It it’s not possible to prevent loan defaulters and money laundering, these will pose a big challenge to the government. Besides, the interest of big loan defaulters are being exempted which is not fair at all, former Governor of Bangladesh Bank and eminent economic analyst Dr. Mohammed Farashuddin said on Friday.
“The public sector banks have so far exempted interest of defaulted loan amounting Tk 50,000 crore, this amount also should be considered as default loan. Currently inflation running around 10 percent, in the budget it was projected that inflation will be brought down at 6.5 percent but ultimately it will not be possible”, Dr. Farashuddin added.
He was addressing a shadow parliament on National Budget for FY 2024-25 by ‘Debate for Democracy’ at the auditorium of FDC Karwanbazar in the capital.
Stressing to maintain balance in between stock and supply, Farashuddin said the Tk. 96,000 crore foreign debt will be taken for deficit financing of budget which may be a serious harmful tool.
Rather, the government should think of taking loan from savings bond by lessening dependence on loan from foreign sources. Again, huge amount of bank borrowing for deficit financing will also create negative impact on private sector credit growth, the former BB Governor opined.
‘Debate for Democracy’ Chairman Hasan Ahmed Chowdhury Kiron presided over the discussion. While addressing, Kiron said lower and middle income segment of people remain scared of hiking house rent, transportation cost, academic expenses of their children and off course increased cost of treatment before and after the national budget is placed.
He said day by day income inequality of people is widening which may cause social and family unrest.
