Dhaka:Prime Minister's Adviser on Finance and Planning Dr. Rashed Al Mahmud Titumir stated that the previous government left the country's economy in a critical state, likening it to being in the intensive care unit (ICU). He elaborated that the current government inherited a fragile economy with low revenue collection and a significant debt burden.
According to Bangladesh Sangbad Sangstha, the adviser emphasized the need for reform in the revenue system and initiatives to boost investment, create employment, and restore economic momentum. Speaking to journalists at the Revenue Building in Agargaon, Titumir detailed the economic challenges, including low domestic revenue mobilisation and a mounting debt burden. The government aims to increase the revenue-to-GDP ratio to 10 percent by 2030 and improve allocations for education and health.
Titumir highlighted that the national debt rose significantly during the previous government's tenure, with government debt reaching an estimated $90 billion as of June 2026. To address these issues, task forces focusing on income tax, customs duties, and VAT have been formed, leading to improved revenue collection. Revenue growth increased to 12.03 percent following government initiatives.
The adviser mentioned that the government is targeting 6.5 percent economic growth in the current fiscal year despite global challenges. Measures to revive economic activities include increased public development expenditure and enhancing remittance inflows. Additionally, initiatives such as the Family Card and Farmers' Card programmes aim to support low-income households and farmers, respectively.
Titumir also addressed the importance of transparency in economic statistics and ongoing reforms in the revenue administration to reduce taxpayer harassment and enhance digitalisation. He noted ongoing discussions with the IMF on tax policy, aiming to balance revenue mobilisation with the tax burden on ordinary people.
Finally, Titumir stressed the need for capacity building among revenue officials to adapt to changes in the global economy. The government is committed to providing necessary training and resources to support revenue professionals in achieving sustainable economic growth.