The key facts

  • Dhaka requested $4.5 billion from the IMF and $10 billion from the World Bank over three years
  • This would be the first new IMF program under the government of Tarique Rahman, which came to power in February 2026
  • The goal is to raise the tax-to-GDP ratio from below 7% to 10% within five years

Request for new financing

Bangladesh has requested new financing totaling $14.5 billion from the IMF and the World Bank amid growing budgetary pressure, weak tax collection and persistent economic difficulties. Finance Adviser Salehuddin Ahmed Rashed Al Mahmud Titumir told the Anadolu agency that Dhaka requested a new IMF program of $4.5 billion and an additional $10 billion from the World Bank over a three-year period; negotiations on both proposals are ongoing.

First loan of the new government

If the application is approved, it would be the first new IMF credit program under the government of Prime Minister Tarique Rahman, which came to power in February 2026 after the first general elections since the 2024 uprising that ousted former premier Sheikh Hasina.

Flexible terms and reforms

The government is seeking lending terms tailored to the needs of Bangladesh's economy rather than standard schemes. Finance Minister Amir Khasru Mahmud Chowdhury emphasized the need for flexible financing to address structural weaknesses in the economy. According to Titumir, Dhaka presented a 'country-specific reform program' covering banking sector problems, energy pressures and challenges related to the upcoming graduation from least developed country status.

Economic context

The previous IMF program was approved in January 2023 under Hasina's government: initially for $4.7 billion, it was later expanded to approximately $5.5 billion. Bangladesh faces persistent inflation, a vulnerable banking sector, rising energy subsidies and one of the lowest tax-to-GDP ratios in the world. The government has also announced a stimulus package of 600 billion taka (about $4.9 billion) to support businesses and revive the economy. The goal is to raise the tax-to-GDP ratio from below 7% to 10% within five years, restore banking stability and stimulate private investment.