Poverty increased by 28pc amid inflation and political-economic uncertainty

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Poverty increased by 28pc amid inflation and political-economic uncertainty

Poverty in the country has not decreased in the past three years, but has actually increased. The current poverty rate stands at 27.93 percent, or about 28 percent. According to official figures, the rate was 18.7 percent in 2022.

This picture emerged in a research report titled ‘Economic Dynamics and Mood at Household Level in Mid-2025’ by the private research organization Power and Participation Research Center (PPRC) at a function organized at the LGED Auditorium in Agargaon in the capital on Monday (August 25). The research was presented by PPRC Executive Chairman Hossain Zillur Rahman.

According to the study, the rate of extreme poverty has also increased. In 2022, the official extreme poverty rate was 5.6 percent, which increased to 9.35 percent in 2025. It also said that 18 percent of households are still at risk of falling into poverty at any time.

The study was conducted last May, where the opinions of 33,207 members of 8,067 families were sought.

PPRC says that the country’s economy is currently experiencing the effects of three major crises—COVID-19 (2020-2022), inflation, and political-economic uncertainty.

In addition, data on bribery has been presented, saying that before August last year, 8.54 percent of people paid bribes to receive services. After August, this rate decreased to 3.69 percent, but it did not stop completely. The highest number of bribes were paid to government offices, followed by the police and political leaders.

The study found that the average income of families in the city has decreased, but expenses have increased. The average monthly income in the city is currently 40,578 taka, and expenses are 44,961 taka. In 2022, the average income in the city was 45,578 taka.

On the other hand, the average income of village families has increased slightly to Tk 29,205 and expenses to Tk 27,162. In 2022, the average income of the village was Tk 26,163.

At the national level, the average household income is 32,685 taka per month, and expenses are 32,615 taka. As a result, there is almost no savings.

About 55 percent of a family’s total monthly expenses go to food. The average monthly expenditure on food is 10,614 taka. In addition, 1,822 taka is spent on education, 1,556 taka on medical care, 1,478 taka on transportation, and 1,089 taka on housing.

PPRC Executive Chairman Hossain Zillur Rahman said the interim government is giving importance to the macro economy for obvious reasons, but now a people-oriented economic plan is needed. He urged to expand the discussion on the economy not only around GDP but also on equality, justice, non-discrimination and citizen welfare.

He further said that in the current reality, five risk areas are gaining special importance – the growing burden of chronic diseases, poverty of female-headed households, debt pressure, increasing food insecurity, and the crisis of safe sanitation.

He mentioned the need for new types of social security programs and rapid policy interventions to address these challenges.

Hossain Zillur Rahman said, “There is an urgent situation in the country regarding employment. The reality of unemployment has taken a deep shape. Therefore, it has become urgent to think big and take effective steps regarding employment at this moment.”

Yasir Monon
Yasir Mononhttp://www.yasirmonon.com
News Editor, Business Mirror

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