What's the way out of economic chaos? Election as short-term fix?

From businessmen to policymakers, there is one clear expectation: the upcoming national election is the most immediate way to stabilise Bangladesh's economy and law and order. Confidence is faltering, investment is stalled, and governance remains fragile. Without political clarity, economic slowdown and uncertainty will deepen.

With the interim government heading towards national elections in mid-February 2026, political activity is intensifying as parties have started to announce their candidates. Beyond routine politics, the vote now represents the most immediate avenue to restore business confidence and stabilise an economy already under strain.

Business leaders and investors are watching closely. Many warn that any delay in forming an elected government risks further eroding confidence, deepening the slowdown in investment and job creation. Apparel exporters, already grappling with global uncertainty, higher US tariffs, domestic banking troubles, and port and customs troubles, see political stability as the most plausible path to regaining momentum.

Meanwhile, persistent structural challenges – from the ongoing gas crisis to infrastructure bottlenecks – continue to weigh heavily on the private sector, leaving investment and employment prospects stagnant.

Law and order, a prerequisite for economic revival, is equally fragile. Bangladesh still ranks 125th out of 143 countries on the global rule of law index, among the bottom 20 worldwide. The Bangladesh Army has also emphasised that a free and fair national election will bring back stability and normal law and order.

For now, the next February vote is not merely procedural – it is the crucial lever to stabilise the faltering economy, anchor investor confidence, and create the conditions necessary for broader structural reforms.