Muhith places national budget in parliament Thursday
Finance Minister AMA Muhith places an around Tk 1.90 crore national budget for fiscal 2012-13 in Parliament Thursday with challenges to tackle the subsidy and inflationary pressures.
Muhith will place the budget with power point presentation, projecting a 7.2 percent GDP growth. He will begin placing the 4th budget of the Awami League-led grand alliance government in parliament from 3 pm.
The projection for inflation will be 7.5 percent while the primary estimation of GDP growth is 6.32 percent for the current fiscal. The GDP growth in the last fiscal was 6.7 percent.
Finance Ministry officials said there will be bigger allocations in the next national budget for infrastructure, health, education, power and the rural economy.
In the wake of widespread criticism about the government’s financial management and lackluster investment flows, the new budget will aim at boosting growth, curbing inflation and creating more jobs.
Ministry sources said government expenditure in both development and non-development sectors will increase in the next budget. Besides, the projection for budget deficit will also remain within 5 percent of GDP.
Of the Tk 55,000 crore Annual Development Programme (ADP) outlay, special emphasis will be given on infusing dynamism into rural development, human resource development, and a stronger welfare system.
Local government, power, primary education, and health and family welfare, which are also among the top five ministries, will receive most of the development funds.
The total revenue income target for the upcoming 2012-2013 fiscal year is likely to be set at Tk 1.39 lakh crore, which is 22 percent higher than the revised budget of outgoing fiscal.
Of the total projected revenue earnings, over Tk 1.12 lakh crore is likely to be generated from the National Board of Revenue (NBR) while the rest from non-tax revenue and then the non-NBR tax in 2012-2013 fiscal.
To meet the possible deficit amount of around Tk 46,000 crore, the government has set domestic loan target at around Tk 33,000 crore while for foreign loans around Tk 20,400 crore.
Officials said that the higher revenue is projected in the next fiscal based on the planned hike in rates under the broad areas of non-tax revenue and non-NBR tax along with the expansion of tax net under the revenue board.
Fees for vehicle registration, vehicle fitness, land certificate, land registration, mutation, land development, bridge toll and narcotics tax are likely to be revised upward in the upcoming budget.
Besides, the existing taxes and duties on bond, debenture, marine insurance, tax on mortgage or settlement, debt transfer, ad valorem duty on stock and securities, ad valorem duty on conversion of Taka into any foreign currency and tax on adhesive stamps are also likely to be increased in the upcoming fiscal.
All the budget documents will be released on the website after it is placed in the parliament.
The budget related information will be available on www.mof.gov.bd, www.bangladesh.gov.bd, www.nbr-bd.org, www.plancomm.gov.bd, www.imed.gov.bd, www.bdpressinform.org, www.pmo.gov.bd, and also on bdnews24.com website: www.bdnews24.com.
Meanwhile, Finance Minister AMA Muhith will hold a post-budget press conference on Friday (June 8) at the city’s Osmani Memorial Auditorium at 4:00 pm.