Niaz Mahmud
The Federation of Bangladesh Chambers of Commerce and Industry has urged the government to borrow from foreign sources instead of local banks to meet the deficit in the proposed budget for the 2021-22 fiscal.
The government set a target to borrow Tk 76,452 crore from the banking system in the next fiscal. The deficit has been fixed at six per cent in the proposed budget.
Finance Minister AHM Mustafa Kamal set the target while placing the proposed budget of Tk 6,03,681 crore for FY22 in parliament on Thursday.
This time, the bank borrowing target is 4.13 per cent lower than the revised target for outgoing 2020-21 FY.
“Instead of relying on local bank borrowing, the government should go for other foreign sources to meet the deficit,” FBCCI President Md Jashim Uddin said in an instant post-budget reaction.
He said that the FBCCI will come up with its detailed budget observations at a formal press conference on June 5.
Jashim lauded the proposed budget as investment and business-friendly. He also called for removal of Advanced Income Tax for the new FY.
He said the budget would help tackle the coronavirus pandemic's effects on lives and livelihoods alongside ensuring future development.
