
After discontinuing interest-free loans for government officials to purchase vehicles, the government is now set to halve the monthly vehicle maintenance allowance.
The allowance, which currently stands at Tk 50,000 per month, is proposed to be reduced to Tk 25,000.
The Finance Division under the Ministry of Finance has written to the Ministry of Public Administration, requesting it to take the necessary steps to implement the change.
The Finance Division has also asked the Ministry of Public Administration to examine the possibility of granting study leave, instead of deputation, to officials who receive scholarships to pursue higher education at home or abroad.
If implemented, the measure would reduce the financial benefits available to those officials.
The Finance Division sent the two letters to the Senior Secretary of the Ministry of Public Administration on 9 July.
Until now, government officials from the rank of Deputy Secretary and above were eligible for an interest-free loan of Tk 3 million (30 lakh) to purchase a vehicle.
A few days ago, the government decided to suspend that benefit for the time being.
The government has now moved to reduce the vehicle maintenance allowance as well.
In its letter to the Ministry of Public Administration, the Finance Division stated, "To ensure the prudent use of limited resources, bring inflation to a tolerable level, and maintain macroeconomic stability, there is scope to reduce the financial benefit provided as motor vehicle maintenance expenses to authorised government officials who receive vehicle maintenance allowances under the vehicle monetisation scheme after obtaining an interest-free loan. The honourable prime minister's directive is to set the monthly motor vehicle maintenance allowance at Tk 25,000 instead of Tk 50,000. In this context, you are requested to examine the matter and take the necessary steps to reduce the maintenance allowance."
In the other letter, the Finance Division stated, "Officials who receive full scholarships or fellowships to pursue postgraduate degrees in Bangladesh or abroad receive financial support to cover their tuition, accommodation and living expenses. Under the current deputation system, they also receive their full salary and allowances in addition to the scholarship. There is an opportunity to grant study leave instead of deputation or full salary and allowances."
Referring to the directive of the chief adviser, the letter further stated, "You are requested to examine the matter and take the necessary steps to grant study leave, instead of deputation, to officials who receive full scholarships or fellowships."
An official at the ministry of Public Administration told Prothom Alo that, if the directive is implemented, officials would receive only half of their salary during the study period.