Written by The Banking Post
Digital accounting has become essential for Bangladesh’s efforts to build a transparent, efficient and future-ready economy, according to the Institute of Chartered Accountants of Bangladesh (ICAB), which says modernising financial reporting and tax administration is now critical for stronger revenue mobilisation.
Speaking at a pre-budget roundtable on digital accounting and revenue mobilisation, ICAB President N K A Mobin said the country’s largely manual accounting framework remains vulnerable to inefficiency, weak compliance and limited transparency. He noted that digital systems can significantly improve accuracy, enable real-time reporting and make financial information more accessible for both businesses and regulators.
He welcomed the National Board of Revenue’s ongoing drive to digitise tax administration, saying the move could bring structural improvements in tax assessment, collection and auditing. However, he cautioned that barriers such as low digital literacy, resistance to technological change, cyber security concerns and infrastructure gaps must be addressed through coordinated policy support and capacity-building.
Mobin said revenue collection has continued to lag behind expectations, with the shortfall nearing Tk 1 trillion in the first nine months of the current fiscal year. With the next national budget likely to exceed Tk 9 trillion, he stressed the need to raise direct tax collection to ensure long-term fiscal sustainability.
He also underlined the importance of curbing VAT evasion and aggressive tax avoidance, arguing that revenue can be increased through better compliance rather than higher tax rates.
Highlighting ICAB’s Document Verification System (DVS), Mobin said the platform has already strengthened accountability by allowing real-time verification of financial documents and reducing the risk of fraud and manipulation. Integrating such tools with the NBR’s digitalisation initiatives, he said, could help create a more credible and transparent financial ecosystem.
He added that wider adoption of digital accounting, automation and AI-driven systems would help businesses maintain standardised records, making it easier for tax authorities to verify income, expenses and VAT submissions.
Mobin also called for encouraging small and medium-sized enterprises to adopt digital accounting systems, saying their gradual integration into the formal economy would broaden the tax base and support sustainable revenue growth.
