Finance ministry officials submitted a budget outline to Prime Minister Sheikh Hasina on Monday, during which they discussed the issue of high subsidies on gas, electricity, and fertilizer, as well as rising inflation.
To meet the exigencies, the current fiscal year’s budget included Tk458.52 billion for subsidies and incentives, which was later revised upward to Tk588.25 billion. According to sources, the government usually budgets Tk90 billion for agriculture subsidies. However, the Ministry of Agriculture has requested Tk280 billion to meet the subsidy requirement for the next fiscal year. The meeting was given a budget framework for the coming fiscal year, with an estimated total outlay of Tk6.77 trillion. Total revenue is expected to be Tk4.33 trillion, with the NBR receiving Tk3.7 trillion. Last month, finance minister AHM Mustafa Kamal presided over a meeting of the coordination council on fiscal, monetary, and currency exchange, which estimated that the budget for the next fiscal year will be Tk6.77 trillion, with total revenue earning targeted at Tk4.33 trillion.
The annual development programme (ADP) is estimated to be worth Tk2.46 trillion. The meeting also agreed to keep inflation in the 5.5-percentage-point range in the coming fiscal year, down from as high as 6.22 per cent in March due to steep price increases.
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