The government is set to unveil a national budget grounded in fiscal realism, steering clear of excessive bank borrowing or resorting to printing money, according to Finance Adviser Dr. Salehuddin Ahmed.
“We intend to craft a budget that is practical and manageable. It won’t rely on massive loans or deficit financing for mega projects. While a certain level of deficit is expected, it will be addressed through external project support from institutions like the IMF and the World Bank,” Dr. Ahmed told reporters after a meeting of the Advisory Committee on Government Procurement at the Secretariat.
He emphasized that the upcoming budget would avoid an inflated fiscal gap and aim to maintain stability rather than aggressive expansion. In response to questions on whether the budget would be smaller than last year's, he replied, “That will be revealed in due course.”
During the procurement review meeting, Dr. Ahmed highlighted growing concerns over riverbank erosion, which has prompted the government to approve six new river protection projects. “If we don’t secure our riverbanks, the roads and surrounding infrastructure will be severely affected during the monsoon,” he warned.
The meeting also addressed minor shortfalls in edible oil supply, with plans underway to import rice bran oil to ease the market. Additionally, several new projects concerning food storage capacity and liquefied natural gas (LNG) imports received approval.
Turning to the recent controversy over the National Board of Revenue (NBR) ordinance, which has faced criticism from customs officials, Dr. Ahmed defended the legislation. “Their interests are protected. I urge everyone to read the ordinance carefully before drawing conclusions,” he said.
He noted that the reform aligns with global best practices, where policy design and execution are kept separate to avoid conflicts of interest. “Policy-making should be driven by economic data and statistical insight, while the implementation should remain the responsibility of a different arm,” he explained.
Responding to claims that stakeholders were not consulted, Dr. Ahmed said, “We engaged key personnel in the drafting process. Of course, we couldn't consult every individual, but the discussions were held at the appropriate levels.”
Despite the challenges, the finance adviser struck a hopeful tone on revenue collection, revealing a 2% increase over last year’s figures. “That’s a positive sign. If this trend continues, we expect to meet or even surpass last year’s revenue target,” he concluded.
