BPC Seeks Tk 18,699 Crore Lifeline: State Fuel Importer Faces Cash Crisis After Decade of Profits

Dhaka, August 11, 2026 — The Bangladesh Petroleum Corporation (BPC) has sought a Tk 18,699 crore lifeline from the government after incurring massive losses in just four months — buying petroleum products at higher prices and selling at lower rates — in a dramatic reversal for a state-owned corporation that had earned Tk 48,618 crore in cumulative profit over the previous decade.

📊 The Crisis

In the four months to June, BPC incurred a loss of Tk 18,699 crore. The cash-strapped corporation now estimates it needs around Tk 20,000 crore as working capital to maintain the country's mandatory 60-day fuel stock. Citing rapid depletion of cash reserves, BPC said continued losses could affect its ability to open letters of credit (LCs) for future fuel imports.

💰 A Decade of Profits, No Reserve Fund

BPC earned a cumulative Tk 48,618 crore in net profit from FY2015-16 to FY2024-25, making profits in nine of those 10 years. Yet when the Middle East war energy shock struck, the corporation had no "General Reserve Fund" to fall back on. BPC says no such fund has been created since its inception, despite provisions for one in the Bangladesh Petroleum Corporation Act. BPC has now proposed creating a Tk 5,000 crore General Reserve Fund — but the proposal has not yet been approved.

🛢️ Root Cause: Middle East War

The losses were driven by the Middle East crisis — with global oil prices surging after the US-Iran conflict began in February 2026. BPC bought petroleum at higher international prices but was required to sell at government-controlled domestic rates, absorbing the full difference as loss. Petroleum import payments surged 107 percent in FY26, according to Bangladesh Bank data.