Govt borrows Tk 84,000cr from bank

Staff Correspondent: The government’s bank debt increased rapidly at the end of the last financial year 2023-24. Till June 27, the government has borrowedTk 84,082 crores from the banking system. In the 11 months till last May, where the loan amount was Tk 61,320 crores. Earlier till last January where repayments were more than borrowings were Tk 120 crores. If the accounts of the last financial year are finalized, the loan amount may increase further, said the concerned.
People concerned say that due to high inflation, people’s saving capacity has decreased. Again, due to the sale of $12.69 billion from the reserve, Tk 1 lakh 40 thousand crore have come to the central bank. As a result, most of the banks are now in liquidity crisis.
However, due to inflation of 10 percent, the government has now stopped taking loans through the central bank.
However, the government is looking at the banks to finance the government’s deficit due to the non-receipt of revenue as expected, getting the desired foreign loans and instead of increasing the debt in savings bonds. In general, if the government borrows more from banks, private sector interest rates rise, discouraging businessmen. Till last May, credit growth in the private sector was only 10.35 percent.
According to the data of Bangladesh Bank, the government has taken Tk 84,615 crore from commercial banks till June 27. At the same time Bangladesh Bank has repaid the previous liability of Tk 532 crore. In total, the debt status of the government in the banking system stands at Tk 4 lakh 77 thousand 860 crores. Of this, Bangladesh Bank has Tk 1 lakh 57 thousand 107 crores. Tk 3 lakh 20 thousand 753 crores in commercial banks.
The government has set a target of Tk 1 lakh 37 thousand 500 crore loan from the banking system for the current financial year. In the main budget of last financial year, the target was Tk 1 lakh 32 thousand 395 crores. However, in the revised budget, the target was increased to Tk 1 lakh 55 thousand 935 crore. This time there is a target of borrowing Tk 15,400 crore from savings bonds. Last financial year the target was Tk 18 thousand crores. However, in the revised budget, the target has been reduced to Tk 7,310 crore. However, during July-May, the government’s debt in savings bonds decreased by Tk 17,743 crores. In total, the government debt stands at Tk 3 lakh 49 thousand 650 crores.