Sixth Consecutive Monthly Decline Recorded in Exports

Bangladesh’s export earnings continued their downward trend in January 2026, recording a decline for the sixth consecutive month and highlighting sustained pressure on the country’s external trade sector. Official data show that export earnings in January stood at around $4.41 billion, slightly lower than the earnings recorded in the same month of the previous year.

The continued contraction underscores persistent challenges facing Bangladesh’s export-oriented industries, particularly the ready-made garment (RMG) sector, which accounts for the majority of the country’s export income. Garment exports once again registered a year-on-year decline in January, reflecting weaker global demand, cautious purchasing behaviour by international buyers, and intense competition from other manufacturing countries.

During the first seven months of the 2025–26 fiscal year, from July to January, overall export earnings also declined compared with the corresponding period of the previous fiscal year. The extended downturn has raised concerns among exporters and policymakers about the sustainability of export growth amid ongoing global economic uncertainty.

Industry insiders have attributed the sluggish performance to several factors, including slow recovery in major export destinations, inflationary pressures in developed economies, rising production costs at home, and reduced work orders from overseas buyers. Political uncertainty and concerns over supply chain stability have also affected buyer confidence, exporters said.

Although exports fell on a year-on-year basis, January shipments showed a modest improvement compared with the previous month, indicating a slight month-to-month recovery from a low base. However, economists cautioned that such short-term fluctuations do not necessarily signal a turnaround unless supported by stronger demand and structural improvements.

Trade experts have stressed the need for greater diversification of export products and markets to reduce reliance on traditional sectors such as garments. They also emphasised improving productivity, compliance standards, and value addition to enhance competitiveness in the global market.

The prolonged decline in export earnings comes at a time when Bangladesh is seeking to stabilise its economy, manage foreign exchange reserves, and maintain growth momentum, making export performance a critical concern for policymakers in the coming months.