Previous govts inflated GDP growth data for political gain

Prime Minister’s Adviser to the Ministry of Finance and Planning Dr. Rashed Al Mahmud Titumir said that the government has outlined a comprehensive strategy to revitalise the national economy by focusing internal resource collection, preventing tax evasion, and implementing structural reforms without increasing existing tax rates.
“The government’s immediate goal is to achieve record-breaking revenue collection in the final quarter of the current fiscal year to fund expanded social safety nets and development projects,” he said while speaking at a press conference at the National Board of Revenue (NBR) conference room in the city, reports BSS.
The current administration inherited what Titumir described as a destroyed economy from the previous regime, characterised by a tax-to-GDP ratio that was among the lowest in the world.
Titumir mentioned that the government has set a target to raise the tax-to-GDP ratio to 10 percent during its current term, with a long-term goal of reaching 15 percent by 2035. He said that the government aims to prove its success through quantitative data rather than rhetoric.
The adviser expressed confidence that revenue collection in the current fourth quarter will surpass any previous period.
“This achievement is intended to alleviate public concerns regarding the government’s ability to finance its programmers without resorting to excessive domestic or foreign borrowing,” he added. He noted that a core component of the government’s economic plan is increasing the volume of internal resources without raising tax rates.
The strategy focuses on preventing tax evasion, abolishing the SRO culture, digitization and accountability and task forces.
Titumir explained that the government is leveraging increased revenue to fund groundbreaking social security measures, including Family Card and support programmes for religious leaders such as Imams, Muezzins, and priests.
“These universal social security initiatives are unprecedented in Bangladesh’s history. Furthermore, he said that the government is shifting its focus toward Capital Expenditure (Annual Development Program) rather than operational expenditure to drive GDP growth.
“This includes ensuring fuel and energy security while managing inflation to protect the low-income and middle-class populations, he added. To ensure sustainable growth, the adviser said that the government is pursuing two main paths- structural reform and policy reform,””Titumir said.
By establishing accountability and transparency, he said, the administration intends to ensure that tax money is spent on essential sectors like education, health, and infrastructure, thereby encouraging citizens to pay taxes willingly.
Titumir concluded by affirming that the government remains committed to its 180-day, one-year, and five-year mandates, ensuring that the transition from the interim period to an elected government results in an economy that reflects the aspirations of the general public.