Prime Minister’s Adviser on Finance and Planning, Dr Rashid Al Mahmud Titumir, on Thursday unveiled the government’s vision of transforming Bangladesh into a production-driven economy, declaring that productivity-led growth and industrial expansion would be at the heart of efforts to shield the country from future economic shocks.
Speaking at a post-budget dialogue titled “FY2026-27 Budget: Tackling Economic Challenges”, organised by the Research and Policy Integration for Development (RAPID) at the CIRDAP auditorium in Dhaka, Dr Titumir described the proposed national budget as far more than a fiscal statement.
“The FY2026-27 budget is a strategic roadmap for building a resilient, inclusive and productive economy, with the ambition of turning Bangladesh into a $1 trillion economy by 2034,” he said.
The adviser stressed that the government's economic strategy centres on expanding productive industrialisation to generate investment, create jobs and strengthen domestic economic capacity.
In a significant policy signal, he said the government intends to raise revenue not by increasing tax rates but by accelerating economic activity, broadening the production base and tackling leakages in the system.
“Our objective is to mobilise greater domestic resources through higher production and economic expansion while eliminating waste, fraud, tax evasion and corruption,” he said.
Dr Titumir outlined a series of reforms aimed at boosting competitiveness, including greater investment in human capital, healthcare, education and institutional capacity. He also pledged measures to improve the ease of doing business by cutting bureaucratic hurdles and ensuring reliable energy supplies for industries.
As part of the growth push, the government plans to provide business incentives worth Tk 60,000 crore while prioritising the reopening of shuttered factories and strengthening export performance.
“The challenge before us is to overcome current economic difficulties while building a humane, welfare-oriented state,” he said, adding that expanding economic activities and curbing financial irregularities would be the twin engines for creating fiscal space and increasing government revenues.
However, economists at the dialogue warned that achieving the ambitious targets would require effective implementation and stronger macroeconomic management.
RAPID Chairman Dr M A Razzaque said the government's much-publicised “Three Rs” agenda�"Recovery, Reform and Reconstruction�" carried positive intentions, but execution remained the critical test.
Former adviser Rasheda K Chowdhury and Asian University for Women Vice-Chancellor Dr Rubana Huq also addressed the event, underscoring the importance of good governance, effective social protection and restoring private-sector confidence to ensure sustainable and inclusive economic progress.
The dialogue highlighted both the promise and the challenges of the proposed budget, with policymakers championing a productivity revolution while economists urged caution over inflation, revenue mobilisation and implementation capacity.
He cautioned that inflation could not be brought under control without restoring macroeconomic stability and warned that pursuing growth without addressing persistent price pressures could aggravate the cost-of-living crisis.
Dr Razzaque observed that Bangladesh would need robust and sustained economic growth to realise its $1 trillion ambition, while also facing mounting fiscal challenges.
He projected a potential revenue shortfall of nearly Tk 1 lakh crore in the coming fiscal year and warned that securing foreign financing could become increasingly difficult amid global economic uncertainties.
