Written by The Banking Post
Bangladesh Bank Governor Dr Ahsan H Mansur has called for stronger mobilisation of domestic resources to finance the country’s development, as global aid flows shrink and traditional donors turn inward.
Speaking at an event organised by Care Bangladesh in Dhaka on Wednesday, the governor said Bangladesh has already reduced its aid dependency significantly compared to the early years after independence.
“Back in 1972, foreign aid accounted for 12 to 14 percent of the budget. Today, that dependency has come down sharply. Now we must enhance our resource mobilisation capacity, which is perfectly achievable,” he said.
Dr Mansur stressed that reforms in revenue collection are essential but often face resistance. Referring to a recent strike at the National Board of Revenue (NBR), he said some officials were keen to preserve the status quo.
“But the status quo is not an option. We must move towards higher revenue generation,” he noted.
Pointing to regional examples, the governor said Bangladesh lags behind its neighbours in revenue collection. “If India can collect revenue equivalent to 18–20 percent of GDP, and Nepal can exceed 20 percent, then why should we be stuck at our current levels?”
Dr Mansur said bridging the financing gap will require more than public funding. Private capital, both domestic and international, must also be tapped. He highlighted sovereign bonds, private sector borrowing, and foreign direct investment as viable tools for attracting global capital.
“The world is moving on. Industrial countries are preoccupied with their own problems. We must fend for ourselves, and East Asia has already shown us that it can be done,” he said.
