Finance Minister Amir Khosru Mahmud Chowdhury recently said Bangladesh may need to provide an additional Tk 36,000 crore in subsidies for electricity and energy in the current fiscal year, as soaring global fuel prices triggered by geopolitical tensions significantly raise import costs.
Speaking in Parliament, the minister said the government has decided not to increase domestic energy prices despite the sharp rise in international fuel and liquefied natural gas (LNG) prices in order to shield citizens from further economic hardship.
“The people have placed their trust in us, and our responsibility is to build an advancing, inclusive and sustainable economy for Bangladesh,” he told the House during a session presided over by Speaker Hafiz Uddin Ahmad.
Khosru said the government assumed office amid significant economic challenges, including high inflation, pressure on the external sector, weak investment growth and institutional governance issues.
According to the minister, international prices of fuel oil and LNG have more than doubled, sharply increasing Bangladesh’s import costs.
Because of this, the government will likely need to allocate around Tk 36,000 crore more than the originally budgeted amount for energy subsidies in the current fiscal year.
