BB to announce contractionary monetary policy today

News Desk :

Bangladesh Bank (BB) is set to announce a new monetary policy on Monday for the remainder of the fiscal year 2024-25.

The central bank will continue its contractionary monetary policy to curb inflation and reduce excess money supply, sources said, UNB reports.

A contractionary monetary policy is a strategy used by central banks to deliberately reduce the money supply in an economy—typically by raising interest rates, selling government bonds, or increasing reserve requirements for banks—to slow down economic growth and control inflation.

In preparation for this policy decision, Bangladesh Bank has held discussions and consultations with prominent economists and key stakeholders.

The official announcement will take place at 3:00 pm on Monday during a press conference at the Bangladesh Bank headquarters in Motijheel, according to a press release.