TIB backs no black money legalisation, calls for asset declaration rule for govt officials 

The Transparency International Bangladesh (TIB) has cautiously welcomed the government's decision to exclude, for now, any provision for legalising black money in the proposed budget, while also calling for mandatory asset declarations by public servants as a condition for implementing key elements of the new pay scale.

In a statement on the budget proposal today (11 June), TIB Executive Director Iftekharuzzaman said the move signals alignment with the government's anti-corruption electoral commitment and described the excluded provision as "unconstitutional, discriminatory, and corruption-enabling."

He, however, warned against any future reintroduction through Finance Bills under the guise of investment or job creation. "We therefore hope that this unethical opportunity will not return in any form. Although such provisions have existed almost continuously since independence, they have not brought real economic benefit. Instead, they have discouraged honest taxpayers and contributed to a culture of widespread tax evasion," he said.

On the new pay structure for government employees, he said its phased rollout reflects fiscal constraints after an 11-year gap, and is broadly justified given rising living costs. However, he stressed that pay reform must be tied to accountability.

"To ensure improved performance and corruption-free service delivery, mandatory disclosure of asset declarations must be a condition for eligibility under the new pay scale," he said, adding that only officials who regularly declare income and assets of themselves and dependents should qualify.

He noted that the cost of the pay revision, along with inflationary impact, would ultimately fall on citizens, making transparency essential.

Welcoming tax cuts on essential goods and services, he said the budget's commitment to a more efficient and transparent tax system must be implemented effectively. Honest taxpayers, he added, must be able to pay without harassment.

He cautioned that technology alone cannot curb tax evasion, citing corruption risks in parts of the revenue administration. "Effective measures must be taken to prevent corruption and irregularities," he said, warning that tax evasion through collusion remains a key cause of revenue shortfall.

He added that shifting from a debt-dependent to a revenue-driven budget would require a corruption-free National Board of Revenue.

He also criticised the absence of a clear governance roadmap in budget implementation, expressing hope that the final budget would address the gap.