Data from the Finance Division and the Economic Relations Division (ERD) reveal a looming fiscal squeeze, culminating in FY2028-29 when the country’s total external debt -servicing obligations will peak at an unprecedented level.
According to government projections, Bangladesh is likely to need to repay a staggering amount of US$4.276 billion in principal against its total outstanding debts alone during the period up to FY2029. Compounding this burden, the government must simultaneously shell out nearly US$3.289 billion (Tk 403 billion) in interest payments.
This brings the total external debt-servicing liability for FY2029 to a historic high of US$7.565 billion, nearly doubling the US$4.09 billion record registered in…