BB to unveil first-ever quarterly monetary policy today

Bangladesh Bank (BB) announces its first-ever quarterly Monetary Policy Statement (MPS) today replacing the existing six-month monetary policy cycle making monetary policy more responsive to volatile domestic and global economic conditions.

The Monetary Policy Statement (MPS) for October-December (Q4) 2026 will be announced at afternoon held at the Jahangir Alam Conference Hall Bangladesh Bank’s head office with Deputy Governor Md Habibur Rahman as the chief guest, according to a press invitation issued by the central bank on Tuesday.

Bangladesh Bank had previously announced monetary policy annually before shifting to a half-yearly framework.

The International Monetary Fund (IMF) had recommended adopting a quarterly monetary policy framework.

A BB policy panel also recommended in July this year that the central bank issue monetary policy statements every three months to enhance the responsiveness, transparency and effectiveness of monetary policy.

The development comes amid continuing pressure on prices, although inflation has recently shown signs of easing.

The quarterly MPS is expected to provide Bangladesh Bank with greater flexibility to reassess monetary conditions and adjust its policy stance in response to changes in inflation, economic activity and global developments.

The country’s overall inflation declined for the third consecutive month to 8.26 percent in August, the lowest in 10 months, after reaching 9.42 percent in May.

Bangladesh Bank had kept its policy rate at 10 percent since October 2024.
In July this year, however, it reduced the policy or repo rate to 9.5 percent from 10 percent, marking the first cut in six years.

The July MPS projected inflation to come down to 8.9 percent by December 2026 and 8.6 percent by June 2027, although both projections remained above the government’s FY27 inflation ceiling of 7.5 percent.