The cost of petroleum imports in December 2025 was approximately Tk 790 billion. With the price of crude oil exceeding $114 per barrel in the international market, there is a risk of this cost increasing further. As a result, policymakers are confronted with a tough policy dilemma—whether to raise domestic energy prices or increase subsidies, thereby exerting more pressure on the revenue deficit.

Bangladesh's economy today stands at a reality where global geopolitics directly influences the cost of people’s daily lives. The increase in energy prices is quickly reflected in inflation. Transportation costs rise, food prices increase, and industrial production costs soar. In February of this year, the country's average inflation reached 9 per cent. If the war prolongs, this pressure could intensify further.

In the modern economy, energy is not just a commodity; it is a fundamental component in determining the price structure of the entire economic system.

Bangladesh's economy today stands at a reality where global geopolitics directly influences the cost of people’s daily lives.

Its impact falls most heavily on low-income families. Urban poor households spend a large portion of their income on food. Thus, even a slight increase in food prices can bring significant changes to their dietary habits—relying more on minimal food instead of nutritious meals. In economic terms, this is a cost-push inflation situation, where increased production costs create inflationary pressure across the entire economy. In reality, rising energy prices mean not just higher electricity bills; it influences the entire economic cost structure.