FY 2021-22: At a glance of country’s largest budget...

Dhaka, Friday   25 June 2021

FY 2021-22: At a glance of country’s largest budget

 Staff Correspondent daily-bangladesh.com

 Published: 05:53 PM, 3 June 2021   Updated: 08:18 PM, 3 June 2021

Photo: Daily Bangladesh

Photo: Daily Bangladesh

Finance Minister AHM Mustafa Kamal has presented the largest budget in the history of the country in the Jaitya Sangsad. The size of the proposed budget for the fiscal year 2021-22 has estimated at Tk 6,03,681 and the deficit of these at Tk 2,14,681 crore.

About 17.47 percent of the total GDP has been estimated in this year’s budget while the deficit is 7.2 percent of GDP – it was 6 percent in the 2020-21’s current fiscal year budget.

Finance Minister AHM Mustafa Kamal on Thursday presented the proposed budget for the 2021-22 fiscal year starting from July at the Jatiya Sangsad in the capital. Earlier, the Cabinet approved the proposed budget for the new fiscal year at a special meeting chaired by Prime Minister Sheikh Hasina at the Jatiya Sangsad Bhaban.

This is the 50th budget of the country, the 21st budget of the Awami League government and the third budget of the present Finance Minister. Emphasis is being given in this year’s budget to improving the living standards of the people affected by the Covid-19. 

According to the Ministry of Finance, the new budget of Tk 6,03,681 crore is more than the original budget of Tk 35,681 in the current fiscal year 2020-21.

The budget has allocated a total of Tk 3,78,357 crore in other sectors including management. Tk 2,25,324 crore has been allocated for the Annual Development Program (ADP).

The budget deficit is Tk 2,14,681 crore – 6.2 percent of the GDP. This rate was 6.1 percent in the last budget. Tk 1,01,228 crore will be collected from foreign sources and Tk 1,13,452 crore from domestic sources to finance the deficit.

Of the internal sources, Tk 76,452 crore will be collected from the banking system, while Tk 37,001 crore will come from savings certificates and other non-banking sectors.

It is learned that the target for lending from the domestic sector has been set at Tk 1,13,453 crore to meet the budget deficit for the fiscal year 2021-2022. Of this, the government will lend Tk 76,452 crore from the banking system. Besides, Tk 32,000 crore will be borrowed from the savings sector and Tk 5,001 crore will be taken from other sectors. The target for borrowing from foreign sources has been set at Tk 96,738 crore.

Expenditure in the Annual Development Program (ADP) of the new fiscal year has been estimated at Tk 2,25,324 crore. The ADP has already been approved by the National Economic Council (NEC).