The textile industry in Bangladesh says the fiscal targets set in the budget are unrealistic. It says the government hasn’t properly implemented the annual development program. It wants the government to withdraw the tax on education in private institutions.

The objectives of the budget appear to be high revenue growth targeted for underwriting overreaching expenditure, harmonisation of taxes and tariffs to support selected domestic sectors and higher allocations for building physical infrastructure and capacities.

However reform initiatives need to be given the highest priority if the current macroeconomic stability is to be translated into a journey of higher growth trajectory.Since projects remain behind schedule and get extended, no project other than the mega ones would be extended for more than two years.

To break the decade-long six per cent GDP growth barrier, the establishment of five independent commissions would be of great importance. The commissions are statistical validation, agriculture price, local government financing, public expenditure review and financial sector reform.

Private sector investment, which is the engine for growth, has not taken off the past few years due to insecurity, poor democracy and a lack of business-friendly environment. The continuous recapitalisation of state banks with taxpayers' money has been criticised as it sends out a wrong signal and encourages culprits to embezzle money again and again.