Foreign aid disbursements to Bangladesh fell in the last fiscal year while repayments on external debt continued to rise, reducing the country’s net inflow of foreign funds, shows government data.
Total foreign aid disbursements fell 5.8 percent year-on-year to $8.07 billion in fiscal year 2025-26 from $8.57 billion a year earlier, according to provisional data released by the Economic Relations Division (ERD) yesterday.
During the same period, external debt servicing rose 10 percent to $4.49 billion from $4.09 billion.
Economists say the trend could add to pressure on foreign exchange reserves at a time when high energy import bills, weaker export earnings and slower remittance growth are weighing on external finances.
In FY26, the net…