Dhaka, Bangladesh (BBN)- Bangladesh’s overall trade deficit narrowed by over 26 per cent in the first eight months of the current fiscal year (FY) 2012-13 due mainly to lower import payments, officials said.The overall trade deficit came down to US$4.70 billion in July-February period of the FY `13 from $6.38 billion in the corresponding period last fiscal, according to the central bank statistics.
“The country’s overall trade deficit may narrow down further in the coming months due to a falling trend in the overall imports,” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka.
During the period, export earnings stood at $17.07 billion against the import payments of $21.78 billion, the BB data showed.
The BB official also said the declining trend in import may continue until the prevailing confrontational political situation improves.
The narrowing down of trade gap and higher growth of inward remittance have contributed to achieve healthy current account balance during the period under review, according to the BB officials.
Country’s current account balance rose to $1.35 billion in the first eight months of the FY `13 from the deficit of $660 million in the same period of the previous fiscal, the BB data showed.
“….the large inflow of workers’ remittances in the period contributed to a current account surplus of $ 1.35 billion during July-February 2013,” the central bank said in its Major Economic Indicators: Monthly Update for April 2013.
The update also said this together with strong financial account surplus resulted in a surplus of $ 3.50 billion in overall balance of payments (BoP) during July-February 2013 against a deficit of $516 million during July-February 2012.
BBN/SSR/AD-18Apr13-10:40 am (BST)
