Dhaka, July 31 -- Most multinational companies (MNCs) saw their profits erode in the first half of 2025, compared to the same period last year, largely due to high finance costs amid political uncertainty.

Economic activities have slowed down after the political changeover and that squeezed companies' profitability, according to market analysts.

"The broader macroeconomic backdrop, such as high inflation, has continued to pressure household budgets, limiting consumers' purchasing power and affecting demand across sectors," said Md Akramul Alam, head of research at Royal Capital, a top-tier brokerage firm.

Meanwhile, borrowing costs escalated as the government increased the policy rate to tame inflation, reining in the bottom-line growt...