Inflation to drop further next month: Governor

Bangladesh Bank Governor Ahsan H Mansur has expressed confidence that inflation in the country is already at a tolerable level and is expected to decrease further next month. 

He attributed this positive trend to the government's ongoing efforts to curb inflation through monetary policy.

Speaking to journalists after a discussion on the first half-yearly monetary policy formulation in Rajshahi today (3 July), the governor highlighted that political and economic stability would pave the way for increased investment.

The discussion saw participation from local business leaders, bankers, university teachers, journalists, and representatives from businesses. 

The governor pointed out the significant cost overrun in the construction of the Rooppur Nuclear Power Plant, stating that its initial cost of $2.5 billion has escalated to $13 billion, making it challenging to make the project profitable. He also discussed the implications of excessive and unplanned expenditure.

Mansur further said providing liquidity to banks was crucial for their survival, preventing a collapse of the banking sector. He noted that many banks have already recovered, while those still struggling will be merged. 

He also mentioned that the government is actively working to repatriate laundered funds from abroad, with a significant amount of movable and immovable property already seized.

Business leaders called for enhanced banking, infrastructure, and credit facilities to boost local businesses, initiatives, and exports. 

In response, the governor highlighted simplified loan schemes for the fisheries sector and a Tk1500-crore venture capital fund allocation for young entrepreneurs.

The discussion also touched upon issues related to rice prices, production, and stock, along with other challenges faced by the agricultural sector in the region, as presented by entrepreneurs and businesspeople.