The budget for the next fiscal year should be framed by taking into account the new challenges facing the economy and the cost of living crisis confronting people, said a noted economist.

The government must ensure a prudent macroeconomic management and coordination between fiscal and monetary policies to help Bangladesh ride out the current crisis, said Monzur Hossain, research director of the Bangladesh Institute of Development Studies.

The government should control import demand and cut public expenditure to lessen pressure facing the economy as well as expand social safety net programmes to help poor and low-income households cope with higher inflation, said Zahid Hussain, a noted economist.

Local currency taka gained in value by Tk 0.50 to Tk 91.5 per US dollar at the interbank platform yesterday after facing a continuous slide in the last couple of months. 

Ten banks in Bangladesh collectively faced a capital shortfall of Tk 27,051 crore in March, an indication of their fragile health caused by years of irregularities.

Austerity and generosity may not go hand in hand, but Finance Minister AHM Mustafa Kamal faces a situation where he has to apply both when he unveils the budget for the next fiscal year today.

AHM Mustafa Kamal, whose life has been full of struggles, had dreamt of becoming the finance minister, so he consciously entered politics.

What is the purpose of the national budget? In essence, it is to allocate scarce resources.

How can they contribute to the budget without taking part in the discussions?

Listed and non-listed companies using banks and digital means to receive all receipts and income and carry out all expenditures and investments of over Tk 12 lakh are likely to enjoy a 2.5 percentage point tax cut from next fiscal year.

The tax authority apparently seeks to cut turnover tax for startups to 0.1 per cent from the next fiscal year from the existing 0.6 per cent to facilitate the growth of budding entrepreneurs.

Advance income tax on the import of gold is expected to be withdrawn from the next fiscal year as the government wants to encourage formal trade of the precious metal and curb smuggling.

Major indices of Bangladesh’s stock market yesterday bounced back from a two-day fall as investors were buoyed by hopes of market-friendly measures in the upcoming national budget for fiscal 2022-23.

China is going to increase duty benefits for Bangladesh, allowing one percentage point more Bangladeshi products free access to its markets, saying it was to reduce the trade imbalance between the two countries. 

Employers hiring over 25 persons who are physically challenged or of the third gender or over 10 per cent of whose employees comprise such persons are expected to become eligible for a tax rebate.

Although exporters of all sectors are going to enjoy 10 per cent (green businesses) and 12 per cent (non-green businesses) corporate tax in line with garment makers, source tax on export proceeds is likely to double to 1 per cent from the next fiscal year.

The local currency today appreciated Tk 0.50 to Tk 91.5 against the US dollar at the interbank platform after facing a consistent slide in the last couple of months.

The Thakurgaon administration postponed the meeting scheduled to be held today with the potato growers, traders and cold storage owners to fix cold storage rents.

The leather industry cannot flourish properly depending only on the activities that take place during Eid-ul-Azha, Industries Minister Nurul Majid Mahmud Humayun said today.

China is going to increase the tariff-free quota benefit for more Bangladeshi goods to minimise the trade imbalance between the two countries.