Staff Reporter :
The government has decided to stop procuring all kinds of motor vehicles as part of its austerity plan due to the Covid-19 pandemic and global economic situation.
The decision was conveyed in a circular signed by Muhammad Anisuzzaman, Deputy Secretary, Budget-1 of the Finance Division, on Sunday (July 3).
The circular said the government has decided to stop spending or reducing the money allocated in operational and development budgets of all the government, semi-government, autonomous, state-owned and other bodies to follow austerity measures in government spending in the context of present global economic situation.
The decisions included stop of the purchase of all kinds of vehicles (motor vehicles, water vehicles and airplanes).
Besides, maximum 50 per cent of the money allocated to meet entertainment, and travel expenses, buying stationary goods, computers and miscellaneous items, electrical goods and furniture can be spent in the current financial year.
Earlier, Prime Minister Sheikh Hasina directed to reduce expenses in all government and non-government sectors. Some directives were also given for the government officials in this regard. The private sector was also suggested to follow the directives.
Besides, the Planning Minister’s authority was curtailed in approval of projects.
The Prime Minister gave the directives at a meeting of the National Economic Council (NEC) in May last.
A similar restriction on cars was imposed in 2020 for six months against the backdrop of the Covid-19 fallout.
The government expects to save up to Tk 5,500 crore for the austerity measures taken so far, reports media citing finance ministry sources.
