ADB Forecasts 6.1% GDP Growth For Bangladesh In FY24

Inflation in developing Asia and the Pacific is expected to decline to 3.2% this year and 3.0% next year, as global price pressures ease and as monetary policy remains tight in many economies. However, for the region excluding the PRC, inflation is still higher than before the COVID-19 pandemic.

Rice prices have contributed to higher food inflation, especially for import-reliant economies. Prices for rice are likely to stay elevated this year, according to ADO April 2024.

Reasons include crop losses due to adverse weather and India’s restrictions on rice exports. Increased global shipping costs, due to attacks against ships in the Red Sea and drought in the Panama Canal, may also add to inflation in Asia, according to the report.

To tackle surging rice prices and protect food security, governments can give targeted subsidies to vulnerable populations and enhance market transparency and monitoring to prevent price manipulation and hoarding.

In the medium to longer term, policy should focus on establishing strategic rice reserves to stabilise prices, promoting sustainable farming and crop diversification, and investing in agricultural technology and infrastructure to raise productivity.

Regional cooperation can also help manage rice prices and their impact, the report says._UNB