Bangladesh’s budget deficit for the current fiscal year has widened to nearly Tk 230 billion, with spending outpacing revenue. Total revenue increased by over 13% to Tk 2.24 trillion during the July-January period, while total expenditure rose to Tk 2.47 trillion. Development expenditure surged by nearly 30% to Tk 558.33 billion, and non-development expenditure increased by over 13% to Tk 1.92 trillion. The government expects total revenue to increase by nearly 16% to Tk 4.50 trillion by the end of the fiscal year. However, borrowing costs are climbing, leading to concerns about interest payments and larger deficits in the future.
As of January, interest payments amounted to Tk 605.55 billion, up nearly 16% from the previous year. Spending from the annual development programme increased by nearly 31% to Tk 524.92 billion during the period. Despite lower food procurement costs due to bumper harvests, Bangladesh estimates a deficit of Tk 2.58 trillion for the entire fiscal year.
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