LGRD Gets Tk. 42,433cr Allocation for FY26

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Dhaka: Finance Adviser Dr Salehuddin Ahmed today unveiled the national budget allocating Tk. 42,433 crore for the local government and rural development (LGRD) for fiscal year 2025-2026 (FY26). “A strong, effective and corruption-free local government system is essential to ensure benefits of welfare-oriented activities to common people across the country,” he said in his budget speech aired by Bangladesh Television (BTV) and Bangladesh Betar.



According to Bangladesh Sangbad Sangstha, Ahmed stated that the government has been implementing various short and long-term programmes to ensure road infrastructure, safe water supply, drainage systems, modern sewerage, and primary waste management in different cities to develop a modern urban system. He emphasized that many services like the development of transport systems, birth and death registration, primary health services, environment development, and drinking water provision are being provided to people under the local government system.



Furthermore, the finance adviser noted that services provided by city corporations and municipalities are being gradually brought under online-based automation. He highlighted that opinions are being gathered about the overall action plan of the Local Government Engineering Department (LGED) through quarterly stakeholder consultations in every district, engaging students and the public to increase transparency and accountability in the local government institutions.



The budget for FY25 aims to strengthen rural communication infrastructure, including the construction of 5,400 km of new roads, 21,500 metres of bridges/culverts, 55 cyclone shelters, and the development of 104 markets and growth centres. Additionally, it targets the maintenance of 8,750 km of pucca roads, 20,000 metres of bridges/culverts, and the construction/expansion of 35 upazila complex buildings.



Dr Ahmed also mentioned initiatives to produce electricity/fuel and bio-fertilizer through the proper management of waste produced in 12 city corporations and 329 municipalities. Work plans are being implemented to construct safe water sources in rural areas, supply water through pipelines, establish water treatment plants, and construct/maintain community/sanitary latrines nationwide.



The local government division’s main objectives include reducing the use of groundwater, increasing the use of surface water, and ensuring a hygienic sanitation system in every household.