NBR’s ‘necessary bureaucratic repression’ a major obstacle to business: Rizwan Rahman

Rizwan Rahman, former president of the Dhaka Chamber of Commerce and Industry (DCCI), has said that the “necessary bureaucratic repression” of the National Board of Revenue (NBR) has emerged as a major obstacle to doing business.

“We are unable to be free from what we call ‘necessary bureaucratic repression’—in short, NBR. This has now become the biggest barrier for businesses,” he said.

Rizwan Rahman made the remarks at a DCCI pre-budget discussion at hotel InterContinental in the city on Monday.

Mr Rahman said the current government is bearing the consequences of policy and management shortcomings accumulated over the past decade or more.

“The government is now under pressure due to the mismanagement of the previous decade or more,” he noted.

On automation, he said progress has remained limited despite years of discussion. AI-based risk profiling has yet to be effectively introduced, leading to widespread misuse and misdeclaration of HS codes in import and export activities. This, in turn, is causing significant revenue leakages and putting pressure on the trade system.

“Without proper risk profiling, HS code misuse continues, resulting in revenue losses for the government,” Rizwan added.

He identified corruption as the key barrier to automation. “Automation curbs corruption—this is precisely why it faces resistance,” he said.

Criticising short-term revenue measures, Rahman said increasing the tax burden on existing taxpayers is not a sustainable solution. “Raising taxes on large taxpayers may be an easy option, but it is not viable in the long run. We are effectively turning short-term fixes into long-term policies,” he observed.

Rizwan Rahman also pointed out that while Dhaka contributes around 48 per cent to the economy, the bulk of revenue is collected from Dhaka and Chattogram, reflecting a lack of decentralisation in the tax system. “If tax incentives are extended beyond Dhaka, investment will naturally disperse,” he said.

Highlighting the need for automation, he suggested adopting proven systems from Europe, Singapore, and Malaysia through government-to-government cooperation. He also recommended involving banks in transaction monitoring to help detect revenue leakages.

Calling for an end to money printing to curb inflation, Rahman said greater budgetary focus should be placed on healthcare, education, and social safety nets. However, he cautioned that expanding such spending through money creation would not be sustainable.

Emphasising financial sector governance, he warned that supporting wilful defaulters through money printing would further destabilise the economy. “Businesses are paying taxes but are not receiving commensurate benefits,” he said.

Stressing the need for long-term thinking, he added, “It is not just about the budget—strategic planning is now more important.”

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