Allocation for interest payment in the government budget is expected to cross Tk40,000 cr in the next fiscal, mostly due to an estimated payment of interests on savings instruments. The total interest payment expenditure is likely to rise by 29.82% compared to the revised budget, officials of the Finance Division familiar with the process told the Dhaka Tribune on Saturday. The ceiling of payment of interest expenditure will be increased by Tk9,801 cr over the revised budget for 2017-18 fiscal year, to an amount of Tk42,664 cr. Interest payment in the revised budget outlay for 2016-17 fiscal year stands at Tk32,863 cr while the allocation was Tk39,951cr. Finance Division officials said the next budget paints a troubling picture as the payment of interest expenditure is 30.95% of the budget deficit.

Source: Dhaka Tribune April 29, 2017 18:00 UTC