DHAKA, April 28, 2026 (BSS) - The Centre for Policy Dialogue (CPD) has urged the government to prioritise economic credibility over ambitious targets in the upcoming national budget for FY2026-27, stressing the need to stabilise key macroeconomic fundamentals.

In a written statement presented at a pre-budget discussion at the National Board of Revenue (NBR) in the city today, the independent think tank said the government should focus on restoring confidence in economic management by addressing persistent challenges rather than making overly optimistic commitments.

The CPD noted that inflation continues to remain above 8 percent, revenue collection is likely to fall significantly short of its annual target, and development expenditure has declined to its lowest level in 15 years, indicating mounting pressures on the economy.

Presenting the statement, Senior Research Associate Tamim Ahmed said monetary and fiscal policies should prioritise curbing inflationary pressures while supporting economic recovery. 

He emphasised that the design and fiscal targets of the upcoming budget must be set realistically, taking into account prevailing macroeconomic conditions.

The think tank also underscored the importance of preparing for Bangladesh's post-LDC graduation period, recommending rationalisation of tariffs and para-tariffs, alignment of applied tariff rates with WTO-bound commitments, gradual phasing out of direct subsidies, and strengthening institutional capacity to handle anti-dumping and countervailing measures.

In its recommendations, the CPD called for avoiding large-scale electricity generation-based projects, enhancing climate-related budgetary allocations, and developing a unified and interoperable national farmer registry linked to a smart farmer card to improve support mechanisms in the agricultural sector.

The organisation placed emphasis on prudent fiscal management and policy coordination to ensure sustainable economic recovery and long-term resilience.