Govt procuring LNG after comparing int'l price from various sources: Finance adviser

Finance Adviser Salehuddin Ahmed has said the interim government is importing liquefied natural gas (LNG) from various sources, not from a single country, by comparing international prices and assessing demand.

"No, we are not importing LNG from a single source. We verify the international market. We are comparing all the markets, be it America, Saudi Arabia, China, or Singapore. It is not that easy to just give it to the US," he told reporters today (16 September).

Dr Salehuddin was speaking after chairing meetings of the Advisory Council Committee on Economic Affairs and the Advisory Council Committee on Government Procurement at the Secretariat.

Asked about the outcomes of the current visit of the USTR delegation to Bangladesh, he said the issue lies with the Commerce Ministry, especially as emphasis is being given to minimising the existing trade gap between Bangladesh and the USA by importing more items from the USA.

"We are now in a more comfortable position as our trade gap with the USA is narrowing, although it is around $125 billion for Vietnam," he said, adding that time will tell what the implications will be.

He also said that importing more US products may raise costs but quality is also a key factor.

"For example, importing wheat from the USA may increase the cost, but its quality is definitely better. On the whole, we need to import a bit more from the USA to minimise the trade gap," he said.

On the macroeconomic situation, the adviser said the government has been making efforts to stabilise conditions and increase tax collection. He referred to the inclusion of tax lawyers in the Tax Representative Management System (TRMS) to strengthen recovery.

He said this step would not affect exports or inflation. Nor, he added, would it burden consumers, as the government is continuing to supply essential goods to low-income groups at subsidised prices through the Trading Corporation of Bangladesh (TCB).

Despite progress, he noted, challenges remain in the wholesale and retail markets, which "often go beyond economic rationale." Still, he said the overall inflationary trend has become more stable, with non-food inflation showing a decline.

Responding to allegations of irregularities in fertiliser procurement, Salehuddin said, "We are looking into the matter. It is not like you just say something, and we take action immediately."

He pointed out that fertiliser is generally procured by the Ministries of Agriculture and Industries.

When asked if there were any discussions on political issues, he clarified that the procurement committee does not discuss politics but focuses on economic matters.

"We are trying to consolidate the economic side somewhat," he said.

Regarding decisions at the day's meetings, the adviser said approval had been given for setting up power substations in remote areas to address distribution problems. Procurement of LNG, as well as MOP and urea fertilisers, was also approved.