Overview
- An IMF-supported bailout has stabilized the taka and foreign reserves but its subsidy cuts have heightened urban unemployment and rural hardship.
- Widespread student and youth demonstrations over job shortages and academic disruptions reflect surging discontent with the interim administration’s promises of stability.
- Modest restructuring of the Election Commission has fallen short of opposition demands for transparent voter rolls and impartial security deployment ahead of the February 2026 vote.
- Renewed Chinese infrastructure investments and Belt and Road project revivals in Dhaka have prompted concern from the United States and India over shifting regional alignments.
- Delayed Rohingya repatriation and escalating border security threats continue to test the interim government’s capacity to manage complex regional pressures.