United News of Bangladesh

The Dhaka Chamber of Commerce and Industry (DCCI) on Monday placed a set of proposals for the national budget for FY2026-27, urging tax reforms, financial sector modernisation and large-scale infrastructure investment to support business growth and economic stability. The proposals were presented at a discussion held at a city hotel, where Commerce Minister Khandakar Abdul Muktadir was present as the chief guest, alongside business leaders and policymakers. Global energy shock may add Tk 610b burden to Bangladesh, warns DCCI In its recommendations, the DCCI said Bangladesh’s tax-to-GDP ratio remains low at around 6.7%, while nearly 80% of the economy still operates informally, limiting revenue mobilisation and forcing reliance on borrowing. It stressed automation and simplification of tax procedures to expand the tax base.  The chamber proposed raising the tax-free income threshold to Tk 5 lakh and setting the maximum corporate tax rate at 25%. It also called for equalising tax rates for non-listed companies with listed ones and introducing a fully automated corporate tax return system.  To ease business operations, the trade body recommended simplifying VAT procedures, introducing a single-step refund system and phasing out advance tax at the import stage for producers while reducing it for commercial importers.  On the financial sector, it stressed policy reforms to ensure a stable and sustainable system, including rationalising interest rates, reducing dependence on bank borrowing by the government, strengthening corporate governance and promoting long-term financing through bonds and IPOs.  For industry and trade, the DCCI highlighted the need for uninterrupted energy supply, export diversification and support for potential sectors such as agriculture-based products, leather, light engineering, pharmaceuticals and ICT. It also proposed development of cold-chain infrastructure, incentives for innovation and support for CMSMEs.  It further underscored the importance of infrastructure development to maintain economic growth, recommending tax and duty incentives for construction materials and machinery, introduction of infrastructure bonds and sukuk, and long-term energy supply agreements to ensure price stability.  DCCI leaders at the event said the proposed measures will help improve competitiveness, attract investment and support Bangladesh’s transition as a developing economy.