FBCCI Calls for NBR Reform Instead of Pressure on Revenue Collection
Graphics: Agamir Somoy
The country’s top business body, the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), has urged the government not to put pressure on businesses and entrepreneurs in order to meet revenue collection targets in the new fiscal year.
Instead, the organisation has called for structural reforms in the National Board of Revenue (NBR) and the establishment of a more investment-friendly revenue management system, especially amid the current challenging global and domestic economic situation.
In a statement sent to the media on Saturday in response to the proposed budget for the 2026–2027 fiscal year, FBCCI said the proposed budget is about 18.7 percent larger than the previous year. The organisation described the size of the budget as justifiable in light of the current geopolitical situation, aiming to attract domestic and foreign investment, create employment, and move towards a one-trillion-dollar economy while ensuring benefits for low-income groups. However, it stressed that the government must make maximum efforts to implement the record-high budget.
FBCCI also noted that if the budget targets of 6.5 percent GDP growth and 7.5 percent inflation are achieved, it would improve living standards for the general population.
The organisation said that the main challenge of the budget will be revenue collection. Achieving the target of 695 billion taka in total revenue will be difficult under the current global and domestic conditions. It believes that instead of increasing pressure on businesses, a business- and investment-friendly revenue system should be ensured along with reforms in the NBR.
FBCCI also warned about the government’s increasing borrowing from the banking sector to cover the 243 billion taka budget deficit. It said excessive government borrowing from banks could reduce credit availability for the private sector and new entrepreneurs, potentially hindering business expansion and job creation. It recommended reducing reliance on local banks and increasing access to low-interest foreign financing.
Business leaders believe that to successfully implement the budget amid high inflation, a high rate of non-performing loans, and global instability, stronger public-private partnerships (PPP) are essential.
To strengthen the economy and expand business activities, FBCCI also called for faster operationalisation of investment-friendly economic zones, export diversification, and reduced administrative complications and business costs.
It further emphasised strengthening the stock market and bond market, lowering interest rates, reforming the banking sector, ensuring uninterrupted power and energy supply, and utilising the potential of the blue economy.