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BUDGET FY24

DORP concerned about potential cuts to public service sectors

Staff Correspondent
02 Jun 2023 20:56:10 | Update: 02 Jun 2023 21:01:20
DORP concerned about potential cuts to public service sectors

The Development Organisation of the Rural Poor (DORP), a non-governmental organisation, has expressed concerns regarding the allocation of funds for the health sector and poverty alleviation, particularly in relation to the water and sanitation sector.

“Fears of potential cuts to public service sectors have emerged,” the DORP said in a press release on Thursday following the proposed budget for FY24.

DORP Deputy Executive Director Mohammad Zobair Hasan said there is a widespread expectation for the government to take a more active role in advancing the health sector and addressing poverty by increasing funding for water and sanitation.

He put emphasis on the significance of adequate allocation in these sectors, as they are fundamental to providing essential services to the people, such as healthcare.

Describing this year's budget as a large-scale deficit one, he raised concerns about the potential impact of inflation on achieving development targets and service sector operations.

He stressed the importance of diversified domestic resource collection and expanding the tax net to address the budget deficit effectively.

To tackle the budget deficit, the DORP put forward several recommendations, including prioritising budget allocation, increasing internal resource generation, broadening the tax base, promoting domestic production, reducing import dependency, and implementing necessary austerity measures.

Zobair also urged for an increased allocation of funds for Sustainable Development Goal 6, suggesting that the current budget allocation of Tk 12,000 crore should be raised to Tk 22,000 crore to achieve the goal by 2030.

It is worth noting that the Planning Commission's Finance Strategy on SDG 2017 report recommended an annual increase of Tk 10,000 crore in additional expenditure to attain the sustainable development goals by 2030.

Zobair further highlighted that if the proposed growth initiatives are incorporated into this year's budget, their positive effects will be reflected in the future.

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