Bangladesh collects about 8% of GDP in revenue, the lowest in Asia and close to conflict hit Yemen and Sudan, IMF data shows. It lags Pakistan (12%) and Sri Lanka (13.68%) while Bhutan stands at 26.97%.Weak tax base, large informal sector, exemptions, weak enforcement and low trust constrain collections, limiting spending on health and education.Reforms urged to expand tax base and digitization
New Delhi: Bangladesh’s revenue mobilisation remains among the weakest globally, with the country collecting about 8 per cent of its GDP in government revenue in 2024, placing it only marginally above conflict-hit economies such as Yemen and Sudan, a report has said.
Highlighting the International Monetary Fund (IMF) data, a report published in The Daily Star said that Bangladesh’s revenue-to-GDP ratio is the lowest among Asian economies and significantly below several peer countries, underscoring persistent structural constraints in fiscal capacity and public finance management.
In comparison, Pakistan and Sri Lanka record revenue-to-GDP ratios of 12 per cent and 13.68 per cent, respectively.
Bhutan’s ratio stands at 26.97 per cent, highlighting the gap in revenue mobilisation within the region.
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