‘Poor-First’ budget to be prioritised
Finance and Planning Minister Amir Khosru Mahmud Chowdhury on Tuesday said the core philosophy of the upcoming national budget for fiscal year 2026–27 is the “democratisation of the economy” — bringing poor and marginalised communities into the mainstream of economic activity through targeted programmes and deregulation.
“The low-income people have historically been the most deprived in Bangladesh’s budgetary framework.
Therefore, we have given priority to the poor, low-income groups and homemakers in the upcoming budget,” the minister said while addressing a seminar titled Budget 2026–27: Expectations and Reality, organised by the Economic Reporters Forum (ERF) in Dhaka.
Among the headline initiatives, Khosru highlighted the expansion of the Family Card programme, under which financial assistance will be transferred directly to women heading households through bank accounts — a mechanism he said is designed to minimise corruption and bypass political interference.
A pilot project recorded a deviation rate of only 1–1.5 percent, he said, expressing confidence that the programme could achieve near-perfect targeting.
A new Farmer Card initiative was also announced to strengthen food security and improve rural livelihoods, while the government is pushing to expand universal primary healthcare — addressing what the minister described as disproportionately high out-of-pocket medical expenses borne by ordinary Bangladeshis.
The programme will be implemented through partnerships involving the private sector and NGOs rather than government agencies alone.
Khosru acknowledged the extraordinary circumstances under which the budget was prepared, noting that drafting a national fiscal plan within one and a half months of assuming office — when the process normally takes at least six months — was “almost impossible.”
The government inherited an economy marked by declining indicators, weak investment, growing unemployment and rising poverty, he said, likening the situation to priming a tube well before groundwater can flow.
“The economy has reached a level where significant intervention is needed to restore stability and put it back on the path to prosperity.”
Prime Minister’s Adviser on Finance and Planning Rashed Al Mahmud Titumir echoed the sentiment, saying the budget carries a “central message” aligned with the Prime Minister’s vision of building a democratic, humane and welfare-oriented state.
Titumir noted that early steps — including waiving agricultural loans up to Tk 1 lakh for farmers, farm owners and fishermen at the very first cabinet meeting — were taken with that goal in mind.
He also flagged prolonged inflation as pushing the lower-middle class into poverty, calling it “very unfortunate”, and cited the Family Card as a direct response.
In a less conventional move, the budget earmarks significant support for what Khosru termed the “creative economy” — artisans, weavers, folk craftsmen, theatre artists and cultural workers — who will receive skills training, access to finance, design assistance and online marketing support, drawing on Thailand’s “One Village, One Product” model as inspiration.
On the business environment, the minister called for a “deregulated economy”, announcing plans for a one-stop service system under which applications not processed within prescribed timeframes would be deemed automatically approved.
To address persistently low budget execution rates, the government plans to introduce digital monitoring dashboards across ministries, the finance ministry and the Prime Minister’s Office, tracking development projects in real time.
Around 1,300 ongoing projects inherited from previous administrations are under review; those failing to meet new criteria — covering value for money, return on investment, job creation and environmental sustainability — face cancellation or repurposing.
On the capital market, Khosru said the securities regulator is being restructured and a new professional leadership team is expected to be appointed within weeks, part of a broader effort to attract quality listed companies and ease pressure on the banking sector.
The seminar was chaired by ERF President Daulat Akter Mala. Special guests included CPD Executive Director Dr Fahmida Khatun, East Coast Group Chairman Azam J Chowdhury and BTMA President Shawkat Aziz Russell. ERF General Secretary Abul Kasem moderated the event.
