Experts and economists at an event on Tuesday suggested that the government should prioritize reforms in four areas including tax regime, exchange rate management, bank sector and public spending management in the national budget for the forthcoming financial year 2024-25 to address the ongoing economic challenges.
At a pre-budget consultation titled Fiscal Year 2024-24 Budget: Seeking Directions for Addressing Key Challenges organized by the Research and Policy Integration for Development (RAPID) held at the National Press Club in the city, experts said that this is the right time for the government to go for reforms overcoming the policy inertia.
Economists at the event said that the budget for FY25 was being formulated amidst a confluence of formidable economic challenges such as soaring inflation and tumbling foreign exchange reserves.
The government should give utmost priority in controlling inflation in the budget for the upcoming financial year as people have been suffering with the soaring living cost for the past two years.
RAPID chairman Dr M A Razzaque presided over the event while state minister for planning Md Shahiduzzaman Sarker and parliament member Md Nsser Shahrear Zahedee attended the programme as chief guest and special guest respectively.
RAPID executive director Dr M Abu Yusuf presented the keynote paper while former national Board of Revenue chairman Dr Muhammad Abdul Mazid, Dhaka Chamber of Commerce and Industry president Ashraf Ahmed, Prothom Alo head of online Shawkat Hossain Masum and Economic Reporters Forum president Mohammad Refayet Ullah Mirdha also attended the event as panel discussants.
Abu Eusuf in his presentation identified sluggish global growth, inflation, low tax-GDP ratio, forex crisis, high non-performing loans, increasing external debt and slow growth in employment opportunities as the key challenges for the economy of Bangladesh.
To address the challenges he recommended preparing strategies to deal with sustainable transition from LDC status, tariff rationalisation, domestic resource mobilization and withdrawal of cash assistance or exploring alternatives.
State minister for planning Md Shahiduzzaman Sarker said the national budget is the reflection of the political commitment of the government and a document of responsibility to the people.
He said that Bangladeshs economy has made significant improvement in past one and a half decades but the country needs to achieve more.
Once upon a time propels demand was food and clothes but those days are over. Now people demand for a higher living standard and this is the achievement of the government, the state minister said.
