The Cabinet has approved Bangladesh’s proposed national budget for the 2026-27 fiscal year, clearing the way for its presentation in Parliament later on Thursday.
The approval came at a special Cabinet meeting held at the Jatiya Sangsad Bhaban and chaired by Prime Minister Tarique Rahman, according to the Prime Minister’s Additional Press Secretary, Atikur Rahman Rumon.
Finance Minister Amir Khosru Mahmud Chowdhury and other ministers and state ministers attended the meeting, which began at around 10:00am and concluded at approximately 1:00pm.
The finance minister is scheduled to place the proposed budget before Parliament at 3:00pm after receiving presidential authentication.
The proposed budget, the first to be presented by the current government, has a total outlay of Tk 9.38 lakh crore. According to the finance minister and government officials, its key priorities include curbing inflation, creating jobs, encouraging investment, strengthening economic stability and supporting lower-income and disadvantaged groups.
To finance the expenditure programme, the government has set an overall revenue collection target of Tk 6.95 lakh crore. Of that amount, Tk 6.04 lakh crore is expected to come through the National Board of Revenue (NBR). A further Tk 25,000 crore is projected from non-NBR tax sources, while non-tax revenues are estimated at Tk 66,000 crore.
Debt servicing will account for a significant share of expenditure. The government has allocated Tk 1.27 lakh crore for interest payments, including Tk 1.05 lakh crore for domestic debt and Tk 22,500 crore for foreign loans.
The budget projects an overall deficit of Tk 2.43 lakh crore. To bridge the gap, the government plans to borrow Tk 1.09 lakh crore from external sources and Tk 1.12 lakh crore from the banking system. The remaining Tk 15,000 crore is expected to be raised through national savings certificates.
The budget will be the first presented by a BNP-led government in two decades following the party’s return to power with a majority in the 13th parliamentary election. The last budget placed by a BNP administration was for the 2006-07 fiscal year, when then finance minister M Saifur Rahman presented it during the government of former prime minister Khaleda Zia.
Bangladesh’s budgetary history began in 1972 when finance minister Tajuddin Ahmad unveiled the country’s first national budget, worth Tk 786 crore. Since then, annual budgets have served as the government’s principal tool for implementing economic and development policies.
The FY27 budget is being introduced in a markedly different political landscape following the July 2024 uprising and the subsequent political transition that led to the 13th parliamentary election and the formation of an elected government.
Last year’s budget was presented outside Parliament by finance adviser Salehuddin Ahmed under the interim administration led by Professor Muhammad Yunus and was broadcast on state-run Bangladesh Television (BTV).
The proposed budget is expected to be passed by Parliament on 30 June and will come into effect on 1 July, the first day of the new fiscal year.
