Budget deficit one-fourth of total expense

With an ambitious growth target of 7.4 percent, Finance Minister AMA Muhith’s mega budget for 2017-18 fiscal has a deficit of Tk 1,12,275 crore which is 5 percent of the GDP.

Placing the Tk 4 trillion budget at a full house, Muhith says Tk 51, 924 crore of the gap will be financed from external sources and Tk 60,352 crore will come from domestic sources.

According to Muhith’s plan, the government wants to source Tk. 32,149 crore from savings certificates and other non-banking sources and Tk. 28,203 crore from the banking system.

The revenue generation target has been set at Tk 2,87,991 crore. The National Board of Revenue would have to generate Tk 2,48,190 crore (11.2 percent of GDP)  of the targeted amount.

The target of Non-NBR tax revenue collection has been fixed at Tk.8,662 crore. The target of non-tax revenue collection has been set at Tk 31,179 crore.

“The revenue target is expected to be achieved due to the recent initiatives for revising fees/rates in consistence with market rates and improved monitoring system,” Finance Minister AMA Muhith said in his Budget Speech 2017-18.

Source: thedailystar