Persistent budget deficits and sustainable external debt: Long-term impact on economic growth in Bangladesh

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A negative association exists between budget deficits and external debt levels in Bangladesh.
External debt negatively affects economic growth unless supported by stable policy variables.
The study employs correlation analysis and multiple regression on data from 1980 to 2021.
Prudent fiscal management strategies are essential to leverage external debt for economic development.

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Correlation analysis reveals external debt's negative impact on economic growth, highlighting fiscal management significance.

Noman et al. (2025) studied this question.

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