WEF Report: Inflation, pollution top risks for B’desh

Staff Reporter :

The World Economic Forum (WEF) has identified inflation as the most significant economic risk for Bangladesh in 2025, alongside challenges such as extreme weather events, pollution, unemployment, and economic stagnation.

These findings were outlined in the Global Risks Report 2025, released on Wednesday.

Bangladesh’s 12-month average inflation climbed to 10.34 per cent in 2024, up from 9.48 per cent in 2023, according to the Bangladesh Bureau of Statistics (BBS).

The report highlighted the interim government’s struggle to manage soaring inflation, which has left citizens grappling with rising costs, devalued currency, and dwindling foreign reserves.

The country’s economy remains sluggish, a trend attributed by economists to weak governance during the tenure of Sheikh Hasina’s administration, which has faced allegations of siphoning billions of dollars.

Economic instability persists, marked by reduced investment, unemployment, and slower business growth.

Bangladesh ranks among the top 10 countries where pollution-air, water, and soil-is identified as one of the three most critical risks.

Bangladesh Bureau of Statistics (BBS). The report highlighted the interim government’s struggle to manage soaring inflation, which has left citizens grappling with rising costs, devalued currency, and dwindling foreign reserves.

The country’s economy remains sluggish, a trend attributed by economists to weak governance during the tenure of Sheikh Hasina’s administration, which has faced allegations of siphoning billions of dollars. Economic instability persists, marked by reduced investment, unemployment, and slower business growth.

Bangladesh ranks among the top 10 countries where pollution-air, water, and soil-is identified as one of the three most critical risks. The report underscores the urgent need for a “pollution-conscious green transition” to address environmental degradation.

The report underscores the urgent need for a “pollution-conscious green transition” to address environmental degradation.

Extreme weather events, driven by climate change, are another significant concern, with floods, heatwaves, and other natural disasters increasingly impacting millions of lives and exacerbating economic instability.
The Global Risks Report 2025 paints a grim picture of a world facing escalating geopolitical, environmental, societal, and technological challenges.

Insights from over 900 global experts reveal growing pessimism, with 52 per cent expecting an unsettled global outlook over the next two years and 62 per cent foreseeing turbulence over the next decade.
Technological advancements, while transformative, are also noted for accelerating the spread of misinformation, further deepening societal divisions.

The report emphasises the need for coordinated domestic and international efforts to tackle inflation, mitigate climate risks, curb pollution, and create economic opportunities. Bangladesh, like many nations, faces a daunting task in addressing these interconnected risks, which threaten to destabilise both its economy and society.