Welcoming the new budget, the country's top economists and business leaders on Thursday expressed their mixed reaction terming that implementation of the budget will be a major challenge as there is a budget deficit and also depends on foreign aid. They suggested taking effective measures to enhance the capability of agencies and officials engaged in materializing the budgetary measures.
Former governor of Bangladesh Bank and eminent economic analyst, Dr Salehuddin Ahmed told Bangladesh Post that although the overall budget is satisfactory but it lacked specific direction for reforms and implementation process. He said, “The government has been making positive efforts to improve the overall situation, however, the budget lacks clear explanation on how to achieve the goals.”
"As per the size, it’s a huge budget, but it requires a specific vision on earning sources. At the same time the budget should have the focus to strengthen the capacity of people concerned in implementing the budget", Salehuddin added. Honorable Fellow of Center for Policy Dialogue (CPD), Dr Debapriya Bhattachariya in his reaction on the budget said, “It seems that Finance Minister took all efforts to prepare a realistic budget but it lacks clear measures to achieve the goals.”
Dr Selim Raihan of Department of Economics, University of Dhaka, who is also the Executive Director of SANEM told this correspondent on Thursday that the proposed budget is an ambitious one. This budget has taken several positive initiatives like for instance, a pension scheme for all, govt employees under insurance coverage, wealth tax, additional tax on the registration fee for vehicles, incentives for remittances, and tax office in every upazila.
"We expect clear guidelines and plans from the government on how this budget is going to be implemented. It is important to highlight how the performance of different ministries will be improved to implement this proposed budget," Dr. Raihan added. President of Dhaka Chamber of Commerce and Industries, (DCCI), Osama Taseer said that the government should lay special emphasis on enhancing the capacity to implement such a big budget, ensuring accountability in the process of implementation and skill development.
“The target set in revenue earning is Tk 3,77,810 crore of which NBR has to collect Tk 3,25,600 crore, so it will be a big challenge for the NBR. The deficit is of Tk 1,45,380 crore, bank borrowing is targeted in the budget of Tk 47,364 crore which seemed to be tolerable but the government must take care so that it may not play a role to slowing the credit flow in the private sector," Taseer added.
Praising the allocation of Tk 100 crore for start-up capital, the President of Bangladesh Chamber of Industries (BCI) Anwarul Alam Chowdhury Parvej said, “This initiative will ultimately play a positive role in ensuring sustainable economic development of the country.” He termed the stagnant investment situation, banking sector turmoil and budget deficit as the biggest challenge for the implementation of this year's budget and there should have some certain and specific program to face them.
BGMEA President Rubana Huq told Bangladesh Post that the budget focuses on some new sectors instead of sticking to the traditional sectors. She urged the government to bring the RMG workers under the social safety net program as an allocation of Tk 74,367 crore has been given for the sector.
President of Bangladesh Women Chamber of Commerce & Industry (BWCCI), Selima Ahmed hailed the move for VAT exemption from the showrooms of women entrepreneurs and VAT exemption for the procurement of the agricultural machinery. REHAB President, Alamgir Shamsul Alamin said, “The government's move to reduce registration fee in the housing and real estate sector in the national budget will tremendously help the sector overcome the longtime stagnant situation.”
