In the outgoing fiscal year, the projected inflation was 5.5 percent, which was revised up to 5.8 percent.
The rate of inflation was recorded at 5.57 percent in May on the back of easing price of essentials, according to the national statistical agency BBS.
Muhith proposed the target of 5.6 percent inflation in the budget in parliament on Thursday.
Bangladesh has been at a comfortable level terms of the inflationary pressure over the last few years as the global oil and food prices were almost stable.
Despite the fact that there is a downward trend in food inflation due to increased agricultural production supported by efficient supply management, non-food inflation is ticking up under the influence of rising global commodity prices, according to the budget documents.