Here are snippets of the announcements made at the presentation of the proposed national budget for 2020-21 fiscal year
Health sector to get Tk29,247 crore for overhaul
Finance Minister AHM Mustafa Kamal has announced a total of Tk29,247 crore for overhaul of the health sector, which has been battered by the Covid-19 pandemic, in the budget for the 2020-21 fiscal year.
Fund cuts in mega projects due to Covid-19 pandemic
The government has cut allocation in the mega projects at a time when those are already supposed to miss the deadline due to the Covid-19 pandemic.
Tk2,000cr loan scheme for jobless, expat returnees
Three banks and one specialized institution will distribute the money, says the finance minister.
Provisions for whitening black money, retains corruption, says BNP
BNP Standing Committee member Amir Khasru Mahmud Chowdhury has expressed concern over the proposed FY2020-21 national budget, stating that it is a process of whitening black money and keeping corruption going.
Budget FY21: It’s ambitious, says CAB
The Consumer Association of Bangladesh (CAB) has commended as well as made some critical observations about the proposed national budget for the 2020-21 financial year.
Food Ministry allocated Tk19,264 crore
The new allocation is nearly Tk3,000 crore more than that in the outgoing fiscal year.
Govt targets Tk378,000 crore in revenues
Of the amount, the NBR has been tasked to realize a revenue collection target of Tk330,000 crore.
Sanem deems revenue target unrealistic
The revenue collection target for the coming fiscal year is Tk378,000 crore.
Finance minister proposes TDS upon payment of interest and discount on bonds
Currently, investors pay 5% tax on the interest or coupon they will get till the maturity of any bond upfront when purchasing bonds.
Tk1,633cr allocated for Foreign Ministry
The allocation in the proposed budget is only Tk36 crore more than the revised budget of 2019-20 fiscal year.
CPD: Whitening black money initiative morally unacceptable
A fellow of the think tank said the government will not be able to benefit much from this facility.
One-person company can be registered as a company
The government is planning to amend the Companies Act to this end, Finance Minister Kamal said in parliament.
Tk3,688 cr allocated for civil aviation, tourism
The allocation in the proposed budget is Tk271 crore more than the revised budget of 2019-20 fiscal year that was Tk3,417 crore.
Over 11% to be spent on loan interest
Finance Minister AHM Mustafa Kamal, in his budget proposal for FY2020-21 on Thursday, said he planned to spend Tk63,801 crore in interest payments, which stands at 11.23% of the total budget.
Tk1,585 crore for law and justice sector, Tk222 crore for SC
In the previous fiscal year, Tk1,196 crore was allocated for the law and justice sector and Tk195 crore for the Supreme Court.
Advance tax on digital ads proposed
This means the tax will be imposed on any advertisement put on social media, such as Facebook and Youtube or search engines like Google.
11.23% of budget to go on interest payments
The government has to spend Tk63,801 crore in interest payments, which is 11.23% of the proposed national budget for the 2020-21 fiscal year.
Second highest allocation proposed for transport, communications
Including the operational cost – Tk10,342 crore – the sector has been tipped to be allocated Tk64,580 crore.
Each court will be transformed into an e-court room
Finance Minister AHM Mustafa Kamal has said an e-judiciary project has been taken to bring the subordinate courts in Bangladesh under the ICT (information and communication technology) network.
Awami League hails pro-people, challenging budget for FY21 amid Covid-19 pandemic
The ruling party leaders also thanked and expressed their gratitude towards the party chief, Prime Minister Sheikh Hasina, for delivering such a challenging budget amid the global coronavirus pandemic.
Power, energy sector receives Tk26,758 crore
The power and energy sector of Bangladesh is set to receive an allocation of Tk26,758 crore in the proposed national budget for the 2020-21 fiscal year.
The government has forecast that the overall FY2020-21 budget deficit will be Tk190,000 crore, which is 6% of the GDP.
Tk1,478.93 crore proposed for development of youth and sports
Kamal said the government is playing an important role in the development of sports and culture for the youth of Bangladesh
Military spending increases by Tk2,327 crore
The chunk of defence budget for the FY2020-21 has been increased by Tk2,327 crore than that of the outgoing fiscal year.
Local cosmetics to become costlier
The supplementary duty on local cosmetics will be increased to 10% from 5%.
Tk66,401 crore budget proposed for education sector
The government has proposed a budget of Tk66,401 crore for the education sector in the next fiscal year, up from a budget of Tk61,114 crore in the outgoing 2019-20 fiscal year.
Finance Minister Kamal has proposed to raise the advance income tax (AIT) for private cars and sport utility vehicles (SUVs) for the incoming FY2020-21.
Social safety net programs to get 16.83% of total budget
The government has proposed an allocation of Tk95,574 crore for the social safety net programs for the 2020-21 fiscal year in its fight against poverty and coronavirus-related issues.
Tk10,000 crore for fight against Covid-19
In a bid to fulfil emergency requirements over the Covid-19 pandemic, Finance Minister AHM Mustafa Kamal proposed a lump sum allocation of Tk10,000 crore in budget for FY2020-21.
Finance Minister AHM Mustafa Kamal has proposed changes to duties on different products, which will result in increase or decrease in their prices.
Kamal proposes Tk100 crore for medical research
Allocation of Tk100 crore has been proposed for the development of health services through integrated medical research.
1% additional incentives for RMG to continue
Additional 1% cash incentives against exports of apparel goods with the existing incentives will continue for the incoming fiscal year.
No VAT proposed on gold import
The government has proposed to withdraw Value Added Tax (VAT) on import of gold to boost up the gold importation through the legal routes.
60% hike in excise duty proposed for bank accounts with over Tk5crore
The government has proposed to hike excise duty on bank accounts with significant balances in an attempt to increase revenue collection for the next fiscal year, as well as pave the way for recovery of economy battered by the Covid-19 pandemic.
Mobile phone use likely to become costlier
Mobile phone use is likely to become costlier in the 2020-21 fiscal year, as the government has proposed a 5% hike in the supplementary duty (SD) on mobile phone services – voice and data – in the proposed budget.
Govt takes up comprehensive plan with 4 key strategies
Amid the coronavirus crisis, the government has taken up a comprehensive plan with four main strategies discouraging luxury expenditures and prioritizing government spending that creates jobs.
RMG sector to enjoy 12% corporate tax for two more years
The $34 billion apparel sector of Bangladesh will continue to enjoy reduced corporate tax rate at 12% for the 2020-21 fiscal year, in a bid to help fight the Covid-19 impact.
BRTA services to cost more for private car, jeep owners
The owners of private cars and jeeps will have to pay more for obtaining different services provided by Bangladesh Road Transport Authority (BRTA).
Bangladesh aims to keep inflation under 5.4%
The government aims to keep inflation limited to 5.4% in the coming 2020-21 financial year, amid a global economy that is badly shaken because of the Covid-19 pandemic.
AC launch travel to get costlier
The travel by air conditioned launch services will get costlier as the government has proposed to double the value added tax on the service.
Tax on bank accounts with over Tk10 lakh goes up
Finance Minister Kamal has proposed raising the excise duties on bank accounts that hold over Tk10 lakh.
Chartered aircraft, helicopter flights to become costlier
The growing popularity of chartered aircraft and helicopter flights might suffer a hit as the government has proposed a hike in the supplementary duty on the service by 5%.
Govt sets higher bank borrowing target to finance budget deficit
The government has fixed a higher borrowing target from banks for the fiscal year 2020-21, in order to finance the projected budget deficit.
VAT on Covid-19 testing kits proposed to be exempted
Finance Minister Kamal proposed to exempt Value Added Tax (VAT) on coronavirus test kits to support detection and prevention of Covid-19.
50% penalty for money laundering
The government has proposed to impose a fresh 50% tax to check trade-based money laundering and tax evasion through fake and inflated investment.
Tk2,000 rebate for taxpayers filing returns online for the first time
The government is giving the highest priority to the digitalization of the National Board of Revenue (NBR), Finance Minister AHM Mustafa Kamal has said.
Corporate tax rate remains unchanged, except for non-listed companies
The government has proposed to keep the income tax rate for company taxpayers unchanged for the FY2020-21, except for non-listed companies.
Tax-free income ceiling for individuals raised to Tk3 lakh
Finance Minister AHM Mustafa Kamal has proposed to raise the ceiling for tax-free income threshold to Tk3 lakh from the existing ceiling of Tk2.5lakh – the first time in five years.
Source tax for RMG increases to 0.5% for FY21
Tax at source for Bangladesh’s apparel sector, the $34 billion industry, increased to 0.5% from 0.25% for FY2020-21.
Govt sets ambitious 8.2% GDP growth target for FY21
Amid uncertainty and bleak future of a global economic recovery, Bangladesh government has set a target of 8.2% gross domestic product (GDP) growth for FY20-21.
Finance Minister unveils Tk568,000 crore budget for FY21
Finance Minister AHM Mustafa Kamal has tabled a national budget of Tk568,000 crore for the FY2020-21, the biggest in Bangladesh’s history.
Finance Minister Kamal starts presenting budget for FY21
Finance Minister AHM Mustafa Kamal started presenting the proposed national budget for 2020-21 fiscal year in parliament, at 3pm on Thursday.
Cabinet approves proposed national budget for FY21
The cabinet approved the proposed national budget for the 2020-21 fiscal year on Thursday, during a special meeting presided over by Prime Minister Sheikh Hasina.
