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PM: No liquidity crisis in banking sector

  • Published at 08:18 pm June 17th, 2019
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Prime Minister Sheikh Hasina addresses the parliament on Monday, June 17, 2019 Focus Bangla

The prime minister said this while winding up her speech on the supplementary budget for 2018-19 fiscal year

Prime Minister Sheikh Hasina has said there is no liquidity crisis in the banking sector, insisting that certainly there is money in banks.

“It is said there is no money in the banks. Why don't they (the banks) have money? Of course, the money is there. But, there is no money to be looted,” said the prime minister.

She made the remark while winding up her speech on the supplementary budget for 2018-19 fiscal year in absence of Finance Minister AHM Mustafa Kamal on Monday, reports UNB

Pointing at the critics of the proposed budget for 2019-20 fiscal year, Sheikh Hasina questioned how Bangladesh could accomplish so much development in the last 10 years had the budgets not been good ones.

“Some people say we could not implement the (previous) budgets. We can place budget, but can not implement it. If so, how have we been able to increase the budget size from Tk61,000 crore to over Tk5 lakh crore today?” she said.

GDP growth

Sheikh Hasina said the government targets ambitious revenue collection and expenditures to some extent considering the development and GDP growth targets.

“We target a bit high during projection. There is also necessity for fixing an ambitious revenue collection target to some extent,” said the prime minister.

“It would not be possible to attain the achievements we have unless we had ambition,” she added.

About the supplementary budget, the prime minister said: “Our budget needs to be corrected, reviewed or fine-tuned to some extent because of the reality, which we do every year. It happens in the budgets of all countries.”

Some 7.8% GDP growth was estimated in the budget for 2018-19 fiscal year, but 8.13% GDP growth has been estimated in the supplementary budget, she said.

It was estimated in the budget that the inflation rate would be 5.6%. But 5.5% inflation has been estimated in the supplementary budget, she said adding that the government has been able to keep the inflation under control with cautious measures.