Proposed Budget For Fy 2014-2015
Policymakers, economic experts continue with differing views
A number of government policymakers and economic experts on Saturday expressed divided opinions about the new budgetary proposals during a post-budget dialogue in the city. The government policymakers led by planning minister AHM Mustafa Kamal and state-minister for finance and planning Abdul Mannan praised the measures in the proposed Tk 2.5 lakh crore budget for the next financial year 2014-2015.
They expressed their optimism of achieving the budgetary targets that included a mammoth revenue target and a lofty GDP growth target of 7.3 per cent during the dialogue organised by the Centre for Policy Dialogue at a city hotel.
The economic experts including former caretaker government adviser Akbar Ali Khan and CPD distinguished fellow Debapriya Bhattacharya expressed doubt saying that the budget was beyond implementation.
The government policymakers have been defending the proposed budget announced by the finance minister AMA Muhith on June 5 as most of the leading economists have said that many of the budgetary goals were unrealistic.
CPD chairman Rehman Sobhan chaired the discussion that was also attended by former finance minister M Syeduzzaman, former Bangladesh Bank governor Salehuddin Ahmed, lawmaker Tajul Islam, planning commission member Shamsul Alam , apex chamber FBCCI president Kazi Akram Uddin, former FBCCI president Mir Nasir Hussain and former BGMEA president Abdus Salam Murshedy.
CPD research director Fahmida Khatun read out the keynote speech.
Mustafa Kamal said the new budget was designed in line with the sixth five-year plan to transform the country into a middle income country by 2021. He said ambitious revenue budget was achievable because of past reform carried out by late finance minister M Saifur Rahman.
Debapriya said there was wide gap between budgetary proposals and reality. He said the newly proposed budget lacked reality.
Giving example of the Dhaka-Chittagong four-lane road project, he said the gap was clear as the government could sanction paltry amount of funds for more than two dozens of development projects.
He expressed doubt about implementation of the budget by the bureaucrats which might result in lower than expected foreign aids and frustration among the people.
Akbar Ali Khan said higher investment by private sector was needed in helping the government to achieve projected 7.3 per cent growth in the new fiscal year.
He said problems like lack of political stability, good governance and age-old infrastructures had discouraged the private sector from fresh investment in the last several years.
He said without political stability the implementation of the new budget was quite impossible. The ruling party should come forward to establish the political consensus for the greater welfare of the nation, he suggested.
He termed the revenue target in the new fiscal was ambitious. He found lack of clarification in obtaining the target as a major flaw of the budget speech by the finance minister.
MA Mannan said the present budget was a successful one in a sense that it was criticised more than ever. He lauded the present government’s efforts in increasing food production, electricity generation and encouragement for industrialisation outside the capital city.
Shamsul Alam said the proposed budget was pro-poor and pro- people. He highlighted that import duty on 777 items was proposed to be reduced.
He, however, supported the view by Akbar Ali on political consensus for successful implementation of the budget. He hoped that the budget would be implemented although there might be some questions about its quality.
Mir Nasir said major challenge of the budget was to increase investment by private sector. He said focus should be given to solve the problem like gas and electricity supply and ensure political instability.
He noted that no private sector investor would go for new ventures amidst political uncertainty.
Akram Uddin praised the budgetary proposal but said focus should be given on implementation and transparency.
-With New Age input
