The Foreign Investors Chamber of Commerce and Industry (FICCI) has acknowledged several positive initiatives in the proposed national budget for FY 2025–26, emphasizing reforms that ease sector-specific burdens and promote a more predictable tax environment.
In its initial budget reaction on Monday, FICCI praised the government’s decision to reduce source tax on construction companies and essential goods, calling it a pragmatic move that offers crucial relief to key industries. The extension of the rebate and refund period from four to six months was also highlighted as a beneficial measure for businesses facing working capital challenges.
FICCI welcomed the creation of a Tk 100 crore fund for youth entrepreneurs, viewing it as a step toward fostering innovation and self-employment among the younger generation.
The proposed Tk 7.9 lakh crore budget—amounting to 12.7% of GDP—includes Tk 5.6 lakh crore for operational and other expenditures and Tk 2.3 lakh crore for development programs. With a revenue target of Tk 5.64 lakh crore and a projected deficit of Tk 2.26 lakh crore (3.6% of GDP), the budget aims to be financed through both domestic and foreign sources.
FICCI also acknowledged significant allocations in key sectors, such as education, health, agriculture, and social welfare, and welcomed the Tk 5,040 crore earmarked for the Public-Private Partnership (PPP) fund. The chamber expressed optimism that these investments will support infrastructure growth and attract more foreign direct investment.
