Dhaka, April 9 -- The General Economics Division (GED) of the Planning Ministry has released its March 2026 economic update, highlighting mounting challenges from the energy crisis and persistent inflation, despite some improvement in foreign exchange reserves.

The report warns that the ongoing energy crisis is affecting fiscal balances, external accounts, and investment activities.

Although strong remittance inflows and recent reserve gains have provided temporary relief, elevated global energy prices are likely to increase import bills and widen the trade deficit, it said.

The GED noted that policymakers face difficult trade-offs. Maintaining exchange rate stability could strain reserves, while further depreciation of the taka may in...