Inflation in Bangladesh rose to 8.29 percent in November, fueled largely by higher food prices that continue to pressure low- and fixed-income households. The latest data from the Bangladesh Bureau of Statistics (BBS) show a marginal rise from October’s 8.17 percent, though the figure remains significantly below the 11.38 percent recorded a year earlier.
BBS figures indicate that the consumer price index (CPI) covering a broad range of goods and services climbed in both rural and urban regions. The Trading Corporation of Bangladesh (TCB) reported increases in the prices of everyday essentials such as rice, flour, cooking oil, lentils, and onions. Unseasonal rain late in the autumn further disrupted supply lines and pushed up the cost of winter vegetables.
For nearly three years, Bangladesh has been grappling with stubborn inflation. Consumer prices stayed above 9 percent until May 2025 and have remained over 8 percent since, prompting renewed discussion about the efficacy of the country’s current economic strategy.
University of Dhaka economist Selim Raihan said the recent fluctuations fail to indicate any substantial shift in the long-term trend. Despite Bangladesh Bank’s attempts to cool demand by raising interest rates, he argued that monetary policy alone has been unable to deliver meaningful price stability.
According to Raihan, structural issues including weak market competition, inadequate coordination across government policies, and external market shocks are keeping inflation elevated. The recent jump in essential food items, he said, underscores the fragility of agricultural supply systems and exposes inefficiencies in market practices.
He added that Bangladesh’s dependence on imports and ongoing global market volatility are compounding domestic pressures. Because most of the current inflation is driven by supply-side constraints, he noted, traditional monetary tightening is limited in its ability to provide relief.
Raihan stressed the need for broader institutional reforms, including improved supply-chain management, stronger oversight of market practices, greater transparency in trade, and increased investment in agriculture. He also pointed to weak coordination between fiscal, monetary, and regulatory authorities as a major barrier to controlling prices.
Fellow economist Mustafa K Mujeri offered similar observations. He said Bangladesh has been in a “high-inflation environment” for more than three years, yet policy responses have largely centered on raising interest rates. While the policy rate has hovered around 10 percent for over a year, he noted that complementary measures have been lacking.
Mujeri warned that inflation could accelerate in the months ahead due to election-related spending and other non-productive expenditures. A February election would likely increase both formal and informal money circulation, even though such activities do not contribute to production growth.
He added that investment activity is unlikely to pick up soon, while Ramadan traditionally associated with rising demand may exert further upward pressure on prices in March. As a result, whichever government comes to power after the polls may require additional time to implement effective stabilization measures