Bangladesh is studying a plan to issue its first-ever sovereign bonds abroad, as the country seeks ways to finance its record spending.

Farid Ahmed, Deputy Secretary of the Public Debt Management Department at the Ministry of Finance, said in a telephone interview on Wednesday that the government has decided to form a ministerial committee to 'analyze the feasibility, structure, and timing of the first issuance,' according to Bloomberg News on Wednesday.

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A successful first sovereign bond issuance could diversify the government's funding sources beyond local banks and concessional multilateral loans, set a global pricing benchmark for future external borrowing by Bangladeshi companies, and serve as an indicator of confidence in the country's economic reforms.

In May, Bangladesh approved an annual development program worth 3 billion taka ($24.5 billion) for the fiscal year 2026-2027, according to a statement from the Ministry of Planning.

Bloomberg News reported that the government will finance 1.9 trillion taka, while it will raise 1.1 trillion taka through foreign loans and grants.

The ministry's statement said that among the 15 sectors in the new program, priority has been given to local government, road transport and highways, health services, and education.

170 billion taka will be allocated for social development assistance that will help 'protect the poor and marginalized.'

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