From Tajuddin to Salehuddin: The nitty-gritty of 54 budgets

The country’s first budget was small in size. And 54 years on, the budget has grown significantly, along with economic growth. Here is a summary of the various budgets that have been presented over the years, the size of the budgets, who presented them and when, and what was said during the presentations.

The method of presenting the budget has undergone many changes. The system of publishing budget statistics has also evolved. New areas have been added to both government revenue and expenditure. Outside of the Annual Development Programme (ADP), new sectors of development expenditure have been introduced. As a result, development budgets have become larger than the ADP alone.

Revenue income: Tk 77,418,998; Expenditure: Tk 86,248,204; Budget deficit: Tk 8,829,206

The first budget was presented by the Mujibnagar government. At the time, M Mansur Ali was serving as finance minister. The budget was approved by the acting president Syed Nazrul Islam. The explanatory note of that budget stated: "We have to prepare a budget to meet the necessary and unavoidable expenses for our independence war. This budget will support the war process both directly and indirectly. It is prepared for the three-month period from July to September 1971, with the hope that we will achieve independence within this timeframe."

The budgets for two fiscal years were presented simultaneously. The 1971-72 fiscal year covered the period from 16 December 1971 to 30 June 1972.

a. Fiscal Year 1971-72
Revenue income: Tk 48.52 crore (Tk 485.20 million); Revenue expenditure: Tk 99.13 crore (Tk 991.30 million); Development expenditure: Tk 51.46 crore (Tk 514.60 million)

b. Fiscal Year 1972–73
Revenue income: Tk 291.58 crore (Tk 2,915,800,000); Revenue expenditure: Tk 218.43 crore (Tk 2,184,300,000); Surplus: Tk 73.15 crore (Tk 731.50 million); Development, reconstruction and rehabilitation expenditure: Tk 501 crore (Tk 5.01 billion) of which ADP was Tk 318.30 crore (Tk 3,183,000,000).

Total budget: Tk 719.43 crore (Tk 7,194,300,000); Total income: Tk 285.38 crore (Tk 2,853,800,000); total deficit: Tk 427.85 crore (Tk 4,278,500,000).
The first budget of newly independent Bangladesh was presented by the country’s first finance minister Tajuddin Ahmad. His budget speech was not very long. He mainly spoke about plans for reconstruction and rehabilitation.

At the very beginning of his speech, Tajuddin Ahmad said: “I would have been happier if this budget could be presented before the elected representatives rather than broadcast over radio and television. However, hopefully that we will never again have to present our budget in this manner.”

Revenue income: Tk 411.31 crore (Tk 4,113,100,000); Revenue expenditure: Tk 295.30 crore (2,953,000,000); Revenue surplus: Tk 116.01 crore (Tk 1,160,100,000); Development and reconstruction expenditure: Tk 525.35 crore (Tk 5,253,500,000) of which ADP is Tk 449.97 crore (Tk 4,499.700,000).

Total Budget: Tk 820.65 crore (Tk 8,206,500,000); Total income: Tk 374.32 crore (Tk 3,743,200,000); Total deficit: Tk 409.34 crore (Tk 4,093,400,000).

Finance minister Tajuddin Ahmad presented the country’s second budget, sitting in the parliament. This time, however, he was unable to present a tax-free budget. Various economic problems had begun to surface. People were dissatisfied with the rising prices of essential goods. In his budget speech, the finance minister acknowledged these issues.

At the very beginning of his speech, he said: “In the past year we faced great trial and immense hope in our national life. It was the immediate aftermath of the Liberation War. In the joy and euphoria of independence, we could not fully grasp the nature of the many problems we had inherited. Now, a year has passed. Today we are more aware of the various dimensions of our problems, conscious of our limitations, and possess a clearer understanding of our future possibilities.”

Revenue income: Tk 470.23 crore (Tk 4,702,300,000); Revenue expenditure: Tk 470.23 crore (Tk 4,702,300,000);  ADP: Tk 525 crore (Tk 5.25 billion).

Total budget: Tk 995.23 crore (Tk 9,952,300,000); Total income: Tk 470.23 crore (Tk 4,702,300,000); Total deficit: Tk 525 crore (Tk 5,250,000,000).

This was Tajuddin Ahmad’s final budget as finance minister. To date, he remains the only finance minister of Bangladesh who was basically a politician. He had to present this final budget during a period of severe economic crisis. The global economic downturn of 1973, driven by the oil and dollar crises, had a profound impact on the country’s economy.

Famine was looming. All of this was reflected in his budget speech.
At the beginning of his speech, the finance minister mentioned the shortcomings in efforts to achieve the clear goals of socialist transformation. He said: “The all-out efforts were required to be extensive and widespread, but were not be as far-reaching as needed. It is my solemn duty to inform the people of the country’s actual condition so that everyone can clearly understand the necessity of making all-out effort to build the nation.”

He said, “Although the expected economic growth was not achieved, the fiscal year 1973-74 was a time of realistic experience for the nation. It is necessary to reflect on whether the nation truly made all-out efforts for development. Now, more than ever, there is a need for honesty, discipline, pragmatic development policies, and hard work. It must be remembered that slogans do not establish socialism, corruption cannot be eradicated with rhetoric, growth cannot be achieved with empty words, and the people cannot be deceived all the time.”

Revenue income: Tk 755.38 crore (Tk 7,553,800,000); Revenue expenditure: Tk 599.19 crore (Tk 5,991,900,000); Revenue surplus: Tk 156.19 crore (Tk 1,561,900,000); ADP: Tk 950.29 crore (Tk 9,502,900,000).

Total Budget: Tk 1,549.48 crore (Tk 15,494,800,000); Total income: Tk 755.38 crore (Tk 7,553,800,000); Total deficit: Tk 794.10 crore (Tk 7,941,000,000).

At that time, Bangladesh had just passed through one of the most difficult periods in its economic history. There had also been a change in finance minister. The country had endured a year of famine. The fourth amendment to the constitution had been passed. BKSAL (Bangladesh Krishak Sramik Awami League) had been formed, something the finance minister referred to in the budget speech as “a change in the system of governance and the Second Revolution of Bangabandhu.”

Changes had also begun in the economic sphere. The upper ceiling of private capital investment was raised from Tk 25 lakh (Tk 2.5 million) to Tk 3 crore (Tk 30 million). The currency was devalued by 58 per cent in one sweeping move. All of these developments were reflected in the budget speech. Finance minister AR Mallick delivered the speech entirely in very formal Bangla. No budget speech has ever been delivered in such formal language since.

In concluding his budget speech, the finance minister said: “I do not promise that this budget will solve all national problems, but I can say with firm conviction that the measures we have undertaken for the comprehensive success of our development efforts will help guide the nation toward a clear and definite goal.”

Revenue Income: Tk 966.38 crore (Tk 9,663,800,000); Revenue expenditure: Tk 767.87 crore (Tk 7,678,700,000); Revenue surplus: Tk 198.51 crore (Tk 1,985,100,000); ADP: Tk 1,100 crore (Tk 11 billion).

Total budget: Tk 1,867.87 crore (Tk 18,678,700,000); Total income: Tk 966.38 crore (Tk 9,663,800,000); Total deficit: Tk 901.49 crore (Tk 9,014,900,000).

For the second time since independence, the budget was presented outside the National Parliament, broadcast via radio and television from Bangabhaban. At the time, Ziaur Rahman was the Deputy Chief Martial Law Administrator and acting adviser to the finance ministry..

The budget emphasised improving efficiency in the state-owned sector while highlighting a greater role for the private sector as crucial to industrialisation. The process of moving away from a socialist economic structure began during Ziaur Rahman’s tenure, and this shift was reflected in the budget speech.

The minimum taxable income for individual taxpayers was raised from Tk 8,400 to Tk 10,000. This budget also marked the first time in the country’s history that a provision for legalising undisclosed (black) money was officially introduced.

Revenue Income: Tk 1,156.61 crore (Tk 11,566,100,000); Expenditure: Tk 936.31 crore (Tk 9,363,100,000); Surplus: Tk 250.30 crore (Tk 2,503,000,000); ADP: Tk 1,150.65 crore (Tl 11,506,500,000).

Total Budget: Tk 2,086.96 crore (Tk 20,869,600,000); Total Income: Tk 1,156 crore (Tk  11.56 billion); Deficit: Tk 930.35 crore (Tk 9,303,500,000).

At the time, President and Chief Martial Law Administrator Ziaur Rahman still was in charge of the finance ministry. The previous fiscal year’s budget had introduced, for the first time in the country’s history, a provision to legalise undisclosed (black) money. This provision was further extended in the new budget.

Regarding this, Ziaur Rahman stated, “You are aware that under Martial Law Regulation No. 6, the government had provided taxpayers with the opportunity to declare their undisclosed income within 30 June 1976. However, considering that many were unable to take advantage of this for various reasons, the government, after reviewing the petitions and appeals, has granted another opportunity to declare actual undeclared income up to 30 June this year. No concessional tax rate has been offered, but exemption from penalties has been provided. It is hoped that taxpayers will not miss this final opportunity to declare their unreported income, because after this, strict legal action will be taken against tax evasion cases.”

Revenue income: Tk 1,376.50 crore (Tk 13,765,000,000); Revenue expenditure: Tk 1,053.09 crore (Tk 10,530,900,000); Revenue surplus: Tk 323.41 crore (Tk 3,234,100,000), ADP: Tk 1,390.87 crore (Tk 13,908,700,000).

Total Budget: Tk 2,443.96 crore (Tk 24,439,600,000); Total Income: Tk 1,376 crore (Tk 13.76 billion); Total Deficit: Tk 1,067.46 crore (Tk 10,674,600,000).

At this time, Ziaur Rahman was still the President and Chief Martial Law Administrator, and he continued to oversee the finance ministry. This was his third budget. The budget was prepared maintaining policy continuity. However, the expenditure exceeded the targets.

It was stated in the budget that additional funds became necessary in the previous fiscal year due to the implementation of a new pay scale, which led to the increased expenditure. The fiscal year 1978-79 marked the first year of the new two-year development plan.

Ziaur Rahman announced several changes to the taxation system to enhance domestic resource mobilisation. He mentioned that in 1976, his government had formed a Taxation Enquiry Commission. He also noted that several high-level committees had been formed to review the recommendations of that commission, and that they would begin work at the start of the new fiscal year.

Revenue Income: Tk 1,812.02 crore (Tk 18,120,200,000); Revenue expenditure: Tk 1,193.96 crore (Tk 11,939,600,000); Revenue surplus: Tk 608.06 crore (Tk 6,080,600,000); ADP: Tk 2,070 crore (Tk 20.70 billion).

Total budget: Tk 3,263.96 crore (Tk 32,639,600,000); Total income: Tk 1,812.02 crore (Tk 18,120,200,000); Total deficit: Tk 1,451.94 crore (Tk 14,519,400,000).

After three years, the budget was once again presented in the National Parliament. Mirza Nurul Huda, the new finance minister, delivered only this one budget. It was not a good time for the economy. Inflationary pressures were strong, and economic growth had slowed. Due to the financial crisis, tariffs and prices on several goods had already been increased even before the budget, drawing significant criticism. During this time, the final report of the Tax Investigation Commission was presented, and the budget proposed implementing its recommendations. Emphasis was placed on direct taxation.

Revenue income: Tk 2,193.38 crore (Tk 21,933,800,000); Revenue expenditure: Tk 1,408.03 crore (Tk 14,080,300,000); ADP: Tk 2,700 crore (Tk 27 billion).

Total budget: Tk 4,108.03 crore (Tk 41,080,300,000); Total income: Tk 2,193 crore (Tk 21.93 billion); Total deficit: Tk 1,914.65 crore (Tk 19,146,500,000).

Once again, the finance minister had changed. The new finance minister, M Saifur Rahman, formerly the commerce minister, presented his first budget. He began by highlighting President Ziaur Rahman's canal-excavation programme. Price inflation was still a major concern in the economy. In fact, from the 1970s through the mid-1980s, the entire world was under the pressure of high inflation and Bangladesh was no exception. Several domestic policies of Bangladesh were also responsible for this inflation.

In the budget speech, the Finance Minister stated:
"Another economic challenge this year is the rising prices. For some time now, along with other countries, Bangladesh too has been feeling this strain."

Revenue income: Tk 2,767 crore (Tk 27.67 billion); Expenditure: Tk 1,662 crore (Tk 11.62 billion); Surplus: Tk 1,105 crore (Tk 11.05 billion); ADP: Tk 3,015 crore (Tk 30,15 billion).

Total budget: Tk 4,677 crore (Tk 46.77 billion); Total income: Tk 2,767 crore (Tk 27.67 billion); Total deficit: Tk 1,910 crore (Tk 19.10 billion).

Finance minister M Saifur Rahman presented this budget just five days after the death of President Ziaur Rahman. However, he could not oversee its full implementation. In March 1982, General Ershad declared martial law and Saifur Rahman lost his ministerial post.

At the time, the global economy was in recession, and inflationary pressures had intensified. Referring to this, Saifur Rahman said, "The impact of the international economic environment on our country’s economy is sometimes subtle, sometimes stark. Recently, this impact has become quite pronounced."

Throughout the 1970s and 1980s, the most widely discussed economic issue was foreign aid. No finance minister had the capacity to prepare a budget without it. Saifur Rahman made a lengthy statement about this in his budget speech.

Revenue income: Tk 2,767.82 crore (Tk 27,178,200,000); Expenditure: Tk 2,037.63 crore (Tk 20,376,300,000); Surplus: Tk 730.19 crore (Tk 7,301,900,000); ADP: Tk 2,700 crore (Tk 27 billion).

Total budget: Tk 4,737.63 crore (Tk 47,376,300,000); Total income: Tk 2,667.82 crore (Tk 26,678,200,000); Total deficit: Tk 1,969.81 crore (Tk 19,698,100,000).

Another change in government occurred. This time, military ruler Lt. Gen. HM Ershad came to power. The new budget was presented from his secretariat. This was the first budget presented by Abul Maal Abdul Muhith as finance minister. Up to that point, it was considered the most well-written budget. Since it was a new government, the finance minister openly described all aspects of the economic crisis. General Ershad had justified imposing martial law by pointing to various mismanagements of the previous government, and this was also reflected in the budget.

There is a recurring trend in Bangladesh that when governments change, there is a tendency to increase the salaries and benefits of public servants. In this budget, the finance minister announced a dearness allowance.

Revenue income: Tk 3,396.76 crore (Tk 33,967,600,000); Expenditure: Tk 2,413.54 crore (Tk 24,135,400,000); Surplus: Tk 983.22 crore (Tk 9,832,200,000); ADP: Tk 3,483.86 crore (Tk 34,838,600,000).
Total budget: Tk 5,897.40 crore (Tk 58,974,000,000); Total income: Tk 3,396.76 crore (Tk 33,967,600,000); Total deficit: Tk 2,500.64 crore (Tk 25,006,400,000).

Martial law was still in effect. The private sector was becoming increasingly important. The process of allowing private banks was underway. A special scheme was introduced for private entrepreneurs. This budget speech by Abul Maal Abdul Muhith was, at the time, the longest budget speech ever delivered. Toward the end of his speech, the Finance Minister even apologised for its length.

At the very beginning of the speech, the Finance Minister described the economic situation. He said, "When the year began, the economic growth rate was near zero, the investment rate was rapidly declining, the foreign exchange reserve was in a precarious state, and the balance of trade was severely disrupted. Nevertheless, due to the collective effort of the nation, we hope that this year the economic growth rate will reach 3.8 per cent."

Revenue income: Tk 3,465 crore; Revenue expenditure: Tk 2,802.80 crore; Surplus: Tk 662.20 crore; ADP: Tk 3,896 crore.
Total budget: Tk 6,698.80 crore; Total income: Tk 3,465 crore; Total deficit: Tk 3,233.80 crore.

Abul Maal Abdul Muhith resigned from the position of finance minister and left the country. M Saiduzzaman was appointed as the new finance advisor. A notable feature of the budget he presented was the announcement of a new income tax law. However, a large part of his budget speech focussed on the banking sector, particularly the Bangladesh Shilpa Bank, Shilpa Rin Sangstha, and the issue of non-performing loans. Saiduzzaman addressed these in detail.

Revenue income: Tk 3,754 crore; Revenue expenditure: Tk 3,313 crore; Revenue surplus: Tk 441 crore; ADP: Tk 3,825.72 crore

Total budget: Tk 7,138.72 crore; Total income: Tk 3,754 crore; Total deficit: Tk 3,384.72 crore

M. Saiduzzaman was still serving as finance advisor. Lt. Gen HM Ershad was both the President and the Chief Martial Law Administrator. The budget was presented from his office on the very last day of the fiscal year. Among its proposals were, the unconditional acceptance of up to Tk 500,000 in undisclosed capital for new taxpayers, and tax exemptions for setting up new industries.

On 24 May 1985, a devastating tidal surge struck the char areas of Noakhali and Urir Char in Sandwip, claiming 11,000 lives. The world's attention turned to Urir Char. Just 35 days later, the finance advisor presented the new budget.

Revenue income: Tk 4,468 crore; Revenue expenditure: Tk 3,740 crore; Revenue surplus: Tk 728 crore; ADP: Tk 4,764 crore.

Total budget: Tk 8,504 crore; Total income: Tk 4,468 crore; Total deficit: Tk 4,036 crore.

Martial law was still in effect. However, on the first day of 1986, the new political party, Jatiya Party, was formed, and the third national parliamentary election was held on 7 May. In that election, President and Chief Martial Law Administrator Lt. General HM Ershad's Jatiya Party secured a majority. The budget was presented just before the new parliamentary session began. Saiduzzaman remained finance advisor and principal finance secretary.

In 1984, the government had formed a national commission on finance, banking, and lending. The commission made several recommendations, including changes to interest rates. At that time, interest rates were set by the government. The finance advisor announced that the interest rates on long-term loans would be reduced to encourage private investment. Another aim was to encourage entrepreneurs to use their own capital in investments and to reduce the tendency of misusing bank loans.

Revenue income: Tk 4,915 crore (Tk 49.15 billion); Expenditure: Tk 4,481 crore (Tk 44.81 billion); Surplus: Tk 434 crore (Tk 4.34 billion); ADP: Tk 5,046 crore (Tk 50.46 billion).

Total budget: Tk 9,527 crore (Tk 95.27 billion); Total income: Tk 4,915 crore (Tk 49.15 billion); Total deficit: Tk 4,612 crore (Tk 46.12 billion).

In this budget as well, M. Saiduzzaman delivered an extensive discussion on the country’s banking sector. By then, 15 years had passed since independence. Referring to the ups and downs of the banking sector during this time, he remarked, "The history of these past years is one of many successes on one hand, and on the other, a record of many failures and missed opportunities."

Once again, the budget offered the opportunity to legalise black money. It was stated that any income shown as coming from “other sources” would be accepted without question if 20 per cent tax was paid.

Revenue income: Tk 5,569 crore; Expenditure: Tk 5,250 crore; Surplus: Tk 319 crore; ADP: Tk 5,315 crore

Total budget: Tk 10,565 crore; Total income: Tk 5,569 crore; Total deficit: Tk4,996 crore

Once again, there was a change in the finance minister. M Saiduzzaman resigned and the new finance minister was a former military officer, Major General (Retd.) MA Munim. Despite a severe economic crisis, the budget set ambitious growth targets. The finance minister explained that the prerequisites and signs of improvement necessary for higher growth were present as the country recovered from disaster-induced disruptions.

Alongside the revival of agricultural production, increasing purchasing power and effective demand in rural areas made the case for increased industrial output and imports—both necessary and likely. Accordingly, the finance minister set a GDP growth target of 6.1 per cent for the fiscal year.

Revenue income: Tk 7,180.53 crore; Expenditure: Tk 6,900 crore; Surplus: Tk 280.53 crore; ADP: Tk 5,803.02 crore

Total budget: Tk 12,703.02 crore; Total income: Tk 7,180.53 crore; Total deficit: Tk 5,522.49 crore

To date, Dr. Wahidul Haque remains the only fully qualified economist to have served as finance minister of Bangladesh.

The economy was in deep crisis. Two successive floods had severely slowed growth across all sectors. The flood of 1988 was among the most catastrophic in the country’s history. Adding to the crisis was the issue of non-performing loans. On top of it all, the political situation was increasingly unstable, with opposition movements gaining strength. The new finance minister had to present the budget during a particularly difficult time.

In his budget speech, the finance minister remarked that, based on the past few years' experience, “The management of banks has gradually weakened, the volume of recoverable loans has increased, and the burden of defaulted loans has reached an intolerable level.”

This crisis affected both industrial and agricultural lending. He warned that without sufficient loan recovery, financial institutions would be unable to provide new loans from their own resources.

Revenue income: Tk 7,562.78 crore; Revenue expenditure: Tk 7,300 crore; Surplus: Tk 262.78 crore; ADP: Tk 5,668 crore

Total budget: Tk 12,968 crore; Total income: Tk 7,562.78 crore; Total deficit: Tk 5,405.22 crore

This was the final budget of the Ershad rule. Facing a dramatic fall in foreign exchange reserves, finance minister Dr. Wahidul Haque resigned and left the country. Major General (Retd.) Abdul Munim was reappointed as finance minister. The political situation was highly unstable, and the economic crisis had peaked. With government revenue shrinking, there was a heightened focus on revenue collection.

Addressing the issue of low revenue, the finance minister said, “The ratio of taxes collected to the gross national product is still extremely low compared to other developing countries. Additionally, due to the generally inadequate level of personal savings, the scope for voluntary non-bank investment remains very limited.” Considering these factors, he announced that the government had planned to gradually increase the ratio of total revenue to GNP by at least 0.5 per cent annually over the next several years, in order to boost public sector savings.

Revenue income: Tk 8,503.09 crore; Revenue expenditure: Tk 8,083.25 crore; Surplus: Tk 410.84 crore; ADP: Tk 7,500 crore

Total budget: Tk 15,583.25 crore; Total income: Tk 8,503.09 crore; Total deficit: Tk 7,080.16 crore

Following the fall of Ershad, BNP came to power through elections, and M Saifur Rahman became finance minister. He announced the introduction of the Value Added Tax (VAT) system from 1 July 1991, replacing the excise duty regime.

In his budget speech, the finance minister stated that financial and loan management had long been in a state of disorder. A huge volume of loans had become unrecoverable. This mismanagement in loan administration was putting economic activities at risk. The failure to recover loans had caused a shortage of funds in financial institutions, making them nearly incapable of offering new loans. As a result, new industrialists and entrepreneurs could not utilize their potential due to lack of access to credit. The government had taken various steps to address this situation.

Revenue income: Tk 10,554 crore; Expenditure: Tk 8,550 crore; Surplus: Tk 2,004 crore
ADP: Tk 8,650 crore

Total budget: Tk 17,200 crore; Total income: Tk 10,554 crore; Total deficit: Tk 6,646 crore

The budget placed emphasis on structural reform, with particular focus on trade liberalization. A flexible exchange rate policy was also adopted.

Revenue income: Tk 12,335 crore; Revenue expenditure: Tk 9,300 crore; Surplus: Tk 3,035 crore; ADP: Tk 9,750 crore

Total budget: Tk 19,050 crore; Total income: Tk 12,335 crore; Total deficit: Tk 6,715 crore

The budget was described as an integral part of a wide-ranging reform program aimed at establishing a solid foundation for sustainable medium- to long-term economic growth.

Revenue income: Tk 13,637 crore; Expenditure: Tk 9,948 crore; Surplus: Tk 3,689 crore ADP: Tk 11,000 crore

Total budget: Tk 20,948 crore; Total income: Tk 13,637 crore; Total deficit: Tk 7,311 crore

All surcharges and levies imposed for the Jamuna Bridge were withdrawn. Although this tax had been introduced in 1985, the previous government had used the funds for other purposes.

Revenue income: Tk 15,450 crore; Revenue expenditure: Tk 11,070 crore; Surplus: Tk 4,380 crore; Development expenditure: Tk 12,100 crore
Total budget: Tk 24,707 crore; Total income: Tk 15,450 crore; Total deficit: Tk 9,257 crore

For several years, development expenses outside of the ADP, such as Food-for-Work programmes, were being included in the total budget. In this fiscal year, the breakdown was explicitly mentioned. For example, an additional Tk 705 crore (Tk 7.05 billion) was allocated for Food-for-Work programmes outside of ADP, which increased the total budget expenditure.

Macroeconomic stability was highlighted as the key to achieving growth, as it is essential for fostering an investment-friendly environment and making sound policy decisions.

Revenue income: Tk 17,120 crore; Expenditure: Tk 12,103 crore; Surplus: Tk 5,017 crore; Development expenditure: Tk 12,500 crore

Total budget: Tk 25,258 crore; Total income: Tk 17,120 crore; Total deficit: Tk 8,138 crore

The caretaker government's finance adviser, Wahiduddin Mahmud, had presented an interim budget on Thursday, 20 June. The newly appointed finance minister, Shah AMS Kibria, retained the overall structure of that budget. The long-term national goals included achieving 7 per cent growth within five years and eliminating poverty within ten years.

Revenue income: Tk 19,624 crore; Revenue expenditure: Tk 14,544 crore; Surplus: Tk 5,080 crore; Development expenditure: Tk 12,800 crore

Total budget: Tk 27,786 crore; Total income: Tk 19,624 crore; Total deficit: Tk 8,162 crore

For the first time in Bangladesh, a social safety net programme was introduced. Tk 50 crore (Tk 500 million) was allocated for old-age allowance.

Revenue income: Tk 20,776 crore; Revenue expenditure: Tk 15,937 crore; Surplus: Tk 4,839 crore; Development expenditure: Tk 13,600 crore

Total budget: Tk 30,096 crore; Total income: Tk 20,776 crore; Total deficit: Tk 9,320 crore

Opportunities were provided to invest black money in the industrial sector and stock market, subject to a 7.5 per cent tax.

Revenue income: Tk 24,151 crore; Revenue expenditure: Tk 17,800 crore; Surplus: Tk 6,351 crore; Development expenditure: Tk 15,500 crore

Total budget: Tk 36,178 crore; Total income: Tk 24,151 crore; Total deficit: Tk 12,027 crore

Innovative provisions were made to legalise black money. For instance, no questions would be asked if one bought a luxury car and paid a 5 per cent tax.

Revenue income: Tk 24,198 crore; Revenue expenditure: Tk 19,633 crore; Development expenditure: Tk 17,500 crore

Total budget: Tk 42,859 crore; Total income: Tk 24,198 crore; Total deficit: Tk 18,661 crore

A Tk 100 crore (Tk 1 billion) capital development fund was established for the software industry, agricultural products, and food processing industries. Again, opportunities were given to whiten black money.

Revenue income: Tk 27,239 crore; Revenue expenditure: Tk 22,038 crore; Development expenditure: Tk 19,000 crore
Total budget: Tk 44,765 crore; Total income: Tk 27,239 crore; Total deficit: Tk 17,526 crore

Pre-shipment inspection (PSI) was made mandatory for three years during customs assessment. Filing tax returns was made compulsory, regardless of profit or loss.

Revenue income: Tk 33,084 crore; Revenue expenditure: Tk 23,972 crore; Development expenditure: Tk 19,200 crore

Total budget: Tk 44,854 crore; Total income: Tk 33,084 crore; Total deficit: Tk 11,770 crore

Although the previous administration had called the opportunity to whiten black money a “discriminatory tax policy driven by undemocratic and vested interests,” the new government offered such an opportunity from the outset.

Revenue income: Tk 36,171 crore; Revenue expenditure: Tk 28,969 crore; Development expenditure: Tk 20,300 crore

Total budget: Tk 51,980 crore; Total income: Tk 36,171 crore; Total deficit: Tk 15,809 crore

In several cases, submission of income tax returns was made mandatory. For instance, candidates in elections or participants in government tenders were required to file tax returns.

Revenue income: Tk 41,300 crore; Expenditure: Tk 34,565 crore; Development expenditure: Tk 22,000 crore
Total budget: Tk 57,248 crore; Total income: Tk 41,300 crore; Total deficit: Tk 15,948 crore

Tax return submission was made mandatory for all who held a TIN (Taxpayer Identification Number). In addition, providing information about one’s standard of living was also made compulsory.

Revenue income: Tk 45,722 crore; Expenditure: Tk 35,523 crore; Development expenditure: Tk 24,500 crore
Total budget: Tk 64,383 crore; Total income: Tk 45,722 crore; Total deficit: Tk 18,661 crore

Although the opportunity to whiten black money was supposed to end, it was extended once again. A 7.5 per cent tax had to be paid for this facility.

Income: Tk 52,542 crore; Revenue expenditure: Tk 42,286 crore; Development expenditure: Tk 26,000 crore
Total budget: Tk 69,740 crore; Total income: Tk 52,542 crore; Total deficit: Tk 17,198 crore

The government highlighted various programmess undertaken to restore discipline in the economy in order to achieve macroeconomic stability.

Revenue income: Tk 57,301 crore; Revenue expenditure: Tk 52,900 crore; Development expenditure: Tk 26,500 crore

Total budget: Tk 87,137 crore; Total income: Tk 57,301 crore; Total deficit: Tk 29,836 crore

The scope of VAT was expanded in the budget. The tax-free income threshold was raised to Tk 150,000. The 4per cent  infrastructure development surcharge was abolished.

Revenue income: Tk 69,382 crore; Revenue expenditure: Tk 60,758 crore; Development expenditure: Tk 25,600 crore

Total budget: Tk 99,962 crore; Total income: Tk 75,728 crore; Total deficit: Tk 24,234 crore

Changes were made to the tariff structure to protect local industries. A new method for tax exemption was introduced, and the corporate tax rate was reduced.

Revenue income: Tk 79,461 crore; Expenditure: Tk 69,504 crore; Development expenditure: Tk 30,500 crore

Total budget: Tk 113,819 crore; Total income: Tk 79,461 crore; Total deficit: Tk 29,228 crore

A provision was made to invest undisclosed income in the stock market, various industries, and physical infrastructure with a 10 per cent tax. Also, no questions would be asked regarding the source of income for purchasing flats or constructing personal houses.

Revenue income: Tk 92,847 crore; Revenue expenditure: Tk 75,230 crore; Development expenditure: Tk 38,500 crore

Total budget: Tk 132,170 crore; Total income: Tk 92,847 crore; Total deficit: Tk 34,514 crore

The much-discussed Public-Private Partnership (PPP) initiative was introduced with a new allocation of Tk 3,000 crore. Tax was imposed on interest earnings from savings certificates.

Income: Tk 118,375 crore; Expenditure: Tk 87,851 crore; Development expenditure: Tk 46,000 crore

Total budget: Tk 163,589 crore; Total income: Tk 118,375 crore; Total deficit: Tk 45,204 crore

Drafts of new VAT and income tax laws were approved. A proposal was made to extend the tax holiday period to 10 years for infrastructure sectors such as roads and bridges.

Income: Tk 139,670 crore; Expenditure: Tk 99,496 crore; Development expenditure: Tk 55,000 crore

Total budget: Tk 191,738 crore; Total income: Tk 139,670 crore; Total deficit: Tk 52,068 crore

A tax on talking was introduced. A proposal was made to impose a 2 per cent surcharge on mobile phone bills from the new fiscal year.

Income: Tk 167,459 crore; Expenditure: Tk 113,471 crore; Development expenditure: Tk 65,870 crore

Total budget: Tk 222,491 crore; Total income: Tk 174,129 crore; Overall deficit: Tk 48,362 crore

The tax-free income threshold was raised from Tk 200,000 to Tk 220,000. The tax holiday facility was extended by another two years.

Revenue income: Tk 182,954 crore; Expenditure: Tk 128,231 crore; Development expenditure: Tk 80,315 crore

Total budget: Tk 250,506 crore; Total income: Tk 189,160 crore; Overall deficit: Tk 61,341 crore

An individual with income over Tk 4.42 million would be subject to a 30 per cent income tax, up from the previous 25 per cent. House rents over Tk 25,000 would have to be paid through banks.

Revenue income: Tk 208,443 crore; Expenditure: Tk 164,571 crore; Development expenditure: Tk 97,000 crore

Total budget: Tk 295,100 crore; Total income: Tk 214,243 crore; Overall deficit: Tk 80,857 crore

The tax-free income threshold was increased by Tk 30,000 to Tk 250,000. A surcharge was imposed on the wealthy with assets exceeding Tk 22.5 million. A 1 per cent source tax was imposed on the garment sector.

Revenue income: Tk 242,752 crore; Expenditure: Tk 188,966 crore; Development expenditure: Tk 110,027 crore

Total budget: Tk 340,605 crore; Total income: Tk 248,268 crore; Overall deficit: Tk 92,337 crore

The date 30 October was set as a fixed deadline for income tax return submissions. It was also decided that this date would be observed as Tax Day.

Revenue income: Tk 287,991 crore; Expenditure: Tk 207,138 crore; Development expenditure: Tk 153,331 crore
Total budget: Tk 400,266 crore; Total income: Tk 293,494 crore; Overall deficit: Tk 106,770 crore

The implementation of the new VAT law was postponed for two years. Exemption from excise duty on bank deposits up to Tk 100,000 was retained.

Income: Tk 339,280 crore; Expenditure: Tk 251,668 crore; Development expenditure: Tk 173,000 crore

Total budget: Tk 464,573 crore; Total income: Tk 343,331 crore; Overall deficit: Tk 121,242 crore

Corporate tax for banks and financial institutions was reduced by 2.5%, setting it at 37.5%. A surcharge was imposed for owning two cars and residential property exceeding 8,000 square feet.

Revenue income: Tk 377,810 crore; Expenditure: Tk 277,934 crore; Development programs: Tk 202,721 crore

Total budget: Tk 523,190 crore; Total income: Tk 381,978 crore; Overall deficit: Tk 141,212 crore
A Tk 100 crore allocation was made for a startup fund for young entrepreneurs. Additionally, Tk 3,020 crore was allocated to provide a 2 per cent incentive on remittances.

Revenue income: Tk 378,000 crore; Expenditure: Tk 302,547 crore; Development programs: Tk 205,145 crore

Total expenditure: Tk 568,000 crore; Total income: Tk 378,000 crore; Overall deficit: Tk 190,000 crore

Due to the outbreak of COVID-19, a stimulus package of Tk 103,117 crore was announced, focusing on emergency healthcare, employment retention, and economic recovery.

Revenue income: Tk 389,000 crore; Expenditure: Tk 328,840 crore; Annual Development Program (ADP): Tk 225,324 crore

Total expenditure: Tk 603,681 crore; Total income: Tk 389,000 crore; Overall deficit: Tk 214,681 crore

Taxpayer Identification Number (TIN) was made mandatory for purchasing savings certificates worth more than Tk 200,000 and for getting building plans approved. The minimum surcharge system was abolished.

Revenue income: Tk 433,000 crore; Expenditure: Tk 431,998 crore; Annual Development Program (ADP): Tk 246,066 crore

Total budget: Tk 678,064 crore; Total income: Tk 433,000 crore; Overall deficit: Tk 245,064 crore

For the first time in history, a provision was made allowing the legalisation of laundered money or assets. As per the declaration, anyone bringing in money from abroad would have to pay only a 7 per cent tax. If immovable assets abroad were not repatriated, a 15 per cent tax would apply on their value, and for movable foreign assets not brought in, a 10% tax would apply.

Revenue income: Tk 503,900 crore; Expenditure: Tk 475,281 crore; Annual Development Program (ADP): Tk 263,000 crore

Total budget: Tk 761,785 crore; Total income: Tk 503,900 crore; Overall deficit: Tk 261,785 crore

In consideration of inflation, the tax-free income threshold for individuals was increased by Tk 50,000, making the minimum taxable income Tk 350,000. However, to access government services, a minimum tax payment of Tk 2,000 would be mandatory—even for those with no taxable income.

Revenue income: Tk 545,400 crore; Expenditure: Tk 506,971 crore; Annual Development Program (ADP): Tk 265,000 crore

Total budget: Tk 797,000 crore; Total income: Tk 545,400 crore; Overall deficit: Tk 256,000 crore

The Awami League government collapsed within two months of presenting the budget. Consequently, the responsibility of implementing the budget fell to the interim government. No changes were made to the budget itself, but development spending was curtailed and the implementation of many projects was postponed.