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Rangamati ready to welcome tourists during Eid holiday
The scenic hill district of Rangamati is fully prepared to welcome a large influx of tourists during the ongoing Eid-ul-Azha holidays, with tour operators expecting a significant rise in visitors amid the government’s extended vacation.
The government had announced a seven-day Eid holiday this year, prompting many travellers to plan leisure trips to popular tourist destinations across the country. Tourism businesses in Rangamati hope the long holiday will revive the local tourism economy and boost business activities.
Surrounded by green hills, tranquil lakes and breathtaking natural beauty, Rangamati has long been one of the country’s most attractive travel destinations.
Every year, thousands of tourists visit the district, while the pressure increases manifold during long holidays.
Among the district’s most popular attractions, Sajek Valley is expected to witness the highest tourist turnout during the Eid vacation.
Holidaymakers seeking relief from the stress of urban life are expected to flock to Rangamati’s lakes, hills and waterfalls. Tourist hotspots, including Sajek Valley, the iconic Hanging Bridge, Kaptai Lake, Polwel Park and Cottage, Aranyak Resort, Shuvolong Waterfall, Rangadip Resort, Lake View Island and Nisarga Pod House are likely to become vibrant with visitors during the festive break.
Manager of Rangamati Tourism and Holiday Complex Alok Bikash Chakma said all preparations have already been completed to receive tourists during Eid-ul-Azha vacation.
“We are fully prepared to welcome tourists. Around 70-80 percent of rooms at our holiday complex have already been booked through online and offline reservations,” he said.
Bikash Chakma expressed hope that tourist arrivals will be much higher this year because of the long holiday and said efforts had been made to improve infrastructure and services to ensure maximum comfort for visitors.
Sajek Valley, known for its picturesque hills and clouds, remains one of the country’s most sought-after travel destinations during holidays.
Organising Secretary of the Resort and Cottage Owners’ Association of Sajek Rahul Chakma said most resort and cottage rooms in Sajek had already been booked ahead of Eid.
“All rooms are booked on Eid day. From the day after Eid, around 60-70 percent of rooms have been reserved for nearly the following week,” he said.
The Hanging Bridge, one of Rangamati’s most recognisable landmarks, continues to remain the centre of attraction for tourists visiting the district. Authorities have already completed renovation and repainting work to make the site more attractive ahead of the holiday season.
Tourist boat operators on the Kaptai Lake have also completed preparations for visitors planning lake cruises during the Eid break.
Manager of Rangamati Tourist Boat Terminal Md Fakhrul Islam said all repair, maintenance and painting work on tourist boats had already been completed. “We are now waiting to welcome tourists,” he said.
Rangamati Superintendent of Police Muhammad Rakib Uddin said security arrangements had been strengthened to ensure the safety of visitors during the Eid holidays.
He said help desks had been installed at important points to prevent harassment of tourists and ensure smooth travel across different tourist spots in the district.
“We are fully prepared to ensure tourists can travel safely and comfortably throughout Rangamati during the Eid vacation,” the SP added.
1 day ago
Experts urge boost in allocation for agriculture to ensure food security, curb inflation
Economists and sector experts have urged the government to prioritize the agriculture sector in the upcoming national budget for the fiscal year FY2026-27, warning that the continued decline in budgetary allocation could jeopardize long-term food security and inflation control.
The call comes ahead of the national budget announcement scheduled for June 11, with a projected outlay of nearly Tk 9.38 lakh crore.
Despite being a key economic driver that ensures food security, generates 40 percent of total employment, and keeps the rural economy functional, agriculture's share in the national budget has been under 10 percent for the last 14 consecutive fiscal years. In the ongoing FY 2025-26, the allocation plummeted to a record low of just 5.9 percent, according to an official document.
Expressing deep concern over this trend, the Bangladesh Agricultural Economists Association has demanded an allocation of at least 9.5 percent of the upcoming budget for agriculture, which would amount to roughly Tk 88,350 crore.
Professor ASM Golam Hafeez, a prominent faculty member at the Bangladesh Agricultural University (BAU) and General Secretary of the Bangladesh Agricultural Economists Association (BAEA), recently shared substantial policy recommendations for the national budget of FY2026-27.
Professor Hafeez pointed out a worrying downward trend over the last three fiscal years, highlighting that agriculture's share in the national budget dropped from 8.7 percent in FY2022-23 to just 5.9 percent in the current fiscal year, FY2025-26.
He urged the government to bump this allocation back up to 9.5 percent for the upcoming budget FY2026-27.
Given a projected national budget of Tk 9.3 lakh crore, this 9.5 percent allocation would translate to approximately Tk 88,350 crore for the agricultural sector. A major highlight of his recent budget recommendation was the call to significantly expand input subsidies due to soaring farming expenses.
Professor Hafeez demanded that the government increase agricultural subsidies to Tk 35,000 crore for the budget of FY2026-27. This is more than double the current allocation of Tk 17241 crore.
He argued that global energy market instabilities, geopolitical tensions (particularly involving Iran and the Strait of Hormuz), and exchange rate volatility have sharply driven up the import costs of fertilizer, fuel, seeds, and agricultural machinery—placing immense financial strain on farmers.
Talking with UNB, Tawfiqul Islam Khan, a Senior Research Fellow and Additional Research Director of CPD, said that the government has to increase allocation in the agricultural sector, considering the global geopolitical situation and its impact on food security.
“Bangladesh has a huge population despite limited agricultural land, flash floods and other natural disaster is occurred in every season, so the budget allocation should focus on additional food production to keep macroeconomic stability,” he pointed out.
He said that eroding crop land and the high cost of production have forced farmers to reduce crop production to recover from loss. In this case, the budget should emphasize keeping the price of agriculture impute rational for encouraging agricultural production at the national level.
Widening Gap in Allocations and Subsidies:
While agriculture contributes roughly 11 percent to the GDP, fiscal support has failed to keep pace with the growing economy. In FY 2011-12, the agricultural sector received 10.65 percent of the total budget. This dwindled to 8.7 percent in FY 2022-23 and hit 5.9 percent this fiscal year.
Furthermore, the actual crop sector received only Tk 27,224 crore—a mere 3.45 percent of the total budget—out of the Tk 46,268 crore allocated across five agriculture-related ministries. Concurrently, agricultural subsidies saw a decline, dropping from Tk 17,261 crore in FY 2024-25 to Tk 17,241 crore in the current fiscal year, said Tawfiqul of CPD.
"Agricultural subsidy is not an expense; it is a long-term investment," noted prominent agricultural economist Professor Jahangir Alam. He warned that lower investments will inevitably suppress production, increase import dependency, and aggravate food inflation, which has hovered above 10 percent for most of the last four years, he opined.
Structural Shifts and Market Bottlenecks:
Experts pointed out that while farmers have significantly ramped up the production of rice, vegetables, fish, maize, and potatoes, they are continually deprived of fair prices due to the dominance of middlemen and lack of state storage facilities.
The current public warehouse capacity stands at only 22 lakh tonnes against an immediate national requirement of at least 60 lakh tonnes. The lack of cold chains and processing industries results in massive post-harvest losses every year.
The nature of Bangladesh’s agriculture is also shifting structurally. The crop sector's share in agricultural GDP has fallen from over 75 percent post-independence to around 46 percent today, with fisheries, livestock, and forestry gaining rapid ground. However, skyrocketing prices of animal feed and poultry medication have left dairy and poultry farmers under severe strain, said Professor Hafeez.
Climate Vulnerability and Mechanization Slowdown:
The sector faces growing threats from climate change. This year, early flash floods and heavy rainfall severely damaged Boro paddy crops across the vast Haor (wetland) regions, crippling farmers' incomes. Experts have strongly recommended emergency compensation funds, weather-resilient crop varieties, and the introduction of comprehensive agricultural insurance.
Additionally, the government's agricultural mechanization subsidy project has largely stagnated. Policy analysts suggested setting up union-based agricultural machinery banks to help marginalized farmers and offering tax exemptions to boost domestic manufacturing of machinery spare parts.
Currently, Bangladesh spends a mere 0.4 percent of its agricultural GDP on research and development, compared to the 3 to 5 percent spent by many developing nations.
To deliver a truly farmer-friendly fiscal plan, experts summarized that the upcoming budget must elevate agricultural financing to at least 10 percent, raise subsidies to Tk 40,000 crore, digitize the procurement system via a national farmer database, and fast-track investments in climate-smart technologies.
1 day ago
A Ramsar site under pressure: Plastic traps threaten Tanguar Haor
One of Bangladesh’s most ecologically significant freshwater wetlands, Tanguar Haor, is facing growing environmental threats from the widespread use of plastic fish traps and what conservationists describe as a lack of effective enforcement against destructive fishing practices.
Spread across nearly 126 square kilometres in Sunamganj’s Tahirpur and Madhyanagar upazilas, Tanguar Haor is recognised as the country’s second Ramsar site after the Sundarbans and serves as a vital reservoir of biodiversity.
But environmentalists warn that increasing plastic pollution coupled with illegal fishing methods is undermining the fragile ecosystem.
Once home to between 140 and 200 species of indigenous fish, the haor has witnessed a steady decline in aquatic biodiversity in recent years.
Experts attribute the trend to multiple environmental pressures, including overfishing, illegal fishing nets and the growing use of plastic-made “Kiranmala chai” traps that have become common across the wetland.
According to locals and environmental groups, fishermen frequently leave behind discarded plastic traps after harvesting fish.
These non-biodegradable materials remain floating on the water surface or settle on the lakebed for years, gradually breaking down into microplastics.
Environmental experts said the resulting microplastic contamination poses a serious risk to fish and other aquatic organisms.
The particles can enter the food chain through aquatic species, affecting fish growth and reproduction while threatening the broader ecological balance of the wetland.
The discarded plastic also obstructs natural water flow, further disrupting the haor’s ecosystem.
Representatives of the Environment and Haor Development Organisation said Tanguar Haor is already under pressure from illegal current nets, ‘China duari traps’ and excessive fish harvesting.
The addition of plastic pollution has made the situation increasingly alarming.
They also noted signs of declining oxygen levels in water, reduced aquatic vegetation growth and lower fish breeding rates.
Every year, fresh floodwaters entering the haor through rivers bring various fish species into the wetland.
With early monsoon flows arriving this year due to heavy rainfall in Cherrapunji, water levels in the Jadukata and Patlai rivers rose earlier than usual, allowing fish to enter the haor ahead of schedule.
Taking advantage of the situation, many local fishermen have reportedly intensified the use of plastic traps throughout the wetland. The traps are particularly popular because they can catch shrimp and a variety of small fish species with minimal effort.
Despite recurring criticism and periodic discussions about the environmental impact of the traps, locals alleged authorities have yet to establish a sustained campaign to stop their production, storage and sale.
1 day ago
As Eid exodus peaks, up to 13 million set to leave Dhaka despite weather worries
With the seven-day Eid-ul-Azha holiday now underway, the annual exodus from the capital has gathered full momentum, as millions of people continue leaving Dhaka to celebrate the festival with their families in hometowns across the country.
Passenger welfare and road safety experts estimate that between 10 million and 13 million people could leave the capital during the Eid holidays, although adverse weather conditions may force some travellers to cancel or postpone their trips.
Main Eid congregation to be held at 7:30am at National Eidgah
Bus terminals, railway stations and launch ghats witnessed increasing crowds since early morning on Monday as homebound travellers rushed to catch their desired transport amid the holiday movement.
Bangladesh Jatri Kalyan Samity Secretary General Md Mozammel Hoque Chowdhury said the organisation expects between 10 million and 11.5 million people to leave Dhaka city for Eid celebrations.
“However, the number could be lower if bad weather discourages some people from travelling,” he said.
2 days ago
From haat to farm: Cumilla buyers seek relief from high hasil, hassle
High hasil (service tax), security concerns and the hassle of transporting and keeping sacrificial animals are driving many buyers in Cumilla city to purchase cattle directly from farms ahead of Eid-ul-Azha.
Farm owners and buyers said the trend of purchasing sacrificial animals from farms instead of traditional cattle markets has been growing over the past few years.
The Cumilla district administration, meanwhile, warned that no one will be allowed to collect hasil beyond the fixed rates and legal action will be taken against irregularities.
A visit to Farid Agro Farm by Cumilla-Suagazi road at Kamalpur in Cumilla Sadar South upazila found cattle being raised in a clean environment with locally sourced feed. The farm currently has around 30 saleable cattle, all of local Shahiwal breed.
Prices range from Tk 3 lakh to Tk 10 lakh. The farm’s largest bull, named “Rajababu,” weighs over 1,000 kg and has been priced at Tk 10 lakh.
Farm authorities said easy transportation, hygienic conditions and doorstep delivery services are attracting buyers.
Khaled Monsur Imon, manager of Farid Agro Farm, said many city residents are opting for farms due to the difficulties keeping and feeding cattle at home.
“Several cattle have already been sold. Some buyers will receive delivery a day before Eid, while others will get their animals on Eid day,” he said.
Mohammad Ziaul Haque Litu, director of JH Agro Park at Dhanuakhola under Kalirbazar union of Sadar upazila, said cattle sales from his farm have increased compared to last year.
“The main reasons are the hassle of keeping cattle and buyers’ desire for healthy animals,” he said.
Ahmed Shoaib Sohel, secretary of Cumilla Club, who bought a cow from a farm, said purchasing cattle from markets requires time and effort, while there are also concerns over animal health and accommodation.
“So, I bought a sacrificial animal in advance from a farm. They will deliver it to my house on Eid morning,” he said.
Additional District Livestock Officer Dr Mohammad Ismail Hossain said medical teams are working to prevent the sale of sick animals in cattle markets.
“This year, 85 medical teams will work at more than 400 cattle markets across the district,” he said, adding that many buyers are now preferring farms to avoid crowds and inconvenience.
Cumilla Deputy Commissioner Md Reza Hasan said authorities are working to ensure security at cattle markets and prevent circulation of counterfeit currency.
He said cattle markets have also been barred from operating on school and college grounds and along highways.
“No one will be allowed to collect hasil beyond the approved rates. Legal action will be taken against any irregularities,” the DC added.
3 days ago
Chandpur farmers pin hopes on fair prices as 66,000 sacrificial animals ready
Cattle markets in Chandpur are bustling with activity ahead of Eid-ul-Azha as farmers prepare more than 66,000 sacrificial animals for sale, hoping to secure fair prices during the peak trading season.
Despite strong preparations, many farmers remain concerned about market volatility and the possible influx of cattle from a neighboring country, which they fear could affect prices.
According to the Department of Livestock Services, Chandpur district currently has 66,098 sacrificial animals ready for sale against an estimated demand of around 75,000, leaving a shortfall of about 9,000animals.
Officials, however, said the gap would likely be filled by small-scale seasonal traders and farmers from remote char areas and neighboring districts.
District Livestock Officer Dr Jyotirmoy Bhowmik said there would be no shortage of sacrificial animals this year.
“We have sufficient local production and the remaining demand will be met by marginal farmers and seasonal traders. We expect a smooth supply during Eid,” he told UNB.
The ready animals include 27,346 bulls, 8,366 oxen, 10,571 cows, 23 buffaloes, 19,346 goats and 446 sheep.
Visits to major cattle markets including Sofarmali, Bagadi Chourasta, Puranbazar and Bakila in Haziganj revealed that cattle trade have already gained momentum.
Buyers said cattle prices this year are slightly higher than last year.
“Prices have increased compared to previous years, especially for healthy local bulls,” said Abu Sayeed, a cattle buyer in Chandpur town.
Traders were seen bringing truckloads of cattle from Faridpur and northern districts to local markets, although buyers appeared to prefer locally raised cattle.
According to livestock officials, around 4,155 entrepreneurs — mostly young farmers — are involved in raising sacrificial animals across Chandpur’s eight upazilas. Nearly 300 temporary and permanent cattle markets have been set up in the district ahead of Eid.
Many farmers said they purchased young bulls several months ago and raised them using locally produced feed such as grass, straw, oil cake and bran.
While small and medium-sized cattle are mainly sold in local markets, larger bulls are increasingly marketed online.
During a visit at several farms, workers were seen caring for cattle that are expected to be sold within the next week.
Despite their preparations, many farmers expressed anxiety over market prices.
“If Indian cattle do not enter the market in large numbers, we hope to get good prices this year,” said farmer Khaled Khan from Nanupur village in Sadar upazila.
Khaled, who has been involved in cattle farming for two decades, said he has prepared several bulls for Eid, with prices ranging between Tk 90,000 and Tk 1.2 lakh.
Another farmer, Ahmed Ali from Ghashipur village, said he has 32 cattle in his farm including seven bulls raised entirely on local feed.
Some farmers are targeting high-end buyers with premium bulls.
Nargis Begum of Hamankardi village in Maishadi union has prepared three large bulls aged between three and five years.
Among them is a bull named “Raja Babu,” for which she is seeking Tk 12 lakh. Another bull, “Hamankardi King,” is priced at Tk 10 lakh, while the smallest one is expected to sell for around Tk 5 lakh.
Farm worker Md Moslem said the animals were raised naturally without artificial fattening methods.
“We fed them local grass, straw and bran. We are taking special care of them every day,” he said.
Many buyers expressed more interest in locally farmed cattle, citing concerns about chemical fattening practices sometimes used by outside traders.
“People in the city now prefer cattle raised by local farmers because they trust the quality more,” said Abdul Barek, a resident of Chandpur town.
To ensure smooth trading during Eid, the livestock department officials said mobile teams, including veterinary surgeons, will monitor cattle markets, resolve disputes and check counterfeit currency duringtransactions.
4 days ago
BAU experts advise scientific cattle selection , meat preservation ahead of Eid-ul-Azha
With cattle markets becoming increasingly crowded ahead of Eid-ul-Azha, experts at Bangladesh Agricultural University urged buyers and traders to follow scientific guidelines when purchasing sacrificial animals and preserving meat.
They warned against artificially fattened cattle, disease transmission risks and improper storage practices.
In separate interviews with UNB, three professors from the university highlighted key indicators of unhealthy cattle, potential public health threats at livestock markets and the correct method of preserving meat to maintain its quality and nutritional value.
How to identify artificially fattened cattle
Prof Dr Mohammad Alam Mia of BAU’s Department of Physiology said cattle that have been artificially fattened using steroids, growth hormones or harmful drugs often display several visible signs.
Such animals typically have dry noses, swollen and flabby bodies caused by excessive fluid retention, and difficulty standing or walking.
They become exhausted after minimal movement and often breathe rapidly. When pressure is applied to the skin, it remains depressed for some time before returning to normal.
“The thigh muscles of these cattle are unusually soft and their bones tend to be weaker, increasing the risk of fractures,” he said.
He added that artificially fattened cattle usually show poor appetite, do not ruminate properly and may produce excessive saliva or foam around the mouth.
After travelling long distances to markets, they often become fatigued quickly and are reluctant to stand once seated, he said.
Dr Alam said healthy cattle can be naturally fattened within three to six months through balanced nutrition, regular deworming, vitamin and mineral supplementation and proper farm management.
He advised buyers to assess not only an animal’s size but also its behaviour, breathing pattern, nasal condition and mobility before making a purchase.
If any abnormalities are suspected, they should seek advice from livestock officers or veterinary professionals, he added.
Disease risks at cattle markets
Prof Dr Md Amimul Ehsan of BAU’s Department of Medicine said livestock markets could facilitate the spread of serious diseases, including anthrax and foot-and-mouth disease (FMD).
He said anthrax cases has recently been detected in Rangpur and Gaibandha, with some infected individuals developing skin lesions and eye swelling after exposure to affected animals.
“Humans can contract anthrax through contact with infected blood, meat or other body tissues,” he said, stressing the importance of routine vaccination programmes and veterinary health screening at market entry points.
He said anthrax-infected animals often die suddenly before showing symptoms.
In symptomatic cases, body temperature may rise to 104–105 degrees Fahrenheit.
After death, dark, tar-like blood may ooze from the nose, mouth and anus. Exposure to air can cause the bacteria to form spores capable of surviving in the environment for long periods, he added.
Living animals may also exhibit black lesions or blisters on the tongue, nose or throat, along with unusual agitation or lethargy.
Dr Ehsan said FMD poses another significant concern because the virus can spread through the air over distances of up to 15 kilometres.
“A single infected animal transported from Dinajpur or Chattogram to Dhaka could potentially spread the virus along the route and within surrounding market areas,” he said.
Unsold animals returning from markets may also carry infections back to their home districts, threatening healthy livestock populations, he warned.
The professor urged farmers not to bring sick animals to markets until they have fully recovered following treatment.
Suggestions for cattle market visitors
He also advised visitors to cover any cuts or wounds before entering livestock markets, as pathogens such as anthrax bacteria and tetanus-causing organisms can enter through broken skin.
Proper handwashing with soap or sanitiser after contact with animals and safe disposal of animal waste and blood are also essential preventive measures, he added.
Choosing quality cattle and preserving meat properly
Prof Dr Md Abul Kalam Azad of BAU’s Department of Animal Science said good-quality beef cattle should have evenly distributed muscle and a smooth body structure.
Excessive muscle accumulation in the thighs or grape-like clusters of tissue may indicate poorer meat quality, he said.
An unusually swollen dewlap — the loose skin hanging beneath the neck — could also signal underlying health problems.
Dr Azad noted that cattle weighing more than 350 kilograms generally contain higher levels of fat and saturated fat, which may increase health risks for consumers.
For quality meat, he recommended indigenous two-tooth cattle weighing between 200 and 250 kilograms, typically priced between Tk 90,000 and Tk 130,000.
“If the teeth cannot be examined, a thick horn base can serve as an indicator that the animal is mature and suitable for purchase,” he said.
On meat preservation, Dr Azad cautioned against placing freshly slaughtered meat directly into deep freezers at minus 18 degrees Celsius.
He explained that immediately after slaughter, meat temperature remains around 40 degrees Celsius and requires a gradual cooling process.
The temperature takes roughly 16 hours to fall to 10–15 degrees Celsius, followed by an additional eight hours during which proteins break down into amino acids through natural biochemical processes.
“If this process is interrupted, the meat may lose quality and nutritional value. Direct freezing can damage the microstructure of the meat, causing it to become dry and fibrous after thawing,” he said.
To ensure optimum quality, he recommended dividing meat into one- to two-kilogram portions and storing it in a refrigerator at around 4 degrees Celsius for 24 to 48 hours before transferring it to a deep freezer.
Following this method, meat can retain its quality for six months to one year, he said.
Dr Azad also suggested waiting at least three days after slaughter before cooking beef to achieve its best flavour and aroma.
4 days ago
Human-elephant conflict intensifies in Sherpur border hills
Human-elephant conflict has reached a severe level in the Garo Hills area along the Sherpur border as herds of wild elephants continue to enter farmlands in search of food, causing widespread damage to crops and property.
The situation becomes particularly serious during the Aman and Boro rice ripening seasons, as well as when jackfruit and bananas are ready for harvest.
5 days ago
Indirect 'tax traps' in budget risk widening economic inequality, warn economists
At a time when the national economy is reeling under the combined pressures of high inflation, stagnant employment, investment crunches, and massive revenue deficits, the upcoming national budget for the 2026-27 fiscal is fueling deep concerns among lower- and middle-income groups over a looming ‘tax trap.’
Economists, business leaders, and civil society representatives have warned that while the government faces immense pressure to boost revenue collection, the burden is disproportionately falling on ordinary citizens. Meanwhile, effective actions against tax evasion, hidden wealth, money laundering, and outstanding dues by the wealthy and politically influential groups remain severely limited.
Financial analysts identify Bangladesh’s overwhelming reliance on indirect taxes as the primary structural flaw of its revenue system. Currently, the bulk of revenue originates from Value Added Tax (VAT), source taxes, and import duties, which apply uniformly regardless of an individual's financial standing.
Speaking at a roundtable discussion organized by the think-tank 'Voice for Reform', economists revealed that nearly 80 percent of total revenue collection in Bangladesh comes from indirect taxes. In sharp contrast, developed economies rely on direct taxes, such as income and wealth taxes, as their financial foundation.
"The National Board of Revenue (NBR) hikes taxes precisely where VAT collection is guaranteed, but they are unwilling to take risks when it comes to collecting actual income tax," said Dr. Mustafizur Rahman, Distinguished Fellow at the Centre for Policy Dialogue (CPD). This structure, experts argue, inherently accelerates economic disparity.
Elite defiance and data fudging:
The structural vulnerability is compounded by the regulatory failure to hold influential groups accountable. NBR data shows that while luxury vehicle owners and elites in affluent neighborhoods routinely conceal rental incomes and assets, visible legal actions are scarce, and billions in corporate tax defaults remain tied up in legal loopholes for years.
Furthermore, trade-based money laundering executed through under-invoicing, over-invoicing, and informal hundi channels continue unabated, depriving the state of vital liquidity.
"The influential classes always manage to exert control over the policymaking levels. Consequently, even when initiatives are taken to impose taxes on them, they are often rendered ineffective later on," noted former NBR Chairman Dr. Md. Abdul Majid.
Budget-related sources indicate that the upcoming budget will likely propose new taxes or increase existing rates on a wide array of consumer goods and services. Targets include motorcycles, internet services, computer hardware, local LC commissions, agricultural imports, and raw materials for essential consumer commodities.
Because manufacturers pass these tax hikes directly to consumers by adjusting commodity prices, public distress is projected to intensify. Persistent food inflation has already driven the cost of rice, pulses, oil, fish, and vegetables beyond the reach of many, forcing middle-class families to deplete savings, defer medical treatments, and slash educational expenses.
The Ministry of Finance is currently preparing to approve a massive national budget of approximately Tk 9.38 lakh crore alongside an Annual Development Programme (ADP) of over Tk 3 lakh crore for FY2026-27.
Defending the large fiscal footprint, Finance and Planning Minister Amir Khosru Mahmud Chowdhury stated, "Growth and employment generation are impossible without aggressive investment. Therefore, a large development budget has been adopted to pull the economy out of its fragile state."
However, analysts label these targets as highly unrealistic. Dr. Debapriya Bhattacharya, another Distinguished Fellow at CPD, questioned, "Is the upcoming budget realistic, or is it based on miraculous projections?"
He warned that setting unachievable targets when institutional implementation capacity is weak will only destabilize the macroeconomic environment.
Dr. M. Masrur Reaz, an eminent economist, echoed these concerns, emphasizing that checking administrative expenditures is critical.
"Simply expanding the budget is not enough; the quality of expenditure must be guaranteed. Unnecessary operating expenses must be strictly checked to ensure development benefits reach the grassroots," he said.
In a bid to expand the tax net and alter its reputation of over-taxing compliant taxpayers, the NBR is planning rigorous door-to-door tax surveys in elite neighborhoods, including Gulshan, Banani, Baridhara, Dhanmondi, and Uttara in Dhaka, alongside Khulshi in Chattogram. Authorities will cross-match asset disclosures and lifestyles against submitted tax returns.
The government has also set a targeted revenue collection goal of Tk 5,000 crore from wealth surcharges alone, supported by moving land mouza values closer to actual market rates to capture taxes from high-value real estate transactions.
Mirroring these requirements, the political manifesto of the ruling BNP has also prioritized structural tax reforms. The party's platform identifies the political economy as the root cause of revenue stagnation and promises to curb evasion through a fully digital tax architecture, automated information exchange, and risk-based auditing.
Industrial stimulus and healthcare relief
To stimulate employment, the budget is expected to introduce time-bound industrial tax holidays equipped with "sunset clauses." Strategic sectors slated for incentives include Active Pharmaceutical Ingredients (API), agricultural machinery, automobile components, computer hardware, artificial intelligence technologies, robotics, and plastic recycling.
On a positive note, the government is considering slashing duties on vital medical equipment, including cardiac stents (heart rings), kidney dialysis machinery, and pharmaceutical raw materials. With out-of-pocket healthcare expenditures currently exceeding 70 percent in Bangladesh, this move is anticipated to bring tangible relief to low-income patients. Conversely, sin taxes on tobacco and alcohol are projected to rise significantly.
Ultimately, the overriding challenge for the government remains executing structural tax reforms that widen the direct tax base and curb illicit financial flows, rather than squeezing an inflation-weary middle class that is already buckling under historical economic strains.
6 days ago
Govt mulls SIM tax cut, removal of levies on replacement and IoT SIMs
The government is considering reducing the tax on new SIM card issuance and abolishing taxes on SIM replacements and Internet of Things (IoT)/Machine-to-Machine (M2M) SIMs as part of efforts to expand the telecommunications sector and strengthen digital connectivity.
According to National Board of Revenue (NBR) sources, a proposal to this effect is currently under consideration.
“The Bangladesh Telecommunication Regulatory Commission (BTRC) sent a letter to the Posts and Telecommunications Division on May 5, which was later forwarded to the NBR,” a senior NBR official told UNB.
The recommendations were discussed at a high-level meeting chaired by PM’s adviser adviser on posts, telecommunications and ICT Rehan Asif Asad on April 29, according to the letter.
Senior officials from the Posts and Telecommunications Division, NBR, BTRC and other relevant agencies attended the meeting.
BTRC said the current tax structure on SIM issuance has become a significant barrier to market expansion and subscriber acquisition.
According to the regulator, mobile operators currently spend about Tk 700 to activate a new subscriber connection.
Of the total amount, Tk 300 is paid as SIM tax, around Tk 50 covers the SIM kit cost, while the remaining Tk 350 is spent on operations, distribution, marketing and other taxes.
The commission said operators often subsidise nearly half of the acquisition cost, while about 43 percent of the expenditure goes to the government as non-recoverable SIM tax.
BTRC also noted that the average revenue per user (ARPU) for mobile operators currently ranges between Tk 130 and Tk 150 per month.
Consequently, operators need nearly five months to recover the cost of acquiring a new customer, though the actual payback period can stretch to six to nine months due to lower usage levels and shorter customer lifecycles.
The regulator said the prevailing tax regime has made new customer acquisition economically less attractive and created a structural impediment to telecom market growth.
Citing international practices, BTRC said only a handful of countries, including Jamaica and Ghana, continue to impose taxes on new SIM issuance.
On SIM replacement, the commission argued that replacement SIMs do not generate new subscriber connections or additional revenue for operators, as they merely reactivate existing mobile numbers.
“Imposing taxes on replacement SIMs amounts to double taxation and places an unnecessary financial burden on customers, particularly those who lose their handsets or SIM cards,” it said.
BTRC further recommended the complete withdrawal of taxes on IoT and M2M SIMs to accelerate digital transformation and facilitate the adoption of smart technologies.
The regulator noted that the overall tax burden on mobile services in Bangladesh stands at around 39 percent, significantly higher than in many other countries.
It added that IoT and M2M SIMs generate substantially lower revenues than conventional mobile connections, with average monthly earnings of only Tk 20–25 per SIM compared with Tk 130–150 from regular subscribers.
According to BTRC, maintaining the current tax burden could discourage investment and make large-scale deployment of IoT services economically unviable.
The commission said removing taxes on IoT SIMs could significantly expand the use of smart devices across sectors such as industrial automation, logistics, agriculture, energy management and smart city solutions, thereby enhancing productivity, reducing waste and creating new business and employment opportunities.
It also said wider adoption of IoT services would drive greater data consumption and eventually generate additional government revenue through VAT and service-related taxes.
6 days ago