FROM PAGE B1

“The fiscal cost of tax expenditures in Bangladesh remains substantial,” the report said.

The NBR called for tax expenditures to be more strategically designed and periodically evaluated against key policy priorities, including export diversification, green energy transition, SME development, women’s economic empowerment, and regional equity.

The report suggested that existing incentives, such as tax holidays, could be better aligned with emerging national priorities.

For instance, these could be repurposed to support climate-resilient infrastructure or promote digital entrepreneurship in underserved regions.

Emphasising the need for a more transparent and accountable system, the report said a well-calibrated approach -- balancing revenue imperatives with growth incentives, equity, and social inclusion -- would allow Bangladesh to transform its tax incentive regime into a more effective instrument of economic policy, aligned with its long-term development aspirations.