Bangladesh Budget FY 2019-20: At a Glance

Total Budget: Tk 5,23,190 crore (about 62 billion U.S. dollars) 

Total Estimated Revenue Collection: Tk 3,77,810 crore

• Tax Revenue: Tk 3,40,100 crore

• NRB-Tax Revenue: Tk 3,25,600 crore

• Non-NBR Tax Revenue: Tk 14,500 crore

• Non-Tax Revenue: Tk 37,710 crore

• Foreign Grants/1 (Statement V): Tk 4,168 crore

Highest Allocation

• The total allocation for operating and other expenditures is Tk 3,20,469 crore,

• For the annual development program is Tk. 2,02,721 crore

• Proposed to provide startup capital to promote all types of startup enterprises among youths Tk 100 crore

• Proposed for general services: Tk 1,23,641 crore

• Proposed for public-private partnerships (PPP) financial assistance to different industries, subsidies and equity investments in nationalized corporations, banks, and financial institutions.: Tk. 33,202 crore

• For human resource (education, health, and related others): 27.4%

• Communication (roads, rails, bridges, and related other communications): 26%

• For the overall agriculture sector (agriculture, rural development, water resources, and related others): 21.5%

• For the power and energy sector: 13.8%

• For other sectors: 11.3%

• For the education and technology sector: Tk 1,43,429 crore 15.2% of the Budget.

• For the social infrastructure sector in the proposed budget is Tk 1,43,429 crore

• For physical infrastructure sector: Tk. 1,64,603 crore

  Resources Coming From

• The overall budget deficit will be Tk 1,45,380 crore, (which is 5 percent of GDP like the previous year).

• In financing the deficit, Tk 68,016 crore will come from external sources and Tk. 77,363 crore from domestic sources.

• Of the financing from domestic sources, Tk 47,364 crore will come from the banking system and Tk 30,000 crore from savings certificates and other non-bank sources.

Observation

GDP Growth Target: 8.2%

Subsidy: Tk 33,205 crore

Proposed Sector of Maximum Subsidy and Incentive:

·         Public Administration Sector: Tk 19,601 crore

Price Decrease

• Lightning arresters

• Firefighting equipment

• Building bricks

• Cancer-related medicines

• Coco substrate and coco pellet used in home gardening

• Gold

• Electric fan

Price Increase

• Cosmetics

• Mobile phone services

• Ceramics, cigarettes

• Helicopter renting

• Plastic products

• Aluminum products

• Cooking oils, medicines

• Marriage media centers

• Ice cream

• Vehicle registration

• Permit for vehicles

• Fitness certificate for vehicles

• Astrology

• Drama

• Movie

• Handmade confectioneries

• Milk

• Sugar

• Body spray

• Ovens

• Broilers

• Grillers

• Smartphones

Reduction of Corporate Tax

Proposal for reducing the corporate tax rates for banks and financial institutions by 2.5% in the national budget for the 2018-19 fiscal year.

9 Mega Projects of This Financial Year

Fifteen mega projects are set to receive Tk 52,758 crore in the next fiscal year, accounting for one-fourth of the Tk 2,02,721 crore set aside for development expenditure in the year.

1. The Padma bridge

2. Dohazari-Ramu rail track

3. Metro rail

4. Bridge rail link

5. Shahjalal International Airport expansion (first phase)

6. Road connectivity project-II

7. Power grid network strengthening

8. Expansion and strengthening of the power system network

9. Dhaka-Ashulia elevated expressway

6 projects which got increased allocation

1. The Dhaka elevated expressway

2. Karnaphuli river tunnel

3. Rooppur nuclear power plant

4. Bus rapid transit (Gazipur to airport)

5. Paira deep-sea port

6. Matarbari coal power plant