IMF mission in Dhaka to assess progress before releasing sixth loan instalment

The International Monetary Fund (IMF) review mission has begun its visit to Dhaka to assess the use of funds from the fourth and fifth instalments before releasing the next tranche of the ongoing loan programme.

This mission is being led by Chris Papageorgiou, the IMF’s Bangladesh mission chief who also headed the previous review team.

Starting on Wednesday, the mission will continue its assessment work until Nov 13.

The delegation formally began its activities with a meeting at the Secretariat with the finance secretary.

The team also held discussions with several Bangladesh Bank departments around noon.

During the visit, the IMF delegation will also meet officials from the Finance Division’s Macroeconomics Wing, the Ministry of Labour and Employment, the Ministry of Energy, the National Board of Revenue (NBR) and other government agencies.

Earlier, Bangladesh received the fourth and fifth tranches together in June. The sixth instalment is scheduled to be disbursed in December.

However, with the parliamentary polls approaching, there are speculations that the next instalment may not be released within the designated time frame.

The IMF reportedly demands assurance from the next elected government that it will continue implementing the reform measures tied to the loan.

Bangladesh Bank spokesperson Arief Hossain Khan said, “They (IMF) have just arrived. Discussions will continue and they’ll observe our progress. Only at the final stage will we know their decision. We’re hopeful there will be no problem in getting the next instalment.”

Finance Advisor Salehuddin Ahmed told the media that the next instalment might be released in March or April next year instead of December.

If the sixth instalment is not released in December, discussions are on the table about merging it with the seventh tranche for a combined disbursement.

Previously, Bangladesh received the funds for the fourth and fifth instalments together due to delays in reaching an agreement over exchange rate issues.

To tackle its financial crisis, Bangladesh signed a $4.7 billion loan agreement with the IMF in early 2023, following several rounds of negotiations in 2022.

When the most recent funds were released in June, the total loan size was increased to $5.5 billion.

The IMF programme began on Jan 30, 2023. Bangladesh received $476.3 million in the first instalment on Feb 2, 2023, followed by $682 million in the second tranche in December of the same year.

In June 2024, Bangladesh received the third instalment of $1.15 billion, and in June 2025, the fourth and fifth instalments combined, amounting to $1.34 billion.