Govt bank borrowing target set at Tk 112,000 crore for FY27

The government has proposed borrowing Tk 112,000 crore from the banking sector in the upcoming 2026-27 fiscal year to finance its budget deficit.

While presenting the national budget for FY2026-27 in parliament today, Finance Minister Amir Khosru Mahmud Chowdhury said the budget deficit for FY27 has been estimated at Tk 243,000 crore, equivalent to 3.6 percent of the country's gross domestic product (GDP).

To finance the deficit, Tk 127,000 crore is proposed to be sourced domestically and Tk 116,000 crore from external sources.

Of the domestic borrowing, Tk 112,000 crore is proposed to be raised from the banking system. In FY2025-26, the amount was Tk 118,000 crore.

This means borrowing from the banking system is proposed to be reduced by Tk 6,000 crore in the next fiscal year, he added.