Bangladesh

As the FY2026-27 National Budget approaches, the Dhaka Stock Exchange (DSE) is navigating a period of intense uncertainty, balancing a fragile recovery against a tightening macroeconomic environment.   The market has been characterized by sharp fluctuations. In early April 2026, the DSEX bounced back by 1.82%, reaching 5,272 points after a prolonged 17-day downturn that erased approximately Tk 29,500 crore in market capitalization. This pre-budget uptick was largely driven by the government's intervention to stabilize domestic fuel prices amid a severe global gasoline shortage. Although this move offered a reprieve for industrial sectors, the broader economic foundation remains under pressure.   Key Economic Constraints The DSE currently faces a "triple threat" of rising costs and supply constraints: Sticky Inflation: With inflation hovering near 9.13%, the central bank has kept the policy rate at 10%, which has significantly restricted the liquidity required fo...