CPD calls for mid-term review to ensure efficient implementation of FY26 budget

As the FY2025–26 national budget nears formal approval by the interim government, the Centre for Policy Dialogue (CPD) has called for a mid-term review of the budget's implementation status to ensure transparency, accountability, and course correction if necessary.

Speaking at the “CPD Budget Dialogue 2025”, held at a city hotel on Sunday, CPD Executive Director Dr Fahmida Khatun noted that although the budget puts forward progressive themes—such as a focus on overall development rather than just growth, and prioritising people over physical infrastructure—these objectives are not sufficiently supported by the proposed fiscal measures.

“The budget for FY26 is exceptional in terms of its size, being smaller than the previous fiscal year's, but this contraction has not been matched with a clearly articulated strategy to address ongoing economic challenges,” said Dr Khatun during her keynote presentation.

“We appreciate initiatives like tax reliefs, sectoral allocations, and incentives, along with higher taxation on harmful activities. However, the budget falls short of offering a holistic response to the difficulties currently facing people and businesses.”

She further observed that certain fiscal measures contradict the budget's overarching theme of ‘Building an Equitable and Sustainable Economic System’, weakening its credibility and practical relevance.

“The interim government must take responsibility for implementing this budget in an efficient and transparent manner,” Dr Khatun stressed.

“A mid-year assessment with corrective measures will be crucial for maintaining public trust and ensuring the budget delivers on its promises.”

The event was moderated and chaired by CPD Distinguished Fellow Professor Mustafizur Rahman, who echoed the importance of aligning fiscal measures with declared priorities.

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