Power-Sector Subsidy Overshoots Allocation

Government exchequer gasps under ?scal-pressure buildup as power-sector subsidy is projected to overshoot its budgetary mark in the current ?scal year (FY)-much of the burden stemming from overrated hiring of private plants.

the government had already disbursed Tk 320 billion during the ?rst nine months (July-March) of FY2025-26, and the amount is likely to reach some Tk 430 billion at the ?scal yearend, Ministry of Finance (MoF) of?cials say. With an estimated Tk 110 billion required to make up the gap for the remaining three months (AprilJune), the total subsidy requirement for the scal comes to nearly Tk 430 billion, says a senior MoF of?cial. Consequently, the nance ministry is nalizing a revised national budget substantially raising the power-sector allocation from its initial cap at Tk 370 billion, they say.

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