Bangladesh unveils its FY24 budget! Here’s what you need to know.
Development partners remain at the heart of this new budget as government attempts to service debt by exploring new revenue avenues while still providing tax relief amid inflationary pressure. The following are our key takeaways:
- BDT 7.6 trillion (USD 70 bn) budget, aiming 7.5% GDP growth and 6.5% average inflation.
- Total revenue collection target is BDT 5.0tn: c15% higher than FY23’s revised budget.
- Budget deficit is expected to be BDT 2.6 trillion (USD 24 bn), roughly 5.2% of FY24f GDP.
- It aims to achieve the targets set by the development partner.
- As per IMF targets, it also explores revenue avenues while tightening the austerity measures.
- On the other hand, tax-free threshold for individuals has been raised to give some relief amid inflation.
With various macroeconomic issues needing to be addressed, the Bangladeshi government has been doing its best to keep the economy afloat and ensure that it continues to thrive. Only time will tell how things unfold for this proud nation.
