Dhaka, Aug. 28 -- Bangladesh's economy is stabilising, driven by tight monetary policy, fiscal discipline, robust exports and strong remittances, although inflation and weak wage growth continue to weigh on households, according to the June-July 2025 issue of Bangladesh Monthly Macroeconomic Insights (MMI) by the Policy Research Institute of Bangladesh (PRI).

Investment activity, however, remains subdued, with capital machinery imports falling 20-25 per cent and construction sector growth decelerating sharply, highlighting broader challenges for future economic expansion and job creation, the report adds.

The paper, prepared under PRI's Centre for Macroeconomic Analysis (CMEA) initiative in partnership with the Department of Foreign Aff...