NEWS ON DATE - 29-12-2025
Cold, foggy condition to persist in Bangladesh; transport disruptions likely
Weather across Bangladesh is expected to remain dry on Monday with a temporary partly cloudy sky while moderate to thick fog may disrupt normal life in many areas, according to the Bangladesh Meteorological Department (BMD).
The Met office forecast said fog is likely to form at places over the country from midnight to morning and may continue in some areas until noon.
Due to thick fog, air navigation, inland river transport and road communication may face temporary disruptions.
Night temperatures may fall slightly while day temperatures are expected to remain nearly unchanged across the country.
Dense fog blankets Dhaka; winter chill disrupts normal life
Because of the foggy condition, cold feelings are likely to persist at many places.
Country’s lowest temperature has been recorded at Nikli in Kishoreganj at 10 degrees Celsius.
The BMD said the prevailing synoptic situation shows a ridge of the sub-continental high extending up to West Bengal and adjoining areas.
Meanwhile, the seasonal low lies over the South Bay, with its trough extending to the northeast Bay.
3 hours ago
The year in finance: Stability achieved, but hard work lies ahead
Bangladesh’s financial sector stands at a defining juncture at the end of the 2025, marked by cautious stabilisation efforts but weighed down by deep-rooted structural weaknesses.
While policymakers point to modest macroeconomic improvements and renewed discipline, restoring confidence, reviving private investment and repairing the financial system remain formidable challenges.
From a macroeconomic standpoint, 2025 was largely a year of consolidation rather than acceleration. Inflation stayed elevated for much of the year, compelling authorities to maintain a tight monetary stance.
Although inflationary pressures eased slightly towards year-end, the adjustment came at the cost of slower economic activity.
According to the Bangladesh Bureau of Statistics (BBS), the general point-to-point inflation rate stood at 8.29 percent in November 2025, marginally up from 8.17 percent in October.
Economic growth also fell short of earlier targets, reflecting subdued domestic demand and weak private sector investment.
Both the government and the central bank repeatedly argued that short-term pain was necessary to restore macroeconomic balance and credibility.
The financial sector—particularly the banking system—remained the most critical pressure point throughout the year.
Non-performing loans stayed stubbornly high, underscoring long-standing governance failures, weak credit appraisal and ineffective recovery mechanisms.
Despite repeated reform pledges, defaulted loans continued to erode bank balance sheets, limiting their ability to extend fresh credit.
Financial sector reforms showing visible progress despite challenges: Governor
Defaulted loans in the country's banking sector reached 34.6 percent of all disbursed credit till June this year, the highest level since 2000, exposing the fragile state of the banking system and renewing concerns about financial governance. Defaults surge to 34.6 percent of credit as Bad loans jump Tk 3,88,573 crore while Irregularities, weak oversight fuel crisis and the State banks hold 44.6 percent defaults.
For much of 2025, banks prioritised liquidity management and survival over risk-taking, further tightening credit conditions for businesses.
In a major intervention, Bangladesh Bank merged five struggling Islamic banks—First Security Islami Bank, Union Bank, Global Islami Bank, Social Islami Bank and EXIM Bank—into a new state-backed entity, tentatively named Sammilito Islami Bank (United Islamic Bank).
The central bank dissolved their boards, appointed administrators and injected government capital to protect depositors and restore confidence, aiming to create a unified and stronger Islamic bank by late 2025 or early 2026.
Private sector credit growth remained one of the weakest indicators in 2025, falling to a four-year low of around 6.23 percent by October, well below the central bank’s target. High interest rates, political uncertainty, power shortages and weak investor confidence discouraged borrowing, stalling new investment and business expansion despite export growth.
High lending rates—often 16–17 percent—combined with stricter collateral requirements, led many entrepreneurs to delay expansion or rely on internal funds. The slowdown in capital machinery imports for much of the year reflected this hesitation.
However, signs of cautious recovery emerged late in the year. Letters of Credit (LCs) for capital machinery rose by about 23 percent in the first quarter of FY2025-26, following three years of decline. During the July–September 2025 quarter, LCs climbed to $471.7 million, up from $383.9 million a year earlier, driven mainly by export-oriented sectors such as textiles, supported by improving foreign exchange stability.
Still, overall private investment remained subdued. Private investment as a share of GDP fell to 22.48 percent in FY2024-25, the lowest in five years, signalling waning confidence at a critical moment as Bangladesh prepares for graduation from Least Developed Country (LDC) status.
Investor sentiment in 2025 was shaped not only by financial conditions but also by broader governance concerns. Businesses frequently cited policy uncertainty, administrative delays and weak contract enforcement as major deterrents. While several reform initiatives were announced, uneven implementation led many local investors to adopt a wait-and-see approach, while foreign investors remained cautious despite Bangladesh’s large market and strategic location.
The capital market offered limited relief. Although there were brief rallies, overall performance failed to attract significant new investment. Volatility, governance issues and limited market depth continued to undermine the stock market’s role as a source of long-term financing.
IMF team meets BNP, discusses reforms in financial, social sectors
On the policy front, Bangladesh Bank emphasised stronger supervision, improved loan classification and better corporate governance. Discussions on bank consolidation and stricter fit-and-proper criteria for directors gained prominence, though scepticism persisted over whether entrenched interests would allow deep reforms to take root.
Meanwhile, the government continued to rely heavily on public investment to support economic activity. Large infrastructure projects played a stabilising role amid private sector hesitation, though economists warned that excessive dependence on public spending could crowd out private investment and raise concerns over efficiency, cost overruns and debt sustainability.
The external sector provided some relief. Remittance inflows remained strong, helping stabilise foreign exchange reserves, while export earnings showed resilience despite global uncertainties.
Bangladesh saw strong remittance inflows in 2025, crossing $30 billion for the fiscal year (FY25) and showing significant growth in the first half of FY26 (July-Dec 2025), reaching over $15 billion with monthly figures like November's $2.89 billion and a record $3.29 billion in March, driven by a stable exchange rate and crackdowns on informal transfers, boosting the economy.
In the July-November period, remittance Inflows reached approximately $13.03 billion, a significant jump from $11.13 billion the previous year. In November 2025, A robust $2.89 billion, up over 31% from November 2024 while in March 2025, a record monthly inflow of $3.29 billion.
Export receipts exceeded $20 billion in the first half of FY2025-26, driven mainly by the apparel sector. For FY2024-25, total exports reached $48.28 billion, with RMG earnings at $39.34 billion.
As 2025 ends, there is cautious recognition that stabilisation has been achieved, but there is broad agreement that the hardest work lies ahead. Restoring trust in financial institutions, curbing loan defaults and ensuring predictable policy implementation are essential to unlocking private investment.
Without decisive reforms, growth is likely to remain below potential, limiting Bangladesh’s ability to absorb its growing labour force—especially as concessional financing and trade preferences diminish after LDC graduation.
BRTA provides financial assistance to families of road crash victims in Joypurhat
In that sense, 2025 may be remembered as a transitional year—highlighting both the resilience of Bangladesh’s economy and the depth of its structural weaknesses.
Whether this adjustment phase evolves into a foundation for sustainable and inclusive growth will depend largely on how effectively financial sector reforms are implemented and private sector confidence is restored in the years ahead.
4 hours ago
Dhaka’s air turns ‘unhealthy for sensitive groups’
Dhaka, the overcrowded capital city of Bangladesh, has ranked 22nd on the list of cities with the worst air quality with an AQI score of 119 at 09:50 am this morning (December 29, 2025).
Today Dhaka’s air was classified as ‘unhealthy for sensitive groups’ referring to a healthy threat, according to the AQI index.
When the AQI value for particle pollution is between 50 and 100, air quality is considered ‘moderate’, usually sensitive individuals should consider limiting prolonged outdoor exertion, between 101 and 150, air quality is considered ‘unhealthy for sensitive groups’, between 150 and 200 is ‘unhealthy’, between 201 and 300 is said to be 'very unhealthy', while a reading of 301+ is considered 'hazardous', posing serious health risks to residents.
India’s Delhi, Afghanistan’s Kabul and Egypt’s Cairo cities respectively occupied the first, second and third spots on the list, with AQI scores of 332, 289, and 206 respectively.
Read more: Cold wave to persist for 2-3 more days: BMD
The AQI, an index for reporting daily air quality, informs people how clean or polluted the air of a certain city is and what associated health effects might be a concern for them.
The AQI in Bangladesh is based on five pollutants: particulate matter (PM10 and PM2.5), NO2, CO, SO2, and ozone.
Dhaka has long been grappling with air pollution issues. Its air quality usually turns unhealthy in winter and improves during the monsoon.
As per World Health Organization (WHO), air pollution kills an estimated seven million people worldwide every year, mainly due to increased mortality from stroke, heart disease, chronic obstructive pulmonary disease, lung cancer, and acute respiratory infections.
Read more: Dhaka’s air turns ‘very unhealthy’ amid fog
5 hours ago
Haor farmers reap early gains as mustard cultivation flourishes in Sunamganj
A vast golden carpet has spread across the haor wetlands of Madhyanagar upazila in Sunamganj, as a bumper mustard harvest this season brings renewed hope and financial relief to local farmers.
The low-lying fields, riverbanks and wetlands of Banshikunda Uttar and Dakshin, Chamardani and Madhyanagar Sadar unions are now awash with bright yellow mustard flowers, transforming the landscape into a striking spectacle that is also drawing curious visitors.
Mustard, widely known as a low-cost and high-profit oilseed crop with a short growing cycle, has gained growing popularity among farmers in the haor region.
According to the Madhyanagar upazila agriculture office, mustard was cultivated on around 550 hectares of land this season, with officials optimistic about meeting, and possibly exceeding production targets.
Read more: Chuadanga farmers thrive as cauliflower yields hit new high
For many farmers, the shift towards mustard has been driven by rising production costs and price uncertainty surrounding paddy and other staple crops. “We often suffer losses from rice cultivation due to high input costs and unstable market prices,” said one farmer. “Mustard needs less investment, grows quickly and sells well. It is safer for us.”
As a result, mustard cultivation has expanded significantly in fallow lands and haor-adjacent areas this year, making productive use of land that often remains uncultivated after the monsoon.
The agriculture office said sowing typically begins at the end of Kartik, with harvesting completed by mid-Poush, allowing farmers to earn returns early in the season.
Even before harvesting the seeds, farmers generate additional income by selling mustard flowers and leaves, which are used locally to prepare dishes such as bora (fritters) and leafy vegetables.
After harvesting, the dried stalks are sold as fuel, further adding to household earnings.
Read more: Sirajganj’s mustard fields bloom into golden seas, promise bumper harvest
Upazila Deputy Assistant Agriculture Officer Akmal Hossain said the outlook remains positive. “Like previous years, the mustard production target has been achieved. If there is no major pest or disease outbreak, farmers can expect a bumper harvest,” he said.
He said timely distribution of fertilisers and seeds under government incentive programmes ensured smooth cultivation this season.
Across Bangladesh, mustard cultivation has emerged as a profitable rabi-season crop, particularly in districts such as Magura and Narail.
With the Bangladesh Agricultural Research Institute (BARI) keeps on developing high-yielding mustard varieties to support the farmers and keep up the encouraging growth trend, farmers have responded equally with the adoption of improved seeds and modern techniques.
Mustard farming is playing an increasingly vital role in Bangladesh’s agricultural economy with the country striving to reduce its dependence on imported edible oil, officials said.
Read more: Naogaon farmers make a fortune on mustard and honey
5 hours ago
Mexican train derailment leaves at least 13 dead, dozens injured
At least 13 people were killed and dozens more injured after a train derailed in southern Mexico, authorities said, disrupting service along the rail line linking the Pacific Ocean and the Gulf of Mexico.
The Interoceanic Train, which connects Oaxaca and Veracruz, went off the tracks on Sunday while rounding a curve near the town of Nizanda.
“The Mexican Navy has informed me that, tragically, 13 people died in the Interoceanic Train accident,” President Claudia Sheinbaum wrote on X, adding that 98 passengers were injured, five of them seriously. She said she had directed the navy secretary and the undersecretary of human rights at the Interior Ministry to travel to the site to assist the victims’ families.
Oaxaca Governor Salomon Jara also confirmed that multiple government agencies were on the scene to support the injured. Officials said 241 passengers and nine crew members were aboard the train when it derailed.
The Interoceanic Train was inaugurated in 2023 by then-President Andres Manuel Lopez Obrador as part of efforts to expand rail travel in southern Mexico and develop infrastructure across the Isthmus of Tehuantepec, a narrow land corridor between the Pacific and the Gulf of Mexico.
The Mexican government aims to transform the isthmus into a strategic trade corridor, linking Atlantic and Pacific ports via rail and other transport networks. The current service runs roughly 180 miles (290 kilometers) from Salina Cruz on the Pacific coast to Coatzacoalcos on the Gulf.
Source: AP
5 hours ago
Russia sends 3 Iranian satellites into orbit
Russia has successfully placed three Iranian communications satellites into orbit, marking the second such launch this year, according to Iranian state television.
The report said a Russian rocket lifted off from the Vostochny Cosmodrome in eastern Russia on Sunday, carrying the satellites into a roughly 500-kilometer (310-mile) orbit around Earth. The satellites have been named Paya, Kowsar and Zafar-2.
Among them, Paya is the largest satellite Iran has ever sent into space, weighing about 150 kilograms (330 pounds). Kowsar weighs 35 kilograms (77 pounds), while details about the weight of Zafar-2 were not disclosed.
The satellites are capable of capturing images with up to three-meter resolution, which can be used for monitoring water resources, agriculture and environmental conditions. Their expected operational lifespan is up to five years.
The launch underscores the close cooperation between Moscow and Tehran, as Russia has periodically assisted Iran in placing satellites into orbit. Earlier in July, a Russian rocket launched Iran’s Nahid-2 communications satellite.
Russia and Iran signed a strategic partnership agreement in January. Moscow has also strongly criticized Israeli and US airstrikes on Iran during a 12-day conflict in June that reportedly killed nearly 1,100 people in Iran, including senior military officials and nuclear scientists. Iranian missile attacks in response killed 28 people in Israel.
Iran has long pursued satellite development and periodically launches space vehicles to deploy its satellites.
The United States has argued that Iran’s satellite launches violate a UN Security Council resolution and has urged Tehran to avoid activities related to ballistic missiles capable of carrying nuclear warheads. However, UN sanctions tied to Iran’s ballistic missile program expired in 2023.
Source: AP
6 hours ago
North Korea reports test-firing long-range cruise missiles
North Korea on Monday said it launched long-range strategic cruise missiles into the sea as part of efforts to verify the effectiveness of its nuclear deterrent, days after revealing apparent progress in building its first nuclear-powered submarine.
The missile launches on Sunday marked Pyongyang’s latest show of military strength ahead of an upcoming congress of the ruling Workers’ Party scheduled for early next year. The rare party meeting, the first in five years, is expected to draw close international scrutiny over whether leader Kim Jong Un will set new directions for relations with the United States and respond to Washington’s calls to revive stalled nuclear talks.
According to the state-run Korean Central News Agency, Kim observed the launches off the country’s west coast and expressed strong satisfaction with the results. He was quoted as saying that verifying the reliability of North Korea’s nuclear deterrence and demonstrating its power were legitimate acts of self-defense and deterrence against external threats.
South Korea’s Joint Chiefs of Staff confirmed that it had detected multiple cruise missile launches from the Pyongyang area on Sunday morning, adding that Seoul remains fully prepared to counter any potential provocations through its alliance with the United States.
While UN Security Council resolutions ban North Korea from testing ballistic missiles, cruise missile launches are not prohibited. However, analysts warn they still pose a serious threat to South Korea and the United States because such missiles can fly at low altitudes and maneuver to evade radar systems. In a conflict, they could be used to target US naval vessels, including aircraft carriers.
In recent days, North Korea also test-fired new anti-aircraft missiles and released images suggesting that the hull of a nuclear-powered submarine under development is nearing completion.
North Korea shows progress in nuclear-powered submarine
The country has hinted that the submarine would be capable of carrying nuclear weapons.
A nuclear-powered submarine is among several advanced weapons systems Kim has pledged to develop, citing what he calls US-led security threats. Some analysts believe North Korea’s closer military cooperation with Russia, including support for Moscow’s war in Ukraine, may have helped it gain access to key technologies.
Pyongyang has continued weapons testing since nuclear negotiations with former US President Donald Trump collapsed in 2019. However, Kim signaled in September that talks could resume if Washington abandons its push for denuclearization, with experts suggesting he may view his expanded nuclear arsenal as leverage in any future negotiations.
Source: AP
6 hours ago
Thai, Cambodian foreign ministers hold China talks to reinforce ceasefire
The foreign ministers of Thailand and Cambodia began two days of discussions in China on Sunday as Beijing moves to bolster its role in easing tensions between the two neighbors following the signing of a new ceasefire agreement.
The ceasefire aims to end weeks of clashes along the disputed border that have left more than 100 people dead and forced over 500,000 residents in both countries to flee their homes.
Thai Foreign Minister Sihasak Phuangketkeow and his Cambodian counterpart, Prak Sokhonn, traveled to China’s southwestern Yunnan province for talks facilitated by Chinese Foreign Minister Wang Yi. China, alongside the United States and Malaysia, has been seeking to mediate the conflict.
US President Donald Trump also weighed in on the situation, claiming the fighting would soon come to an end. Writing on social media from his Mar-a-Lago residence in Florida, Trump said both sides would return to peace and praised the leaders involved, while repeating earlier claims that US efforts helped broker the ceasefire, which has faced challenges in holding.
According to Thailand’s foreign ministry, the discussions in China are intended to secure the ceasefire’s durability and advance long-term peace. Wang Yi is scheduled to take part in separate bilateral meetings with each delegation as well as a joint trilateral session on Monday.
China welcomed the ceasefire, noting that it stabilizes front lines and enables displaced civilians to return home. The Chinese Foreign Ministry said Beijing is prepared to continue offering a platform for deeper and more detailed dialogue between Thailand and Cambodia.
The agreement includes a 72-hour monitoring period, after which Thailand will return 18 Cambodian soldiers captured during clashes earlier in July — a key demand from Phnom Penh.
Thailand and Cambodia agree to ceasefire to stop border clashes
Following talks with Wang, Prak Sokhonn expressed strong appreciation for China’s significant role in helping sustain the ceasefire. Beijing also pledged 20 million yuan ($2.8 million) in emergency humanitarian assistance to Cambodia, with the first shipment of food, tents and blankets arriving on Sunday.
Sihasak said he hoped the talks would encourage China to support a lasting ceasefire and discourage any renewed hostilities, stressing that Thailand views China as a constructive partner in ensuring long-term stability.
Source: AP
6 hours ago
Healthy-sounding food labels may mask high levels of added sugar
Many shoppers feel confident steering clear of sugary pastries and instead choosing products labeled “all natural,” “organic,” or “high-protein,” such as granola, low-fat yogurt or plant-based milk. But experts warn that these health-focused labels can often disguise surprisingly high amounts of added sugar.
Added sugars are not always easy to detect, as food manufacturers frequently rely on marketing language that diverts attention from nutrition facts, said Nicole Avena, a neuroscience and psychiatry professor at Mount Sinai Medical School and Princeton University who researches sugar consumption.
She noted that while some health-conscious brands are responding to growing awareness about sugar-related health risks, many major food companies remain less concerned about consumer well-being.
Excess sugar intake—alongside high salt and saturated fat—has been linked to obesity, heart disease, diabetes and other health problems. According to the American Heart Association, the average American consumes about 17 grams of added sugar daily, totaling roughly 57 pounds a year. While sugary drinks account for about half of that amount, the rest is commonly hidden in foods such as cereals, sauces, dairy items, prepared meals and even whole-grain bread.
Since 2021, food labels have been required to list added sugars separately. However, Avena said some companies have replaced traditional sweeteners like refined sugar and high-fructose corn syrup with alternatives such as monk fruit or sugar alcohols like erythritol, which are not classified as added sugars under FDA rules. As a result, foods may taste even sweeter than before.
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Dietitian Collin Popp of NYU Langone Health said federal guidelines allow added sugar to make up as much as 10% of daily calories, though he believes that limit should be lower—especially for people with diabetes or prediabetes.
He advised consumers to stay alert, even when products appear healthy or are labeled organic. Foods such as flavored yogurts, plant-based milks, English muffins and snack items can contain unexpected sugar. Taking control—by choosing plain versions and adding natural ingredients yourself—can help reduce sugar intake.
Experts also caution that artificial sweeteners may encourage overeating by stimulating the brain’s reward system. While sugar substitutes may benefit certain individuals, reducing reliance on sweet flavors overall is key to better health.
“Consumers shouldn’t let food companies determine how much sugar they consume,” Avena said.
Source: AP
6 hours ago
Chinese military announces drills around Taiwan amid tensions with US and Japan
China’s military on Monday announced it would deploy air, naval and missile forces for joint exercises around Taiwan, describing the move as a strong warning to separatist elements and what it termed “external interference.”
The announcement followed Beijing’s sharp criticism of recent US arms sales to Taiwan and comments by Japanese Prime Minister Sanae Takaichi, who suggested Japan’s military could become involved if China takes action against the self-governing island. However, the Chinese military statement released on Monday did not directly reference Japan.
Relations between China and Taiwan have remained strained since 1949, when the Chinese civil war ended with the Communist Party taking control of the mainland, while Nationalist forces retreated to Taiwan. Since then, Taiwan has operated under its own government, although Beijing continues to claim sovereignty over the island.
Senior Colonel Shi Yi, spokesperson for the People’s Liberation Army’s Eastern Theater Command, said the exercises—named “Justice Mission 2025”—would take place in the Taiwan Strait and in surrounding areas to the island’s north, southwest, southeast and east. He said the drills would emphasize joint sea and air patrols, gaining overall control, blockading key ports and conducting deterrence operations beyond the island chain.
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In a statement posted on the social media platform WeChat, the Eastern Theater Command said the drills were aimed at countering “Taiwan independence” forces and safeguarding China’s sovereignty and territorial integrity.
Last week, Beijing also announced sanctions on 20 US defense companies and 10 executives, following Washington’s approval of major arms sales to Taiwan valued at over $10 billion. If endorsed by the US Congress, the package would mark the largest American weapons deal with Taiwan to date.
Source: AP
6 hours ago