DHAKA : Centre for Policy Dialogue (CPD) has
described the proposed national budget for fiscal year (FY) 2026-27 as a
significant step towards economic recovery, highlighting its emphasis on human
development, social protection and private-sector-led growth.
Presenting CPD's budget analysis, Executive
Director Dr. Fahmida Khatun said the budget's guiding philosophy, "Journey
Towards a Democratic, Humane and Inclusive Economy," reflects national
priorities aimed at generating employment and improving people's welfare,
reports BSS
"The underlying philosophy of the
proposed FY27 budget appears to be one of economic recovery through human
development, private-sector-led growth, and social protection. Alongside
physical infrastructure, this budget also emphasises jobs, entrepreneurship,
education, healthcare, and welfare," she said.
She said that this orientation broadly aligns
with the BNP's election manifesto, which stressed employment generation,
private investment, business-friendly policies, deregulation, and improvements
in the social sector.
Fahmida Khatun made the remarks today while
speaking at a media briefing session titled 'CPD's Analysis of the National
Budget FY2026-27' at a hotel in the city.
She welcomed the introduction of a five-year
roadmap for Personal Income Tax (PIT), saying it would provide taxpayers with
greater predictability regarding future tax obligations.
Fahmida Khatun also praised the proposed
incentive-and-penalty mechanism for tax return submissions, including a five
percent incentive for early filing, which she believes will strengthen
compliance and reduce the need for repeated extensions of filing deadlines.
She highlighted the reduction of corporate tax
for private universities, medical colleges and IT-based educational
institutions from 15 percent to 10 percent, noting that it had previously
recommended such a move to support the education sector.
She termed it inspiring that health and
education remain among the top five sectors in the Annual Development Programme
(ADP).
According to her, the health sector allocation
has increased by around 50 percent to Tk 62,852 crore, while education received
Tk 1,22,495 crore, marking a 28 percent rise from the previous fiscal year.
She also welcomed the introduction of the
Family Card and Farmer's Card programmes under the government's social
protection framework.
The Family Card Programme will support around
41 lakh beneficiaries, including female-headed and landless households, making
it the largest women-focused social protection initiative in the proposed
budget, she added.
She said that the Farmer's Card Programme is
expected to benefit about 42.5 lakh marginal farmers through direct cash
assistance and subsidised agricultural inputs, contributing to food security
and rural development.
Dr. Khatun further praised a number of green
and technology-oriented fiscal measures included in the budget.
These include a zero percent tax rate for the
solar power sector until 2035, reduced annual income tax on electric vehicles
(EVs), and the withdrawal of import duties on EV charging equipment.
She also noted the extension of VAT exemptions
on locally manufactured computers and ICT products until 2030 and the proposal
to remove SIM card taxes, which could help expand digital access.
She said the budget offers additional support
to domestic industries through VAT exemptions on agricultural fertilisers and
raw materials used in medicine production.
Fahmida Khatun also welcomed VAT exemptions on
imported heart rings and intraocular lenses, saying the measures would help
lower healthcare costs for patients.
In her concluding remarks, Dr. Khatun said the
larger budget presents an important opportunity for the government to
accelerate economic recovery.
She added that the strong emphasis on
entrepreneurship, education and social welfare provides a solid foundation for
building a more humane and inclusive economy, provided that implementation is
effective and efficient.
CPD Distinguished Fellow Professor Mustafizur
Rahman, among others, spoke on the occasion.
