Bank reform commission in offing in Bangladesh, claims minister

Addressing members of the Economic Reporters’ Forum (ERF) during a pre-budget meeting in Dhaka, Mahmood Ali acknowledged longstanding calls from experts to implement comprehensive reforms in banking, revenue, and public spending even if Bangladesh’s low tax-to-GDP ratio underscores the urgent need for revenue sector reform.

Public expenditure rationalisation is also imperative to curb fund leakages through subsidies, incentives, and project cost overruns, the minister emphasised while dispelling concerns about the economy.

He refuted rumours of impending volatility, contrasting Bangladesh’s stability with Sri Lanka’s economic challenges.

Mahmood Ali affirmed that despite obstacles, the economy remains on track, with preparations for the fiscal year 2024-25 budget underway. He assured the availability of essential goods in local markets and noted stabilisation in inflation, despite it persisting above 9 per cent since March last year.

Highlighting ongoing austerity measures, the minister underscored that the upcoming budget would adhere to these principles. However, he refrained from commenting on the United States Trade Representative’s recent report, which identified corruption and bribery as significant impediments to trade and investment in Bangladesh.

Fibre2Fashion News Desk (DR)