Finance minister Amir Khasru Mahmud Chowdhury on Friday said that preparations for formulating the national budget for the 2026–27 financial year were under way, with an emphasis on building a sustainable, transparent and inclusive economic framework rather than focusing solely on growth.

He said that the government was taking steps to restore discipline across key sectors of the economy while responding to mounting domestic and global pressures, and that policy direction would prioritise transparency, accountability and institutional integrity.

The minister made the remarks in a statement under Rule 300 during the 13th day of the first session of the 13th Jatiya Sangsad.

Amir Khasru, also the planning minister, said that the government aimed to place the economy on a more progressive and stable footing, balancing development needs with fiscal responsibility amid an increasingly uncertain global environment.

The minister said that the government’s immediate economic priorities included bringing inflation down to 5–6 per cent to ease pressure on households, modernising and expanding tax administration through automation, and recovering laundered assets through the ongoing international cooperation with global organisations.

He said that investment climate reforms were also being prioritised, particularly for small and medium enterprises, which he described as a key driver of employment and economic growth.

Measures, he noted, included easier access to credit, improved business conditions and more affordable financing.

The minister said that a greater emphasis was being placed on social protection and human development, with increased allocations planned for education, health and broader welfare programmes.

On the capital market, he said that the government intended to strengthen its role in capital formation through regulatory reforms, including enhancing the independence of the securities regulator, taking legal action against market manipulation and investigating irregularities over the past 15 years through a special commission.

Amir Khasru said that efforts were under way to diversify the market through instruments such as corporate bonds, sukuk and green bonds.

He reiterated that the government’s long-term goal was to transform Bangladesh into a trillion-dollar economy by 2034 through sustained investment, higher production, job creation and expanded consumption.

Referring to the recent global developments, he said that geopolitical tensions in the Middle East, including the Iran-Israel conflict, had heightened uncertainty in global energy markets, disrupted supply chains and weakened international trade stability shortly after the government assumed office.

Amir Khasru said that international prices of crude oil and liquefied natural gas had more than doubled, leading to a sharp rise in import costs.

He cautioned that the government would need to provide an additional Tk 360 billion in subsidies for electricity, energy and LNG between March and June of the current financial year, which could widen the budget deficit and put pressure on foreign exchange reserves, with nearly $3 billion required for import payments.

On revenue policy, the finance minister said that the government was prioritising transparency and good governance in tax collection under a broader social contract approach.

He said that this framework was based on ensuring transparency in revenue collection, making public benefits from government spending more visible, and pursuing forward-looking fiscal policies.

Amir Khasru said that the objective was to raise the tax-to-GDP ratio to 15 per cent by 2034, reduce dependence on borrowing, and strengthen development financing through improved revenue performance.

He further said that efforts were under way to make the tax system more citizen-friendly in order to encourage compliance and expand the tax base.

On public debt management, the finance minister said that the government was focusing on prudent borrowing strategies, including greater reliance on concessional external financing and the development of the domestic bond market.

He said that efforts were also under way to better align deficit financing sources in order to reduce borrowing risks.

He added that increasing the share of development projects financed by revenue resources would help reduce debt dependence over time and create additional fiscal space.

Amir Khasru said that macroeconomic planning frameworks, including the medium-term budget framework and the medium-term macroeconomic framework, were being strengthened through the development of a dynamic macro-fiscal model.

This, he noted, would support more realistic sectoral allocations and guide Bangladesh’s long-term transition towards a trillion-dollar economy.

On financial sector reforms, Amir Khasru proposed legal and institutional changes to strengthen the central bank and improve governance in commercial banking.

He said that immediate attention had been given to addressing capital shortfalls in the banking sector and restoring discipline in the sector.

The finance minister said that the government was progressing with key election pledges, including the rollout of five million family cards, a farmer card scheme for agricultural workers, and the implementation of agricultural loan waiver of up to Tk 10,000 along with interest.

He said that wider commitments included the creation of 10 million jobs through ICT expansion, infrastructure modernisation and growth in the blue economy, alongside the development of regional innovation hubs expected to generate a further 5,00,000 jobs.

He also mentioned that there were plans to introduce a ‘Made in Bangladesh’ brand for global markets.