{"id":119949,"date":"2025-11-05T21:54:27","date_gmt":"2025-11-05T21:54:27","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/119949\/"},"modified":"2025-11-05T21:54:27","modified_gmt":"2025-11-05T21:54:27","slug":"pvt-sector-short-term-foreign-debt-edges-up-slightly-in-sep","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/119949\/","title":{"rendered":"Pvt sector short-term foreign debt edges up slightly in Sep"},"content":{"rendered":"

At the end of September, outstanding short-term foreign loans stood at $9.61 billion, up from $9.54 billion in August. <\/p>\n

\n TBS Report\n <\/p>\n

\n 04 November, 2025, 10:05 pm <\/p>\n

\n Last modified: 05 November, 2025, 05:47 pm <\/p>\n

\n Photo: Freepik<\/p>\n

“> <\/p>\n

\"Photo:<\/p>\n

\n Photo: Freepik <\/p>\n

The country’s private sector short-term foreign borrowing increased marginally in September, rising by just $68 million from the previous month, according to Bangladesh Bank data released today (4 November).<\/p>\n

At the end of September, outstanding short-term foreign loans stood at $9.61 billion, up from $9.54 billion in August.<\/p>\n

Although the figure shows a slight uptick, central bank senior officials, bankers and economists said the growth is minimal compared to the total outstanding volume, which now exceeds $9.5 billion. The amount was once above $16 billion.<\/p>\n


\n \"The
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Speaking to The Business Standard today, a senior Bangladesh Bank official noted that most of the short-term foreign loan inflow was offset by repayments of earlier loans.<\/p>\n

Infograph: TBS<\/p>\n

“> <\/p>\n

\"Infograph:<\/p>\n

Infograph: TBS<\/p>\n

“Repayments of previously taken foreign loans are now due as their maturity periods have ended, and there is a set schedule for monthly payments,” the official said.\n<\/p>\n

“Compared to those repayments, new short-term borrowing by the private sector has been relatively low \u2013 meaning that repayments of earlier loans have exceeded fresh borrowing,” he added.<\/p>\n

A managing director of a private bank said the decline in credit lines has also led to a drop in short-term foreign loans to the private sector. “Due to reduced credit facilities and weaker confidence, foreign banks are less interested in offering short-term loans now,” he said.<\/p>\n

Another senior central bank official told TBS that the decline in business activity and new investment has also contributed to the lower inflow of short-term foreign loans.<\/p>\n

“Since 5 August, many people have fled the country, and operations of several large business groups have been disrupted. As a result, imports of capital machinery have declined, leading to a fall in buyers’ credit,” the official said.<\/p>\n

He added that this trend is likely to continue until the upcoming national election, after which short-term foreign borrowing may rise again with new investments and higher demand for capital machinery.<\/p>\n

Central bank data show that Bangladesh’s short-term foreign debt stood at $16.42 billion at the end of 2022, which fell to $11.80 billion in 2023 and further to $10.13 billion by the end of 2024.<\/p>\n

Bangladesh Bank also reported that imports of capital machinery dropped by around 12% in the first two months of the current fiscal year, reflecting reduced investment appetite in the private sector.<\/p>\n","protected":false},"excerpt":{"rendered":"At the end of September, outstanding short-term foreign loans stood at $9.61 billion, up from $9.54 billion in…\n","protected":false},"author":2,"featured_media":119950,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[84556,84563,33988,84560,138,84558,84565,84564,219,84562,84557,84566,111,139,69,84561,84554,84559,84555,65609],"class_list":["post-119949","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-bangladesh-bank-data","tag-bangladesh-business-activity","tag-bangladesh-economy","tag-bangladesh-foreign-debt-update","tag-business","tag-capital-machinery-imports","tag-central-bank-report","tag-economic-impact-of-bangladesh-election","tag-economy","tag-foreign-bank-lending-bangladesh","tag-foreign-borrowing-bangladesh","tag-foreign-credit-lines","tag-new-zealand","tag-newzealand","tag-nz","tag-outstanding-foreign-loans","tag-private-sector-foreign-debt","tag-private-sector-investment","tag-short-term-foreign-loans","tag-the-business-standard"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/119949","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=119949"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/119949\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/119950"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=119949"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=119949"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=119949"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}