Property, Plant and Equipment (PPE) and Lease Manual: Govt tightens oversight of public assets, mitigating fiscal risks
Business Report :
The government has introduced a new “Property, Plant and Equipment (PPE) and Lease Manual” to strengthen asset governance and mitigate long-term liabilities, amid growing concerns over hidden fiscal exposures and weak oversight of public resources.
The new Property, Plant and Equipment (PPE) and Lease Manual aimed at strengthening asset governance and curbing long-term liabilities.
The Finance Division revealed that Bangladesh’s total contingent liabilities have reached Tk 6,39,782.58 crore, much of it linked to state-owned enterprises (SOEs) and poorly monitored asset and lease arrangements that pose serious risks to macroeconomic stability, said a press release.
Senior officials disclosed the developments at a two-day workshop titled “SOEs and ABs Governance: Progress Review and Way Forward,” which concluded in Cox’s Bazar on Saturday.
The event was organised by the Scheme on SOE Governance under the Strengthening Public Financial Management Program to Enable Service Delivery (SPFMS), Finance Division (FD).
Addressing the inaugural session as chief guest, Md Hasanul Matin, additional secretary (budget and macroeconomics), noted that the inefficient performance of several SOEs and the creation of overlapping authorities have significantly increased contingent liabilities.
Addressing the inaugural session, Md. Hasanul Matin said, “Inefficient performance of several SOEs has significantly increased contingent liabilities. The creation of multiple authorities for similar purposes has led to overlapping functions, which must be avoided,” he said, adding, “Bangladesh needs to restore its governance approach with global best practices”.
“Our major challenges today include rising debt burdens and declining revenue generation. Addressing these issues requires a whole-of-government approach,” he noted.
Ziaul Abedin, additional secretary and national program director of SPFMS, argued that only commercially viable SOEs should operate in a market economy.
“Transforming SOEs requires strong political commitment. We must rethink their future through broader, sustainable business models,” he added.
Rahima Begum, director general of the Monitoring Cell, emphasised that the new PPE manual aligns with international standards to ensure systematic tagging and tracking of government assets.
The workshop also detailed the “SOEs and ABs Governance Reform Strategy 2025-30,” which proposes enacting a comprehensive SOE law and publishing annual fiscal risk statements to reduce reliance on government transfers.
Four business sessions were in the workshop. The first session was on SABRE+ System: An integrated Database of the SoE and Abs.
The second session was on DCL Statements and Fiscal Risk Statement of SoEs and Abs. Ibrahim Khalid, Director, SoE Wing, FD made presentation and the moderator was Rahima Begum, Director General, Monitoring Cell, FD.
The third business session was on Policy and Procedures Manual for PPE and Other Assets and Preparation of Fixed Asset Register of SoEs and Abs where Md. Firoj Ahmed, Joint Secretary, Ministry of Shipping made presentation.
The session was moderated by Muhammad Manjurul Haque, Joint Secretary Expenditure Management, FD.
The fourth session was on SoEs and Abs Governance Reform Strategy 2025-30. The presentation of this session was made by Rahima Begum, Director General, Monitoring Cell, FD and the moderator was Dr. A K M Atiqul Haque, Joint Secretary, Budget Monitoring, Evaluation and Reporting, FD.
Officials said the new PPE and Lease Manual, aligned with international accounting standards, will establish clear rules for asset classification, valuation, leasing and disposal, improving transparency, accountability and fiscal discipline across the public sector.
