New Delhi

In a bid to bolster its struggling economy, Bangladesh has urgently requested $5 billion in financial assistance from leading international lenders, including the International Monetary Fund (IMF), World Bank, and Japan International Cooperation Agency (JICA), according to Muhammad Yunus, the head of the interim government as detailed in a report by Reuters.

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The $5 billion request comprises $3 billion from the IMF, $1 billion from the World Bank, and an additional $1 billion from JICA. The government is also negotiating for lower interest rates and extended loan tenures from Russia and China to help navigate the economic fallout of rising global prices due to the Russia-Ukraine conflict.

"We are also negotiating for lower interest rates and extended loan tenures from Russia and China," Yunus said in a televised address to the South Asian nation, as the government grapples with mounting foreign payments.

Bangladesh's $450-billion economy has been under immense pressure since the war sharply increased the cost of fuel and food imports, forcing it to seek financial support from the IMF last year in the form of a $4.7-billion bailout.

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Goal of the Interim Government

The interim administration's primary goal is to guide the nation through a peaceful transition, culminating in new elections. However, the economic turmoil, worsened by global pressures, has put additional strain on the nation's financial stability.

Yunus also announced plans to establish six new commissions aimed at reforming critical sectors, including the constitution, the electoral system, the judiciary, the police, the Anti-Corruption Commission, and public administration. These commissions will investigate specific areas and offer recommendations for reforms. "We plan to expand this approach by forming additional commissions to tackle other important matters," Yunus said.

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The six commissions are expected to be fully operational by October 1 and to complete their work within three months. In the final phase, a detailed outline of the proposed reforms will be developed after a consultation period of three to seven days, ensuring that a wide range of perspectives are incorporated into the reform process.

Hence, as Bangladesh navigates these challenging times, the government's efforts to secure emergency funds and implement comprehensive reforms will go a long way in stabilising the economy and paving the way for a brighter future for the citizens of Bangladesh.