The private sector's short-term external debt climbed to USD 10.16 billion in February, marking a sharp monthly increase of USD 354.64 million or 3.6 per cent.
This rebound defied earlier projections of a slowdown and highlighted renewed appetite for foreign borrowing.
Buyer's credit led the surge, rising to USD 5.29 billion from USD 5.08 billion in January-a gain of USD 208.92 million.
Short-Term Loans followed, adding USD 101.07 million to reach USD 2.15 billion.
Import financing facilities posted a modest uptick, increasing by USD 8.99 million to USD 652.63 million.
Back-to-Back Letters of Credit (LCs) added USD 29.81 million, pushing the total to USD 1.34 billion.
Other short-term liabilities ticked up slightly to USD 717.22 million.
February's figure narrowly exceeded 2024's total of USD 10.13 billion, which itself was a 14 percent drop from 2023's USD 11.79 billion. In 2022, short-term debt hit a record USD 16.42 billion, underscoring the extent of the subsequent correction.
Over the past decade, Bangladesh's private sector short-term debt rose from just USD 3.78 billion in 2014 to a 2022 peak before receding amid tighter global liquidity.
This latest uptick signals a cautious but notable return to external financing channels as firms seek to bridge working capital gaps and secure imports ahead of seasonal demand.
"Foreign private credit has underpinned our ability to fulfill large orders and manage seasonal cash flow," said an exporter while talking to the daily Observer.
"February's improved access allowed us to secure raw materials on better terms, boosting our export competitiveness", said the exporter requesting anonymity.
Analysts attribute the rebound to seasonal trade financing and deferred payment arrangements.
With global interest rates stabilizing, firms are once again tapping short-term credit lines to manage their import cycles and maintain production continuity.
A senior official of Bangladesh Bank said the central bank is closely monitoring the developments.
"We monitor short-term external debt continuously to safeguard financial stability," he said.
"February's uptick falls within manageable limits, but we will tighten risk assessments if debt growth accelerates. Our priority remains balancing credit access with systemic resilience."
More than half of the current short-term obligations stem from Buyer's Credit, reflecting its continued importance in funding trade.
The revival suggests private firms remain confident in managing their debt profiles even as authorities weigh sustainability concerns.
February's data points to a shifting dynamic-one where the private sector is actively repositioning itself within the global credit environment, he said.
Policymakers now face the challenge of supporting liquidity while remaining alert to risks tied to external obligations.
