Speaking at a press briefing organized by PRI to launch the report "Tax Policy for Development: A Reform Agenda for Restructuring the Tax System," Dr. Sattar and Taskforce members presented a blueprint for raising the country's tax-to-GDP ratio to 10-12 percent by 2030 and 15-20 percent by 2035. Dr. Sattar cautioned that "tinkering at the margins will not suffice". He argued that when tax policy is incoherent—marked by narrow bases and distorted rates—even strong enforcement delivers limited revenue. Chairman of the Bangladesh Krishi Bank Dr. Mohammad Zahid Hossain, highlighted the inefficiencies in the Value-Added Tax (VAT) system. He noted that while VAT revenue stood at 2.8 percent of GDP in FY2023-24, exemptions cost the state an estimated 3.6 percent of GDP.

Source: Bangladesh Sangbad Sangstha January 29, 2026 12:58 UTC