Rejaul Karim Byron

Safety Net Budget Fy 2023-24: Spending just 1.01pc of GDP, not 2.52pc

On paper, Tk 126,272 crore, the amount earmarked for social safety net programmes, looks to be a hefty sum. But the sum flatters to deceive: as much as 60 percent would be going towards those not in dire need.

1d ago

High Inflation: Worrying but under control

Finance Minister AHM Mustafa Kamal yesterday said that though he is worried about the elevated level of consumer prices, the situation is still under the government’s control.

2d ago

It’s unrealistic, unattainable

The proposed budget for 2023-24 is unrealistic and unattainable as the challenges that caused the economic growth to decelerate, foreign exchange reserves to dip and inflation to surge in the past one year still persist, said economists and think-tanks.

3d ago

No remedy for default loans, forex crisis

Though higher default loans and declining foreign currency reserves have been identified as the biggest risks to the economy of Bangladesh in recent times, Finance Minister AHM Mustafa Kamal yesterday fell short of coming up with any definitive measure to address the twin issues save offering some words of hope.

3d ago

Foreign debt servicing likely to soar by 45pc

The government’s foreign debt servicing burden may rise by as much as 45 percent in the next fiscal year due to the devaluation of taka and higher utilisation of foreign loans in recent years.

4d ago

Business-as-usual attitude in meeting budget deficit won’t work

Says economist Zahid Hussain

5d ago

A bleak time to draw up budget

In June last year when Finance Minister AHM Mustafa Kamal placed the budget in parliament, inflation had already been creeping up and the foreign currency reserves were on the decline. These two had derailed the full economic recovery from a two-year crisis wrought by the Covid pandemic.

5d ago

Utilising Funds: Health ministry fares worst, yet again

The health ministry continues to struggle with utilisation of funds allocated in the national budget, like it did in the past few years.

6d ago

Subsidies in Bangladesh's National Budget 2023-23

Budget Subsidies: Big chunks go to power, fertiliser

The allocation for subsidies in agriculture, food, and power will be raised considerably in the next budget, with an aim to ease inflationary pressure on people.

6d ago

Sustaining dev, curbing inequality major challenges

Sustaining the development that has taken place in Bangladesh in the past 14 years and curbing inequality are key major challenges facing the economy owing to the fallout of the coronavirus pandemic and the Russia-Ukraine war, said Planning Minister MA Mannan.

1w ago

Reining in inflation top priority

The government is going to unveil a Tk 7,61,785 crore budget for the next fiscal year on Thursday, setting containment of high inflation as a major target.

1w ago

Meeting deficit financing: Govt borrowing from banks may go thru the roof

The government’s target for borrowing from the banking system in the next fiscal year is set to surpass the Tk 1 lakh crore mark for the second consecutive year amid the twin difficulties of raging inflation and shrinking foreign reserves.

1w ago

Raging Inflation: Not much help on the way for the poor

Even though poor people are struggling to make ends meet amid runaway inflation, the government allocation for social safety net programmes may not increase much in the next fiscal year.

1w ago

Bangladesh losing $3.3b a year to power cuts

Bangladesh loses around $3.3 billion a year due to unreliable power supply to homes, offices, and factories.

2w ago

Private investment falls for second time in 3 years

The private investment-to-GDP ratio in Bangladesh declined in the current fiscal year owing to a lower confidence among investors amid the persisting dollar crisis and global uncertainty, higher inflation and a fall in demand for goods in international markets.

2w ago

World bank loan: $4.9b next fiscal

Bangladesh will get $4.9 billion in loan from the World Bank for a dozen projects in the next fiscal year, given that those are ready on time for implementation as stipulated by the global lender.

2w ago

Industrial slump leads to GDP growth slide

Bangladesh’s gross domestic product is estimated to have grown at a slower pace in the current financial year with the biggest blow stemming from the industrial sector, official figures showed.

2w ago

Salary Hike of Govt Employees: Inflationary risks put govt in doubt about timing

The government is in a dilemma over the timing of increasing the salary of its employees as a risk of further rise in inflation is associated with it.

2w ago

Don’t increase tax burden on ordinary people

Prime Minister Sheikh Hasina has directed the National Board of Revenue not to increase the ordinary people’s tax burden as it looks to improve its revenue collection by 16 percent in the upcoming fiscal year.

3w ago

Next national budget to be placed on Jun 1

A conservative budget for next fiscal year

Prime Minister Sheikh Hasina has called for a conservative budget for the next fiscal year, discounting the impact of the forthcoming national elections on the pre-budget exercise.

3w ago

WB concerned about project delays

The more than seven years average project implementation period for Bangladesh between 2016 and 2021 presents a risk to the effective implementation of the next country partnership framework, said the World Bank in a report recently.

3w ago

Forex reserves, revenue measures lacking

The International Monetary Fund staff mission yesterday expressed reservations about the likelihood of Bangladesh meeting the minimum reserve requirements for the second tranche of the $4.7 billion loan.

4w ago

Single Exchange Rate: Fitch keeping tabs on its rollout

The central bank’s planned move to a single, more market-determined, exchange rate would be central towards stabilising the precarious foreign exchange reserves and reducing external imbalances, said global ratings agency Fitch yesterday.

Govt plans smaller rise in next ADP

The government plans to increase its development spending slightly in the upcoming fiscal year due to the narrow fiscal space, the dollar crisis, the conditions attached to the IMF’s loan programme, and higher expenses on subsidies and interest payments.

World Bank to give over $8 billion in next 4 years

The World Bank Group is set to provide Bangladesh with upwards of $2 billion every year over the next four years to help the country gear up for its next phase of development.

IMF loan conditions: Another power price hike likely by June

There is likely to be yet another increase in electricity tariff by June as the government looks to shed its subsidy burden in line with the demands of the International Monetary Fund.

$4.7B Loan Programme: IMF mission to check Bangladesh’s progress

The IMF staff mission is set to begin its next series of meetings with the Bangladesh authorities today to measure how the country is faring with the $4.7 billion loan programme.

Public audit law in the offing

The government is set to enact the first-ever public audit law that will usher in more transparency and accountability in public expenditure and expand the scope of the Office of the Comptroller and Auditor General of Bangladesh.

Subsidy, interest bills highest in a decade

Bangladesh’s spending on subsidies and interest payments surged 45 per cent year-on-year in the first eight months of this fiscal year, turning out to be the highest in at least a decade.

5.5pc growth is not insignificant

The 5.5 percent growth forecast made by the International Monetary Fund for the Bangladesh economy would be decent given the pressure emanating from the external side, said a top official of the multilateral lender yesterday.

Poverty drops but inequality higher than ever

The poverty rate in Bangladesh has dropped significantly but income inequality is at an all-time high, according to the latest version of the Household Income and Expenditure survey -- in a puzzling development that raises questions about the nature of economic growth seen in recent times.

Poverty rate declines to 18.7%: BBS

The poverty rate in Bangladesh has declined to 18.7 per cent and the extreme poverty rate stood at 5.6 per cent, according to the latest data from the Bangladesh Bureau of Statistics (BBS).

$4.7B IMF loan: Bangladesh on course to meet most of March targets

Bangladesh is poised to meet five of the six targets set by the International Monetary Fund for March as part of the $4.7 billion loan programme.

Revised budget down 2.5pc

The finance ministry has already finalised the revised budget for this fiscal year and the concerned ministries are informed about it but it will not be made public until June.

Next budget to be 12pc bigger

The government is set to present a 12 percent bigger budget for fiscal 2023-24, the last of the Awami League government’s present tenure, as it looks to juggle austerity and growth ambitions.

WB keeps Bangladesh’s GDP growth forecast unchanged at 5.2% for FY23

The World Bank today said Bangladesh’s GDP would grow by 5.2 per cent in the current financial year, unchanged from its January forecast, as elevated inflation, tighter financial conditions, disruptive import restrictions, and global economic uncertainty keep hurting the economy.

FY24 Budget: Inflation to determine social safety budget

The government is set to increase the amount of allowance under the social safety net programme in the next budget to cushion the poor from the impacts of high inflation.

IMF’s loan conditions: Tax collection target for June may be missed

The government is on track to meeting the International Monetary Fund’s tax collection target for March but may miss the mark in June.

Borrow more from non-bank sources

The central bank has said the government will have to borrow more from non-banking sources to finance its expenditures in a bid to rein in higher inflationary pressures as the latter’s bank borrowing surged.

Labour Force Survey 2022: Agriculture still main job generator

It seems the Bangladesh economy is stuck in a time warp, going by the latest edition of the Labour Force Survey unveiled yesterday.

FY23 budget: Little room for trimming as austerity fails

In the end, was the government’s austerity stance just lip service?

ADB, partners to give $2b by June

Bangladesh is poised to get about $2 billion in budget support this fiscal year in a co-funding initiative led by the Asian Development Bank, in a development that would ease the continued pressure on the foreign currency reserves.

Development spending lowest in 12 years

Development spending in Bangladesh stood at 32.10 per cent in the first eight months of the current fiscal year, the slowest pace of implementation during the rule of the Awami League, official figures showed.

PM to visit US in April on WB president’s invite

Prime Minister Sheikh Hasina is scheduled to travel to Washington DC towards the end of next month to celebrate 50 years of partnership between Bangladesh and the World Bank.

Rooppur Nuke Power Plant: Launching not before 2025

The Rooppur nuclear power plant is likely to be delayed further if the recent revision of one of the associated projects is any indication.

5 projects to seek extra Tk 1,119cr

Although the government discourages implementing agencies of development projects in Bangladesh from seeking time and cost revisions, several proposals in this regard are placed at each meeting of the Executive Committee of the National Economic Council (Ecnec).