Finance Adviser Salehuddin Ahmed described money launderers as highly intelligent, emphasising that recovering laundered funds is a complex and time-consuming process.
“If we could recover laundered money, we wouldn’t need IMF budget support,” he said at a post-budget press conference for the 2025-26 fiscal year at Osmani Memorial Auditorium on Tuesday.
He noted that the process, estimated to take one to one-and-a-half years, has already begun.
The press conference was attended by Commerce Adviser Sheikh Bashir Uddin, Home Affairs Adviser Lt Gen (Retd) Md Jahangir Alam Chowdhury, Planning Adviser Dr Wahiduddin Mahmud, Power and Energy Adviser Fowzul Kabir, Cabinet Secretary Dr Sheikh Abdur Rashid, Finance Secretary Dr Md Khaeruzzaman Majumder, NBR Chairman Md Abdur Rahman Khan, and Bangladesh Bank Governor Dr Ahsan H Mansur.
Addressing efforts to recover laundered money, Salehuddin explained that the process, led by the Bangladesh Bank Governor, is challenging due to the layered methods used by launderers.
“It took Nigeria 20 years. We’re making progress, but it will take time,” he said, adding that recovered funds would reduce reliance on external support like the IMF.
On the issue of whitening black money, Salehuddin clarified that the budget refers to “undisclosed income” rather than black money.
Provisions allow individuals to declare undisclosed income for flats by paying additional taxes, balancing moral and practical considerations. “We believe providing this opportunity is beneficial,” he said.
Responding to queries about the budget, Salehuddin denied any discriminatory measures, highlighting allocations for women, youth, startups, and other sectors.
He noted that tariffs on business and commerce items have been reduced, though the budget is not specifically focused on employment. Compared to last year, the budget is smaller and more implementable, designed for a full year rather than shorter periods.
NBR Chairman Abdur Rahman Khan clarified that the 2025-26 budget does not offer broad opportunities to whiten black money.
However, two provisions remain: individuals building homes on their own land with undisclosed income can pay double tax, while purchasing flats requires five times the tax.
“Other organisations can still question these transactions,” he added, noting that the high tax rate makes the process costly.
Salehuddin addressed concerns about the budget’s legacy, stating that future governments could continue or critique their work. “We’re not doing anything that warrants removal,” he said.