Resilient Bangladesh poised for steady growth and stronger global prospects: HSBC

HSBC Bangladesh hosted an event Monday (March 2) titled “Bangladesh and the World: Economic Prospects for 2026 and beyond,” outlining the country’s economic outlook alongside global and Asian market trends.

The keynote presentation was delivered virtually by Frederic Neumann, Chief Asia Economist and Co-Head of Global Research Asia at HSBC Global Research. He said Bangladesh has shown resilience in overcoming economic challenges in recent years and is expected to maintain steady growth.

HSBC forecasts Bangladesh’s GDP growth at 5.0 percent in 2026 and 5.5 percent the following year. Export value growth is projected at 4.1 percent for calendar year 2026.

Neumann noted that remittance inflows are rising year-on-year, supported by growing confidence in formal money transfer channels. Combined with easing inflation, this trend is expected to support private consumption. He added that following the recent general election, domestic and foreign investment could gradually recover, though faster growth will depend on the new government’s ability to restore investor confidence, strengthen law and order, and ensure stability.

He also pointed out that Bangladesh is set to graduate from least developed country status in November 2026. This transition will require enhanced export competitiveness through expanded market access, improved governance and stronger infrastructure. Neumann warned that a slowdown in global consumer demand due to US tariffs remains a key economic risk.

He stressed the urgency of accelerating trade negotiations with the European Union, Bangladesh’s largest garment export market.

The event also featured remarks from Jignesh Ruparel, Chief Financial Officer of HSBC Bangladesh, who presented an overview of HSBC Group’s latest global results and capabilities. Kausar Alam, President of the Institute of Cost and Management Accountants of Bangladesh, and Md Mahbub ur Rahman, Chief Executive Officer of HSBC Bangladesh, also addressed the gathering.

The event was attended by chief financial officers, stakeholders and senior officials from local and multinational companies. Neumann concluded that with a clear political mandate following a largely peaceful election, the new government has the opportunity to pursue reforms and meet the expectations of Bangladesh’s younger generation.