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Bangladesh, Pakistan hit by energy shortages as Gulf crisis deepens

19 September 2026 08:50 Updated: 19 September 2026 08:52

Bangladesh and Pakistan are grappling with worsening energy shortages as disruptions to oil and gas supplies from the Middle East put further pressure on South Asian economies reports Reuters.

In Bangladesh, intermittent gas supplies have disrupted household cooking, power generation and industrial production.

In Dhaka, some residents are reportedly waiting until midnight for enough gas to cook, while power outages have made electric alternatives unreliable.

Factories have also been forced to reduce or suspend production, with some exporters facing cancelled orders.

The crisis has been exacerbated by disruptions to energy exports through key regional shipping routes, including the Strait of Hormuz and the Red Sea.

Asian spot LNG prices have risen sharply, increasing pressure on countries heavily dependent on imported fuel.

Pakistan, meanwhile, has introduced a nationwide fuel subsidy to cushion consumers from soaring fuel prices.

The scheme, which took effect on Wednesday, covers eligible motorcycles, rickshaws and smaller vehicles, although some users have reported difficulties registering for the subsidy.

Pakistan’s power sector is also expected to require additional gas supplies through the winter, adding to concerns over energy security.

Bangladesh, meanwhile, continues to face a significant gas supply shortfall that is weighing on industrial output and investment.

The energy crunch highlights the vulnerability of South Asian economies to disruptions in global fossil-fuel markets, particularly those with limited financial room to absorb higher import costs.

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