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SANGSAD BHABAN, April 21, 2026 (BSS) - Finance Minister Amir Khosru Mahmud Chowdhury today said in Jatiya Sangsad that the government plans to revitalize banks and support private sector recovery through budgetary measures and cooperation with multilateral organizations.
“This is a large deficit and can’t be resolved overnight, but we are optimistic that with time and coordinated efforts, the economy will regain its momentum,” he added.
The Finance Minister said while replying to a supplementary question from ruling party lawmaker Mohammed Fakhrul Islam (Noakhali-5) in the House today with Speaker Hafiz Uddin Ahmad, Bir Bikram, in the chair.
He said that Bangladesh’s financial sector is currently facing a significant capital deficit, identifying it as one of the most pressing economic challenges.
He noted that both banks and private sector businesses are experiencing capital shortages.
Khosru attributed this largely to the depreciation of the national currency by over 40 percent in recent years, alongside rising utility and operational costs, which have collectively caused nearly a 50 percent capital deficit in private sector business activities.
The Minister also pointed out that illicit capital outflows in the past have weakened banks’ financial base, creating additional strain on the sector.
“To address this situation, the government has already taken steps to replenish capital and will continue to allocate funds in the upcoming budgets,” he said.
He added that the government is working with international partners, including the IMF, to recapitalize the banking sector. “Efforts are also underway to attract foreign investors to invest in Bangladesh’s financial institutions, aiming to restore stability and liquidity.” he added.
The Minister further acknowledged past irregularities, including loan mismanagement and financial sector misconduct, which exacerbated the crisis. to credit.
