FY27 Budget of Tk9.38 lakh crore passed

Bangladesh’s parliament on Tuesday (30 June) passed the Tk9.38 lakh crore national budget for FY2026–27 by voice vote, clearing the way for it to take effect from 1 July.

The budget sets total government expenditure at Tk9.38 lakh crore, with Tk6,05,740 crore earmarked for operating expenditure and Tk3,16,075 crore allocated for the Annual Development Programme (ADP) and other development spending.

Debt servicing will remain one of the largest components of operating expenditure in the coming fiscal year, reflecting the government’s growing repayment obligations.

Expenditure is also expected to increase following the implementation of a new pay structure for public sector employees, which will raise spending on salaries, allowances and pensions.

On the revenue side, the budget estimates total receipts, including grants, at Tk7,01,150 crore for FY2026–27. Of this, Tk6,95,000 crore is projected to come from revenue collection.

The National Board of Revenue (NBR) is expected to contribute around 86.1 per cent of total government revenue through tax collection, while non-tax revenue is forecast to account for 9.4 per cent.

Despite the projected rise in revenue, the budget estimates an overall fiscal deficit of Tk2,43,000 crore, highlighting the government’s dependence on meeting its ambitious revenue collection target to finance planned expenditure.