Business, Management and Accounting
2 years ago

Bangladesh Government Shifts Focus to Domestic Sources for Budget Deficit Financing

Journal International Studies
ANALYSIS OF TREND AND SOURCES OF GOVERNMENT BUDGET DEFICIT FINANCING IN BANGLADESH
Md Nazmus Sadekin, Md. Mahbub Alam, Al Amin Al Abbasi, Subrata Saha

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Bangladesh Government Shifts Focus to Domestic Sources for Budget Deficit Financing

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Budget deficit in Bangladesh has been a hot topic since the 1970s. A recent analysis looked at the trends and sources of government budget deficit financing from 1980 to 2018. The study found that the government mainly funds its deficit from domestic sources, particularly through the sale of national savings certificates. Borrowing from banks is decreasing. To reduce the deficit, the government should focus on generating more internal resources and investing in areas that can decrease reliance on debt.