Bid to bring laundered money back extremely unethical: CPD

Center for Policy Dialogue (CPD), a local think-tank, has said the government's move to bring laundered money back into the country in the proposed budget is 'utterly immoral and unethical.'

It observes that those who have taken money from banks as loans through corruption are being invited again with such an unethical scope. The initiative will subsequently yield no result.
The CPD made the observations at post-budget press conference titled "National Budget 2022-23: CPD's Review" held at a hotel in the capital on Friday morning.

Earlier on Thursday, Finance Minister AHM Mustafa Kamal said in his budget speech in parliament that the government would give a chance in the proposed budget to bring laundered money back from abroad to raise foreign exchange.

Kamal also announced that anyone would be able to bring the siphoned off money back to the country by legalizing the amount paying 7per cent of tax.

However, speaking at the press conference, CPD Distinguished Fellow Professor Dr Mustafizur Rahman said the move to facilitate legalising laundered money was 'ethically, economically and politically unacceptable.'

According to Professor Dr Mustafizur Rahman, the taxation measures of the government would give relief to the rich people but would not provide any respite to the low-income and middle-income people who were suffering hard amid the global price spiral.

Referring to the budget speech, CPD Executive Director Dr Fahmida Khatun laid emphasis on using appropriate fiscal policy to protect low and limited earners in the country.

"CPD has earlier emphasised the need for protecting the low and limited earners in the country and focusing on inflation management and restoration of macroeconomic stability by coming out of GDP growth obsession," she said.

She recommended allowing tax concession to essential commodities at both import and domestic stages and providing tax reliefs to middle-income groups to protect the low and limited earners in the country.

Dr Fahmida Khatun suggested allocating adequate resources for subsidies for keeping the administered prices of petroleum products, electricity, gas, and fertilizer and expanding social safety net provisions both in terms of coverage and the amount of per capita allocation.

CPD Research Director Khondaker Golam Moazzem said that the proposed budget had identified the problems but lacks measures to address them.

He laid emphasis on increasing the tax-free income limit for individuals from Tk 3,00,000 for providing some respite to the general citizens in view of the increasing prices of essentials.


EUM/SZA