BANGLADESH’S position as the country with the highest inflation in South Asia is no longer merely an economic headline. It has become a daily reality that is quietly reshaping how people live. The latest report by the United Nations Department of Economic and Social Affairs confirms what many households have already experienced. Inflation remained close to 9 per cent in 2025 and is expected to remain the highest in the region in 2026. For millions of families, this is not a projection. It is lived experience.
At a kitchen market in Mirpur, Dhaka, rickshaw puller Abdul Aziz waits as a vendor weighs vegetables. He listens to the price, shakes his head, and asks for a smaller quantity. ‘Earlier, I could manage three meals a day with what I earned,’ he says. ‘Now even two meals are difficult. I skip meals so my children can eat. Borrowing has become normal.’
Scenes like this are no longer exceptional. Markets that once buzzed with bargaining now feel subdued. Buyers speak less, sellers explain more. People calculate, hesitate and walk away.
According to the Bangladesh Bureau of Statistics, overall inflation stood at 8.49 per cent in December, up from 8.29 per cent in November, marking the second consecutive monthly rise. Economists may describe this as marginal. For low-income households, it translates directly into skipped meals, postponed treatment and growing debt.
Inflation is often discussed in terms of monetary policy, foreign reserves and exchange rates. On the ground, however, it appears in grocery lists that shrink month by month.
In Shyamoli, private-sector employee Nasir Uddin checks prices on his phone as he shops. ‘My monthly grocery bill used to be around Tk 8,000 or 9,000,’ he says. ‘Now it easily crosses Tk 12,000. After rent, school fees, and transport, there is nothing left. I have postponed my own medical treatment twice this year.’
His experience reflects a wider imbalance. While incomes remain largely stagnant, prices continue to rise, particularly for non-food essentials such as healthcare, education, and transport. Official data shows that food inflation stood at 7.71 per cent in December, while non-food inflation reached 9.13 per cent. These are costs families cannot simply avoid. Instead, they cut back elsewhere.
In Habiganj, homemaker Rasheda Begum describes how inflation has altered her household routine. ‘We used to buy fish once a week,’ she says. ‘Now even once in two weeks feels expensive. Milk and eggs for my children are reduced. I never imagined I would have to think so much before buying food.’
Such quiet adjustments often escape attention. Yet their long-term consequences for nutrition, health, and child development are profound.
Rural areas face similar pressure. In Pabna, agricultural day labourer Lutfor Rahman earns Tk 500 a day. ‘The wage looks the same, but its value is not,’ he says. ‘Half of it goes to rice. Fish and meat are luxuries now. If someone falls sick, we just pray it gets better.’
While households struggle, policymakers point to encouraging macroeconomic indicators. Remittance inflows have surged, reaching record levels. In December alone, expatriates sent more than USD 3.2 billion, easing pressure on foreign exchange reserves and supporting the taka.
Yet these gains feel distant to ordinary consumers. ‘We hear on the news that remittances are high,’ says Nasir. ‘But prices in the market don’t listen to the news.’
Economists note that weak exports remain a central concern. Export earnings have declined for several consecutive months, particularly in the garment sector, which accounts for more than 80 per cent of total exports. Reduced export income limits dollar inflows, raises import costs and pushes prices higher across the economy.
In Gazipur, a mid-level garment factory supervisor, who requested anonymity, says the impact is already visible. ‘Overtime has reduced. Some workers are getting fewer shifts. When income drops even slightly, high prices become unbearable.’
This link between exports and household welfare is often overlooked. When factories slow down, earnings fall and inflation cuts deeper.
Prolonged inflation also reshapes social behaviour. Families delay healthcare, reduce education spending, and withdraw from social life. Public health experts warn of rising risks of malnutrition, particularly among children. Teachers report increased absenteeism in low-income areas as transport costs and school expenses become harder to manage.
For policymakers, the challenge is clear but complex. Inflation cannot be addressed through interest rates or exchange-rate management alone. Stronger market monitoring, action against price manipulation and improved agricultural supply chains are necessary. At the same time, export diversification must move beyond repeated assurances.
As one economist observes, remittances provide temporary relief, but they are not a solution. Without strengthening exports and domestic production, inflationary pressure will persist.
For people like Abdul Aziz, such debates feel remote. ‘I don’t understand big economic words,’ he says. ‘I just know that life is getting harder.’
Inflation in Bangladesh is no longer a short-term disturbance. It is a prolonged strain shaping daily choices and future hopes. Economic success should not be measured solely in reserves or growth figures, but in whether families can buy food without fear and plan for tomorrow. Until then, the markets will continue to tell a story that statistics alone cannot.
Arjita Sutradhar is a student of mass communication and journalism at the University of Dhaka.
