Despite the allocation of over Tk 107.6 billion for social security, the budget failed to become a refuge to the people with desperate needs, struggles and dreams.

The Transparency International Bangladesh has expressed concern for not having sufficient allocation in the next budget for critical sectors, including health, to combat the Covid-19 pandemic.

The Institute of Chartered Accountants of Bangladesh (ICAB) welcomed the budget for the FY 2021-22 for the reduction of corporate tax rate, tax exemption from automobile, home appliance, light engineering along with tax incentive for employment of transgenders.

The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) has tipped the new budget as realistic in the current context of the Covid-19 pandemic.

The proposed budget for the upcoming fiscal year will not be able to play its due role in offsetting the economic hardship arriving from the coronavirus pandemic, the Centre for Policy Dialogue said today.

Finance Minister AHM Mustafa Kamal has proposed increasing the income tax for fish and poultry hatchery farmers with the introduction of a new tax slab for them.

The government will increase advance income tax (AIT) on import of some luxury items, including alcohol and perfume, which will surely increase their prices at the local market.

The government plans to reduce tax on raw materials for construction sector from the next fiscal year.

The government has taken a plan to construct up to 60,000 new flats in Purbachal New Town and 8,400 in Uttara Sector 18.

Although the proposed budget for the 2021-22 fiscal year has seen around 6 percent increase compared to the outgoing budget, allocation for at least 13 ministries and divisions has reduced.

Finance Minister AHM Mustafa Kamal has proposed to reduce tariffs on microbus import to discourage the use of accident-prone vehicles like Nasimon and Karimon and to encourage the use of microbuses as an alternative public transport.

Finance Minister AHM Mustafa Kamal has proposed to promote the “Made in Bangladesh” brand to accelerate establishment of mega industries and production of import-substitute industrial goods in the country.

The government will provide special incentives to women entrepreneurs in the SME sector from the next budget amid the economic fallout of the Covid-19 pandemic.

The allocation for agriculture, food security and fisheries and livestock sector has been increased by 1 percent in the proposed budget of 2021-22 fiscal year from the previous year.

Finance Minister AHM Mustafa Kamal wants to withdraw taxes on incomes generated from microcredit distributed by the institutions registered under the NGO Affairs Bureau to extend the reach of microcredits for entrepreneurs.

The government has targeted a 7.2 percent growth of gross domestic product (GDP) in the 2021-22 fiscal year.

Amid the growing concern on food security during the second wave of the Covid-19 pandemic, the government will buy 20.55 lakh tonnes of rice from local sources in the next fiscal year.

To buy savings certificate over Tk 2 lakh, an investor will have to submit tax identification number (TIN).

Finance Minister AHM Mustafa Kamal proposed to drop corporate tax of listed and non-listed companies by 2.5 percentage point except banks, merchant banks, tobacco companies, and mobile operators.

The overall budget deficit for the fiscal year 2021-22 will be Tk 214,681 crore which is 35.5 percent of total budget.