Tough to implement budget: FBCCI

The country’s apex trade body has said the proposed budget will be difficult to implement.

Staff Correspondentbdnews24.com
Published : 9 June 2018, 12:28 PM
Updated : 9 June 2018, 12:28 PM

The Federation of Bangladesh Chambers of Commerce and Industry or FBCCI formally reacted to the budget at a news briefing in Dhaka on Saturday.

“We do not want to say if it is bad or good. But there is a lot to be happy about. There are areas where the traders have objections. We will sit with the government and try to get them right,” said FBCCI President Md Shafiul Islam Mohiuddin.

Finance Minister AMA Muhith presented the Tk 4.65 trillion budget for fiscal 2018-19 in parliament on Thursday. The figure is an increase of 25 percent from the revised budget and more than 16 percent higher than the original budget of the outgoing fiscal year.

Putting emphasis on the proper and effective implementation of the budget, Mohiuddin said, “Efficiency, transparency and accountability need to be ensured in implementing the budget. Otherwise, this huge budget will be very tough to implement.”

On the government’s plan to borrow Tk 1.22 trillion from internal sources to meet the budget deficit, he said it will not squeeze the credit flow to the private sector if the government remains cautious.

“It is necessary to strengthen the supervision of the government's bank borrowing so that it does not put any excessive pressure on the private sector credit flow.”

The FBCCI boss blamed a Tk 850 billion default loan in the banking sector on the higher interest rate, and demanded exemplary punishment for those responsible for loan scandals.

“We demand stringent punishment for those responsible for scams at Basic Bank and Farmers Bank,” he said.

However, the FBCCI lauded some budgetary measures such as extending social safety net, several tax slabs and duty cuts on imports of raw materials in the steel and pharmaceutical industries.

The revenue collection will be too tough for the National Board of Revenue if no new taxpayers are netted, according to the trade body.