The Bangladesh Nationalist Party (BNP) and Jamaat-e-Islami have expressed satisfaction with the International Monetary Fund’s (IMF) loan programme in Bangladesh. The IMF, one of Bangladesh’s key development partners, held separate meetings with both parties. Chris Papageorgiou, head of the IMF review mission currently visiting Dhaka, shared this information.

At a press briefing on Thursday (13 November) evening, Papageorgiou said that during the mission’s stay, they held discussions with BNP and Jamaat leaders regarding their reform agendas, perspectives, and economic plans.

He stated that leaders of both parties expressed very positive views about continuing the IMF loan programme. Discussions also covered issues such as the election and transition process, the parties’ priorities, and strategies for implementing those priorities.

Papageorgiou further mentioned that the new government must acknowledge the need for revenue and banking-sector reforms to ensure economic stability.

The IMF has said that after the elected government assumes office and the review is completed, it will decide by the end of May next year on the disbursement of the next tranche of the USD 5.6 billion loan. Before that, a high-level IMF delegation will visit Bangladesh to hold detailed discussions on the new government’s reform programme.

Before the release of the fifth tranche of the loan, the IMF assessed the implementation status of the reform conditions. At an online press briefing this evening, before leaving Dhaka after a 13-day review, Papageorgiou shared this information.

Describing Bangladesh’s 8% inflation rate as “highly concerning,” the IMF official said that although it has come down from double-digit levels two years ago, 8% is still high and burdensome for the poor. The IMF believes that contractionary monetary policy needs to continue until inflation is brought down to 5–6%.

The IMF also emphasised increasing revenue collection in order to expand spending on infrastructure development and social safety programmes.

Earlier, on 9 November, the IMF delegation met BNP leaders to discuss reforms in the financial and social sectors. On 12 November, they held a meeting with Jamaat-e-Islami, where they discussed Bangladesh’s sustainable economy and the overall state of the financial sector.