An increasing number of Bangladeshi households are falling into poverty despite remaining above the official poverty line, as stagnant wages, rising prices and weak social protection erode financial resilience, a new report has said, calling this “new poor” as an emerging class.
Nearly 6.2 crore people remain one economic shock away from poverty, the report from Bangladesh-based The Business Standard said.
It cited a World Bank assessment, saying Bangladesh’s poverty rate could rise to 22.5 per cent in 2026 from 18.7 per cent in 2022.
The extreme poverty measured against the international $3‑a‑day threshold could have climbed to 10.1 per cent from 5.9 per cent.
Inflation has outpaced wage growth for 56 consecutive months through September 2026, forcing many families to cut food quality, delay medical care or sell productive assets to meet immediate needs.
“When prices rise faster than earnings, families lose purchasing power even when nominal wages increase,” the report said.
Another official survey in October found 47.42 per cent of households borrowed to cover living expenses, with rural borrowing at 51.91 per cent. Average monthly expenditure stood at Tk 35,311 (local currency), compared with an average income of Tk 33,513.
The report pointed to weak private investment, energy constraints, and regulatory uncertainty as constraints for business expansion and job creation.
“Young people face underemployment or work that does not match their qualifications, while women encounter barriers to secure, adequately paid employment,” the publication said.
“Poor loan recovery, preferential lending and inadequate accountability can divert resources from productive enterprises. Banking reform is therefore not merely a technical concern: it is part of the employment and development agenda. The costs of financial misconduct should not be passed on to businesses, workers, and taxpayers,” it noted.
It urged the government to release a quarterly dashboard by October 2027, that covers data on poverty, real wages, decent employment, household debt and social protection coverage, disaggregated by sex, age, location and income group.
Publicly accessible data and transparent methodologies should enable independent scrutiny, the report added.
—IANS
