Government's fiscal policymakers set Wednesday the next budget at Tk 2.95 trillion, Tk 450 billion up from current fiscal year's original outlay, with the focus on a balanced growth.
With a cautiously calculated growth target of 7.1 per cent, decided at a coordination meeting on the day, the government is likely to place the budget in parliament on June 04, officials said.
There were several figures of budget size for the next fiscal year as reported in the news media over the past few weeks.
This latest figure was fixed at the meeting of fiscal coordination council presided over by Finance Minister AMA Muhith.
The coordination meeting was held at the secretariat in the presence of the all high-ups of the ministry of finance. Senior officials of the central bank also attended the budgeting meet.
But the budget size is actually Tk 550 billion greater than that of the current fiscal year as the committee approved Tk 2.4 trillion revised budget for the outgoing fiscal year.
The fiscal coordination council, which monitors all fiscal and monetary affairs, sits quarterly as usual.
Tax-revenue mobilisation in the next fiscal year has been set at Tk 1.76 trillion, leaving an overall budget deficit of 5.0 per cent.
The meeting expected that the revenue receipts in the current fiscal year might come to Tk 1.35 trillion.
The annual development programme (ADP) for the next fiscal year has been set at Tk 920 billion.
Meeting sources told the FE that the current year's ADP has been trimmed down to Tk 750 billion -- apparently as economic activity was slowed down by prolonged political turmoil.
However, the appraisers now hold the hope for economic growth at 7.0 per cent this fiscal year despite the political turmoil since January 05 last.
The gross domestic product (GDP) growth for the upcoming fiscal year has been set at 7.1 per cent by cautious calculations of all ground realities -- as the passing year's 7.3 per cent growth target was going to be missed.
The inflation target has been set at 6.5 per cent for the next fiscal year (2015-16).
A high official present at the meeting said: "The government has been increasing its budget size as it believes that the increased allocations are playing a role in improving the infrastructure and promoting people's welfare."
Finance Minister Muhith is going to place the second budget of the present Awami League-led government since the general election took place in January 2014.
It will be the 16th budget of the Awami League in its four terms of governance since the independence of Bangladesh. And for AMA Muhith as finance minister, this will be his ninth.
jasimharoon@yahoo.com
Ambitious Tk 2.95tn budget likely on Jun 4
Jasim Uddin Haroon | Published: April 09, 2015 00:00:00 | Updated: November 30, 2026 06:01:00
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