No plan to hike tax, govt eyes stronger revenue growth: PM’s adviser

The government has ruled out any increase in tax rates, opting instead to expand the tax base and curb evasion to raise the tax-to-GDP ratio, said Rashed Al Mahmud Titumir, economic adviser to the prime minister.

The focus remains on boosting investment and improving compliance to enhance collection, he said at a press briefing at the National Board of Revenue (NBR) headquarters in Dhaka today.

“We are not increasing tax rates. Our focus is on expanding the overall economic base so that revenue grows naturally,” Titumir said.

“We want to raise the tax-to-GDP ratio without placing an additional burden on taxpayers already strained by prolonged inflation.”

He noted that rising poverty levels make it imperative to prioritize social protection spending. Several new and expanded programmes have already been rolled out, including support schemes targeting women, religious service holders, and other vulnerable groups.

Against this backdrop, the government has outlined a three-pronged strategy: keeping the budget deficit under control, reducing reliance on domestic borrowing, and increasing revenue through economic expansion.

Policymakers view investment as the key driver of sustainable growth.

“Increased investment will lead to higher production, which will create jobs. Higher employment will, in turn, raise incomes and government revenue,” Titumir added.

NBR Chairman Md Abdur Rahman Khan was also present at the event.