Commodity Boom and Inflation Challenges for Bangladesh

This paper investigates the major causes of inflation in Bangladesh, suggesting some anti-inflationary measures for the economy. It analyzes the literature pertaining to inflation and economic growth, depicts the state of Bangladesh's inflation and discusses the hike in fuel and non-fuel commodity prices in the international markets. Furthermore, it looks at credit and exchange rate policies of the country's central bank and suggests policies that could help to mitigate the adverse impacts of inflation. Among other things, the paper argues that the supply-side constraints in the commodity markets in Bangladesh have to be addressed.

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