The government is set to unveil a large, reform-oriented national budget of nearly Tk 9 trillion for the 2026–27 fiscal year, placing employment generation and inflation control at the centre of its economic strategy.
According to Finance Ministry sources, the proposed budget size may reach around Tk 8.83 trillion, about Tk 930 billion higher than the current fiscal year. Officials noted that the figure is still provisional and could be adjusted by the newly installed BNP-led government.
Discussions are ongoing within the existing fiscal framework, but senior officials said the final structure may be reshaped in line with political priorities and evolving economic conditions.
Jobs and skills take priority
With educated unemployment rising, the government is expected to put strong emphasis on employment-oriented education and skills development. Policymakers believe a better-skilled workforce can help ease labour market pressure, expand domestic job opportunities and boost foreign exchange earnings through overseas employment.
Allocations are also likely to prioritise poverty reduction, job creation, women and child development, and climate resilience. Authorities are planning to focus on projects that directly support the government’s long-term development strategy.
Push for a realistic, effective budget
The upcoming budget is being designed with a focus on implementation and accountability. Officials said efforts are underway to keep expenditure within manageable limits, reduce wastage and ensure better utilisation of public funds.
There are also plans to move away from large block allocations and instead emphasise targeted spending that delivers visible improvements in people’s lives.
Containing inflation will remain a key objective, as the government seeks to keep the cost of living within affordable levels for ordinary citizens.
Revenue, spending and deficit
Total expenditure in the proposed budget may be set at Tk 8.83 trillion, while revenue collection is expected to reach Tk 6.36 trillion, or 9.4 percent of GDP.
Of the total revenue, Tk 5.71 trillion may come from taxes and Tk 650 billion from non-tax sources. The National Board of Revenue (NBR) could be assigned a tax collection target of Tk 5.5 trillion.
The Annual Development Programme (ADP) is likely to be increased to Tk 2.53 trillion, reflecting a rise of about Tk 230 billion from the current fiscal year.
The overall budget deficit may stand at Tk 2.47 trillion, or 3.6 percent of GDP. To bridge the gap, the government is expected to rely heavily on domestic borrowing, particularly from the banking sector, alongside external financing.
Moderate growth target
The GDP growth target for the next fiscal year may be set at 6 percent, reflecting a cautious outlook amid global and domestic economic uncertainties.
The size of the economy is projected to reach Tk 68.7 trillion, equivalent to approximately $544 billion.
Focus on health and education
The health sector is likely to receive increased attention, as concerns persist over inefficiencies, corruption and relatively low public spending. The government may prioritise improving service delivery and reducing out-of-pocket healthcare costs.
In education, current spending remains well below international benchmarks, posing a challenge to building a skilled workforce. As a result, the upcoming budget may see higher allocations aimed at improving quality and expanding access.
Implementation remains the biggest challenge
Despite being framed as a recovery-focused budget, experts warn that effective implementation will be critical to its success.
Ensuring good governance, improving project execution and creating an investment-friendly environment will be key challenges for the government in the coming fiscal year.