Taxpayers get poor services though paying taxes: Finance Adviser

Stressing the importance of building trust between taxpayers and the government, Finance Adviser Dr. Salehuddin Ahmed has said that people must feel they are receiving services in return for the taxes they pay.

”In our country, the taxpayers get poor services. For this, they become angry. Meanwhile, in foreign countries, where people pay higher taxes, they receive quality public services.”

Salehuddin Ahmed said, ”Bangladesh’s financial sector suffers from an over-reliance on bank borrowing where both private and public sector entities take loans, often default, and walk away without facing consequences. That is the tragedy of Bangladesh.”

Speaking at a seminar on “Unlocking Bangladesh’s Bond and Sukuk Markets: Fiscal Space, Infrastructure Delivery and Islamic Money Market Development”, he stressed that a functional capital market with active private sector participation is crucial for risk-sharing in large projects.

”People must understand that investing in bonds, debentures and securities involves risks. The capital market is not a source of perpetual guaranteed income.”

He urged the Dhaka Stock Exchange (DSE) and the Bangladesh Securities and Exchange Commission (BSEC) to better educate small investors.

The Finance Adviser emphasised the urgent need to strengthen Bangladesh’s capital markets and expand the use of Sukuk bonds to reduce the country’s over-dependence on bank financing for both public and private project.