Tk 2.56t budget deficit proposed in FY25

Finance Minister Abul Hassan Mahmood Ali today proposed a budget deficit of Tk 2.56 trillion in the budget for FY25.

Ali made the proposal while placing the budget for FY25 at Jatiya Sangsad today.

“In the proposed budget for FY 2024-25, the estimated deficit will stand at Taka 2,56,000 crore (Tk 2.56 trillion), which is 4.6 percent of GDP. The deficit was estimated to be 5.2 percent in the previous budget,” he said.

Ali also said, “Within the total proposed budget deficit, I propose Taka 1,60,900 crore [Tk 1.609 trillion] from domestic sources and Taka 95,100 crore [951 billion] from foreign sources for financing.”

He said that the prudent and pragmatic macroeconomic policy has kept the country’s debt management relatively risk-free, as mentioned in the reports of International Monetary Fund.

“Despite the increase in expenditure for loan and interest payment due to the depreciation of foreign currency over the past two years, our deficit and borrowing will remain sustainable in our overall budget,” he added.