Salman F Rahman, private industry and investment advisor to the prime minister, has urged everyone to change their mindset about paying taxes to foster inclusive growth in the country.
While addressing a meeting with the Dhaka Chamber of Commerce and Industry (DCCI) on Thursday, he also said the tax-GDP ratio in Bangladesh is relatively low in the South Asian region which needs to increase as revenue generation is an important part of a country's economy, reads a press release.
"In the last fiscal year, the National Board of Revenue (NBR) was able to bring 55,000 new taxpayers under the net but it is not enough and the government is working to upgrade and modernise the overall revenue structure in the country," Salman F Rahman added.
"The third terminal of Shahjalal International Airport is under construction and the government also has a plan to upgrade the Cox's Bazar Airport, for which revenue is essential."
Rizwan Rahman, president of the DCCI, told the meeting that in the post-LDC era, Bangladesh has to fulfil 27 conventions to get the GSP plus facility for exporting into the EU market. He, therefore, proposed to form a "National Strategy Committee" engaging all stakeholders.
He also asked for an effective introduction of integrated OSS with skilled human resources from all relevant service delivery agencies to make the business process simpler for the investors.
The DCCI president further added that the OSS of Bangladesh Investment Development Authority (Bida) needs coordination with all service agencies and inter-operability with the OSS of Bangladesh Economic Zones Authority (Beza), National Single Window, and Bangladesh Hi-Tech Park Authority.
Global Foreign Direct Investment fell by 40% to $1 trillion due to Covid-19 in FY2019-20. FDI net inflow in FY2019-20 was $2.37 billion recording 39.1% negative growth, although the FDI was $3.6 billion in 2018, he added.
"A national strategy needs to be developed for FDI promotion and it has to be aligned with the industrial policy, export policy, foreign exchange regulations, import policy, and other government strategies," he further said.
The companies act sets the capital limit of Tk2.5 million and sales transaction valued Tk1 crore to register an OPC business which needs to be rationally relaxed to encourage new and potential small start-up registration, the DCCI president suggested.