DHAKA, June 13, 2026 (BSS) – The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) today described the proposed national budget for FY27 as big but achievable, saying its successful implementation would require foresight, efficiency, transparency and accountability. In its formal reaction on the proposed budget unveiled by Finance Minister Amir Khosru Mahmud Chowdhury in the Jatiya Sangsad on Thursday, the country’s apex trade body welcomed the government’s emphasis on economic stability, investment, production, employment generation and social justice. The FBCCI congratulated the finance minister for presenting the budget and thanked Prime Minister Tarique Rahman for placing what it termed the first budget of the current government and the 13th budget under a BNP-led administration. The business body said the budget has appropriately prioritized education, healthcare, social protection, employment, business climate, socio-economic development, financial sector stability, energy security and information and communication technology in line with the government’s electoral commitments and constitutional obligations. FBCCI also welcomed the government’s adoption of the “3R Strategy” – Recovery and Stabilization, Restoration and Reconstruction – aimed at restoring macroeconomic stability, promoting investment and private sector development, and achieving inclusive and sustainable growth. The proposed budget size of Tk 9.38 lakh crore, which is Tk 1.48 lakh crore or 18.7 percent higher than the outgoing fiscal year’s budget, is not unrealistic considering the country’s ambition to attract domestic and foreign investment, generate employment, support low-income groups and advance toward becoming a one-trillion-dollar economy, the organization said. However, it stressed that the largest budget in the country’s history would require strong implementation capacity and coordinated efforts.  FBCCI expressed optimism that the government’s targets of 6.5 percent GDP growth and 7.5 percent inflation could be achieved through restoration of economic discipline and stability. The organization identified revenue mobilization as one of the biggest challenges.  The proposed budget targets total revenue collection of Tk 6.95 lakh crore, equivalent to 10.2 percent of GDP, including Tk 6.04 lakh crore through the National Board of Revenue (NBR). The FBCCI said achieving such a target would require a business-friendly tax regime, economic stability, sustained investment growth and comprehensive reforms at the NBR. Regarding the budget deficit of Tk 2.43 lakh crore, or 3.6 percent of GDP, the apex business body cautioned against excessive government borrowing from the banking sector, warning that it could crowd out private-sector credit and negatively affect investment and employment. It suggested giving greater attention to concessional foreign financing while maintaining prudent debt management practices. The FBCCI also noted that the government would need to pay a total of Tk 1.275 lakh crore in interest obligations, including Tk 1.05 lakh crore in domestic interest payments and Tk 22,500 crore in foreign interest payments, which it described as a major fiscal challenge. The business body identified high inflation, a low tax-GDP ratio, rising non-performing loans, external debt pressures and global geopolitical uncertainties as key risks to successful budget implementation. To strengthen the economy, FBCCI recommended operationalizing investment-friendly economic zones, diversifying exports, exploring new markets, developing skilled human resources in ICT and electronics, reducing the cost of doing business, strengthening the capital and bond markets, reforming the banking sector, controlling defaulted loans, ensuring uninterrupted power and energy supply, improving logistics and supply chains, establishing a legal framework for free trade zones and harnessing the potential of the blue economy. The FBCCI welcomed a number of social protection initiatives, including the introduction of Family Cards and Farmer Cards, free train travel for citizens aged 65 and above, a 25 percent fare discount on metro rail services and continuation of allowances for July movement fighters. It also praised the expansion of social safety-net coverage and benefits, while emphasizing the need to ensure that support reaches intended beneficiaries. The organization appreciated the government’s focus on trade competitiveness in preparation for Bangladesh’s graduation from the Least Developed Country (LDC) category, including efforts to negotiate Free Trade Agreements (FTAs), Preferential Trade Agreements (PTAs) and Economic Partnership Agreements (EPAs). It also welcomed proposals to facilitate the establishment of free trade zones and to promote renewable energy, including a target of meeting 20 percent of electricity demand from renewable sources by 2030 and maintaining a zero percent tax rate on solar power until 2035. FBCCI praised the announcement of a Tk 60,000 crore “Stimulus Package 2026” designed to support private-sector credit flow, investment and employment. It also welcomed the proposed allocation of Tk 2,000 crore for SME development through refinancing schemes and Tk 500 crore for promoting women and youth entrepreneurship. The apex chamber further commended measures aimed at expanding the tax base, preventing tax evasion, gradually reducing tax exemptions and introducing end-to-end automation in tax administration. It welcomed mandatory online VAT returns, online income tax filing and refunds, digital single-window services, risk-based automated audit selection and improved integration between customs and tax administration systems. On taxation, FBCCI appreciated the increase in the tax-free income threshold from Tk 350,000 to Tk 375,000 but suggested retaining the 5 percent tax slab and reducing the highest personal income tax rate from 35 percent to 25 percent.  It also proposed a further reduction in corporate tax rates for non-listed companies and a reduction in the minimum turnover tax from 1 percent to 0.5 percent. The business body praised several tax and duty measures aimed at reducing the cost of living and production, including lower advance tax on industrial raw material imports, reduced source tax on essential agricultural and consumer goods, withdrawal of regulatory duties on dates and cooking spices, lower withholding tax on foreign loans and incentives for domestic edible oil production. It also welcomed tax exemptions and incentives for startups, technology-based enterprises, SMEs, women entrepreneurs and exporters. The organization also welcomed tax incentives for electric vehicles, electric buses, trucks and charging stations, describing them as important steps toward promoting environmentally sustainable transportation. However, FBCCI expressed concern over an increase in specific VAT at the production stage of certain MS rod products, warning that it could have adverse impacts on the construction sector. The business leaders also welcomed simplified turnover tax arrangements for small businesses, excise duty exemptions for small bank deposits, VAT exemptions for startups, and VAT relief for freelancers and content creators. FBCCI further appreciated the simplification of tax, customs and VAT appeal procedures, reduction in mandatory tax payments required for filing appeals and proposals to eliminate discretionary powers of tax officials. The organization also welcomed the introduction of new regulations for bonded warehouse-based gold imports and jewellery exports, along with significant reductions in source tax on gold and jewellery transactions. Despite prevailing geopolitical uncertainty and economic polarization, FBCCI concluded that the proposed budget represents a realistic, implementable and investment-friendly fiscal framework capable of supporting growth, decent employment and accountable governance. The chamber said many of its recommendations had been reflected in the proposed budget and thanked the government for its consideration.  It added that it would continue reviewing the Finance Bill and related tax, VAT and customs measures and would submit further post-budget recommendations after consulting its member organizations.