Bangladesh's central bank on Saturday announced a stimulus package worth 600 billion taka ($4.9 billion) to revive shuttered factories and support businesses as economic growth slows.
The package aims to restart production, create jobs, and restore business confidence, particularly in the export-oriented garment sector, which accounts for more than 80% of export earnings.
Central Bank Governor Mostaqur Rahman said the stimulus includes a 410 billion taka refinancing fund raised from banks with excess liquidity through long-term deposits at a 10% interest rate, plus a 190 billion taka fund drawn from the central bank’s own resources.
The largest allocation, 200 billion taka, will reopen closed and distressed factories, potentially creating 250,000 jobs. Another 100 billion taka is earmarked for agriculture and the rural economy.
Bangladesh’s economic growth slowed to 3% in the second quarter of the 2025-26 fiscal year, down from 3.5% a year ago, according to the Bangladesh Bureau of Statistics.