Staff Reporter :
The Chief Adviser’s Press Secretary, Shafiqul Alam on Sunday said that the government aims to boost the country’s tax-GDP ratio by implementing a simplified 15 percent value-added tax (VAT) to support economic growth.
Speaking at a press briefing at the Foreign Service Academy in the evening, Alam highlighted that Bangladesh’s tax-GDP ratio has been declining since 2021, leading to a revenue shortfall of approximately Taka 42,000 crore in the past five months. “We had set a revenue collection target of Taka 1,69,000 crore for this period but managed to collect only over Taka 1,26,000 crore,” he stated.
Alam emphasized that Bangladesh’s tax-GDP ratio is among the lowest globally, stressing the need to improve it for the country’s development and the well-being of its citizens.
To address this, the government has raised VAT on certain items and is working to unify various VAT rates into a simplified 15 percent structure to reduce tax leakage.
After assuming power, the government has focused on reducing public expenditure, Alam noted, pointing to widespread misuse of public funds during the previous administration.
He accused the ousted regime of misusing public money in multiple sectors, citing the construction of a seven-star hotel costing Taka 450 crore near the Karnaphuli Tunnel in Chattogram, allegedly for the convenience of former minister Saifuzzaman Chowdhury.
Alam warned that a further decline in the tax-GDP ratio could jeopardize the country’s ability to repay its debts. He assured that the additional tax revenue would be utilized for the welfare of the population.
When asked about the impact of the new taxes, Alam said the effects on citizens would be minimal. Responding to another query about recovering laundered money, he confirmed that this remains a top government priority.
The administration is actively identifying where the money has been siphoned off and maintaining contact with countries involved, receiving substantial cooperation in these efforts.
The press briefing was also attended by Chief Adviser’s Deputy Press Secretaries Apurba Jahangir and Abul Kalam Azad Majumder, along with Assistant Press Secretary Suchismita Tithi.
