Inflation cuts deep into consumer spending in Bangladesh: DCCI index

High inflation is cutting deep into consumer spending in Bangladesh, with weak demand turning one of the biggest concerns for businesses, according to an economic index released recently by the Dhaka Chamber of Commerce and Industry (DCCI).

Higher rents, utility bills and fuel prices are eating away at already thin profit margins, it found.

High inflation is cutting deep into Bangladesh consumer spending, with weak demand turning one of the biggest concerns for businesses, DCCI said.
Higher rents, utility bills and fuel prices are eating away at already thin profit margins.
DCCI’s economic position index revealed that consumers have sharply reduced spending as the cost of living continues to rise.
SMEs are feeling the pressure the most.

The chamber’s economic position index (EPI) revealed that consumers have sharply reduced spending as the cost of living continues to rise, putting pressure on retailers, transport operators and other service providers.

Small and medium enterprises (SMEs) are feeling the pressure the most as they struggle to manage higher operating costs without losing customers.

Businesses also cited difficulties in obtaining bank loans, while delays in licensing and other regulatory procedures are adding to costs.

The DCCI report identified a shortage of skilled workers, particularly in technical and customer service roles, as another challenge for the sector.

The country’s inflation rose to 9.04 per cent in April from 8.71 per cent in March, according to official statistics.

Fibre2Fashion News Desk (DS)