Bangladesh annual development programme set at USD 24.59 billion for inclusive growth

Bangladesh approved a 3 trillion taka annual development programme, about USD 24.59 billion, for the next fiscal year. The plan aimed to keep inclusive growth on track. It also focused on stronger infrastructure, better social protection, and faster climate-resilient development. The approval came on Monday from the National Economic Council.

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The National Economic Council, led by Prime Minister Tarique Rahman, cleared the spending plan. The total was over 30 per cent higher than the previous fiscal year. Bangladesh’s fiscal year runs from July 1 to June 30. Officials said the financing would mix domestic funds with external support.

Bangladesh annual development programme funding and approval

Officials said 63.33 per cent of the programme would come from state funds. The remaining 36.67 per cent was expected from foreign loans and grants. Amir Khosru Mahmud Chowdhury spoke after the NEC meeting. "Ambition is required for development,\" Amir Khosru Mahmud Chowdhury told reporters.

Amir Khosru Mahmud Chowdhury said investment was vital for growth and jobs. The minister said a larger budget was chosen for that reason. Bangladesh’s new government, Amir Khosru Mahmud Chowdhury added, believed delivery was possible. The comments came as the government set out its plans for the next year.

Bangladesh annual development programme sector allocations

Planning Commission officials said the programme emphasised education, health, and agriculture. The goal was equitable socio-economic gains across the country. The officials also linked the approach to the Fourth Industrial Revolution. They said the allocations were set to address emerging skills and productivity demands.

Transport and communication received the top share at 16.70 per cent, officials said. The aim was faster growth through infrastructure development. The allocation also covered railway and waterway expansion. Officials said education ranked second at 15.86 per cent. Health followed with 11.84 per cent, and power and energy got 10.90 per cent.

Bangladesh annual development programme amid ratings and IMF concerns

The approval came a week after Fitch Ratings changed Bangladesh’s outlook to negative from stable. The US-UK-based agency cited higher external financing risks. Fitch also pointed to high inflation. It flagged pressure on remittances linked to the Middle East conflict.

In February, the International Monetary Fund gave Bangladesh a C rating. The IMF cited issues linked to data reliability. Despite this, Amir Khosru Mahmud Chowdhury voiced confidence in the outlook. Amir Khosru Mahmud Chowdhury said strong leadership, quick decisions, and professionalism could lift investment interest.

The development programme set out a larger spending plan for the coming fiscal year. Officials detailed how it would be funded and where it would be spent. The government placed major weight on transport links and social sectors. The plan moved ahead as global agencies raised concerns about financing, inflation, and remittance pressures.

With inputs from PTI