No free lunch - News Summed Up

No free lunch


The cost of borrowing — interest amount — is shown separately in the revenue budget. The Dhaka Tribune reported on April 30, 2017 that this year the size of the budget deficit and the interest burden will be alarmingly high. The interest amount is likely to reach 30% of the revenue expenditure, while last fiscal year, it was under 15%. The difference is that in those countries, interest rates were low — close to zero and even negative. In Bangladesh, the IMF is known to set a limit of budget deficit of 5% of our GDP.


Source: Dhaka Tribune May 03, 2017 13:07 UTC



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