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Tax gridlock imperils the economy; resolution can’t wait

Media reports on Sunday said the ongoing standoff between the National Board of Revenue (NBR) and its protesting officials under the banner of the NBR Reform Unity Parishad has now reached a critical juncture.

As the “complete shutdown” and “March to NBR” programmes enter a second day, the resulting paralysis across the tax authority’s operations threatens to inflict serious damage on the national economy.

Since Saturday morning, the suspension of services across customs houses, VAT circles, and income tax zones — excluding international passenger processing — has disrupted trade activities on a massive scale.

With import and export operations at major points like Chattogram Customs House effectively shut down, the impact has already reached an estimated Tk 2,500 crore (£185 million) in daily trade losses. Business leaders are justifiably alarmed.

The protesters’ core demand — the resignation of NBR Chairman Abu Hena Md Rahmatul Muneem and comprehensive reform of the revenue authority — has intensified amid allegations of retaliatory transfers and exclusion from key reform discussions.

Unity Parishad President Hasan Muhammad Tarek Rikabdar has insisted that meaningful change is impossible under the current leadership, while also signalling a willingness to engage in dialogue under the Chief Adviser’s Office.

What is clear is that the situation cannot be allowed to drag on. The stalemate is not only halting vital state revenue collection but also endangering fragile supply chains in export-oriented industries.

As the BGMEA and other industry leaders have warned, prolonged disruption could threaten annual trade volumes worth up to US$65 billion.

While the grievances of the protestors must be acknowledged — particularly the demand for structural reform and fair representation in policymaking — national economic stability cannot be held hostage.

Likewise, dismissing legitimate dissent through punitive transfers or exclusion from dialogue is equally counterproductive. The government must act with urgency.

The Chief Adviser’s Office should immediately convene a multi-stakeholder dialogue involving finance, commerce, and investment officials alongside the Unity Parishad representatives.

Business leaders have already offered to facilitate such discussions, which must now be accepted without delay.

This is not merely a bureaucratic dispute — it is a test of institutional integrity and national economic resilience.

Both sides must rise above entrenched positions. Compromise, transparency, and good faith negotiations are essential to restoring stability and ensuring that the revenue system serves both the state and its citizens effectively.