial centres," he said.
Khosru said the government has set a target of building a $1 trillion economy by 2034 and would need substantially greater access to financing to achieve it.
"I need $50 billion a year. Even if everyone gives $10 billion each, it won't be enough. I have no time. We have to raise money from our own market," he said.
Capital market needs a major overhaul
The finance minister said strengthening the capital market and developing a deeper bond market would be crucial to meeting the country's financing requirements.
He said Bangladesh needs to introduce new financial products, including securitisation, to enable both the government and private sector to raise funds more efficiently.
Khosru said the country had already developed infrastructure for the capital market, including automation and central depository facilities, but the market had failed to develop because it lacked a comprehensive policy framework and coordination among relevant institutions.
He said Bangladesh Bank, the National Board of Revenue, insurance companies, stock exchanges, brokers and other market participants need to work as part of an integrated ecosystem.
"The capital market has no depth. We need to create the environment, bring good companies, ensure good governance and develop self-regulation," he said, stressing the need to restore credibility and investor confidence.
He said difficult and painful decisions may be necessary to rescue and strengthen the market.
Expects changes within a year
Khosru said he expected the country's stock market to undergo significant changes within the next year, provided there was no unexpected disruption.
He said international investors are showing interest in Bangladesh despite concerns about the relatively small size of the market.
Referring to recent meetings with investors on Wall Street, he said he had initially been concerned about Bangladesh's market being too small to attract major international investors.
He said the response from investors had nevertheless surprised him, claiming that they are familiar with the Bangladesh market and had confidence in the country's leadership and future prospects.
Govt should not fund commercial enterprises
The finance minister also said the government should not use taxpayers' money to finance commercial enterprises.
Referring to the aviation sector, he said commercial enterprises such as airlines should raise funds from the market rather than depend on government financing.
He also stressed the need to reduce the cost of funds so that Bangladeshi businesses can remain competitive in international markets.
Khosru said the government's broader objective is to develop a financial system capable of mobilising domestic savings and attracting international capital, reducing dependence on external development financing.
