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Simeen Rahman, chief executive officer of Transcom Group, said one of the biggest challenges facing businesses is the ongoing stress in the financial sector.

She said reforms are essential, but more importantly, the right reforms are needed, as many of the current challenges businesses are facing today have been inherited from previous administrations.

“The business community is affected every single day,” she said, urging the government to pursue reforms more aggressively despite the difficulties.

On the budget, she said the key challenge is to expand the tax base rather than increasing the burden on existing taxpayers.

She called for full digitisation and automation of the tax system to ensure transparency and efficiency, noting that the current tax-to-GDP ratio is around 6 percent and should be raised significantly.

She also advocated a uniform value-added tax (VAT) rate across sectors, saying differentiated rates create scope for manipulation.

On advance income tax (AIT), she said the current 5 percent deduction at the import stage is rarely refunded by the National Board of Revenue (NBR), effectively making it a permanent cost. She proposed reducing it to at least 3 percent.

She added that tax deducted at source, especially on institutional and corporate sales, is treated by the NBR as a final tax liability, creating an excessive burden on businesses. She suggested reducing the rate from 5 percent to 3 percent to provide relief.

M Masrur Reaz, chairman of Policy Exchange Bangladesh, said investment, employment and private sector credit growth remain weak. The government should prioritise economic recovery in the budget and focus on job creation.

Mohammad Hatem, president of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said exporters are not receiving refunds on advance income tax despite paying it upfront. He called for widening the tax net and improving the investment climate.

Md Mahbubur Rahman, chief executive officer of HSBC Bangladesh, said Bangladesh needs a clear policy to increase foreign currency inflows.

He added that this is an opportune time to attract investment from the Middle East and stressed the importance of improving energy security.

Md Golam Mowla, general secretary of the Moulvi Bazar Baboshayee Samity in Dhaka, said prices of imported spices such as cloves and cardamom, as well as fruits, remain high due to heavy import duties.

Selim Jahan, former director of UNDP, pointed to several key challenges including economic stabilisation, macroeconomic management and restoring dynamism. He said job creation and investment growth remain central concerns.

Mohammad Mustafa Haider, group director of TK Group, said Bangladesh is losing competitiveness to countries such as China, India and Vietnam due to high bank interest rates. He noted that loan repayment periods in Bangladesh are shorter than in many of these countries.

Imran Hassan, secretary general of the Bangladesh Restaurant Owners Association, said small local bakery units are being squeezed out as large corporate groups enter the market.

He said large firms are selling packaged rice at Tk 140 per kilogram while farmers receive only Tk 70.

He also said many small rice husking mills have shut down due to corporate expansion in the sector.

Finance Minister Amir Khosru Mahmud Chowdhury said the government plans to bring low-income groups such as shoemakers, potters, theatre people, artisans and painters under budgetary coverage.

He said non-governmental organisations and private sector actors will be engaged to support these groups.

The finance minister also said the government will pursue deregulation to improve the ease of doing business and activate the creative and sports economy in the next budget.