, March 8 -- Escalating tensions in the Middle East could create significant economic shocks for Bangladesh by raising global energy prices, increasing import costs, and weakening export competitiveness, according to a new report published on Sunday by the Policy Research Institute (PRI).

The report, titled Bangladesh Monthly Macroeconomic Insights (January-February 2026), said geopolitical instability in the Middle East particularly the risk of disruptions in global oil supply, poses immediate and medium-term threats to Bangladesh's fragile economic recovery.

PRI said Bangladesh is highly exposed to global energy price volatility because it relies heavily on imported fuel to meet domestic demand.

The country's total energy import bill...