Dhaka, June 2 -- The interim government has proposed borrowing Tk 1.04 trillion from the banking system in the 2025-26 fiscal year, 24.37 percent less than the Tk 1.37 trillion target set for the previous year.

In his Tk 7.9 trillion budget presentation on Monday, Finance Advisor Salehuddin Ahmed also announced a reduced target of Tk 125 billion from savings certificates, down 18.83 percent from Tk 154 billion in the last fiscal.

He said the overall budget deficit would stand at Tk 2.26 trillion, or 3.6 percent of GDP, and reiterated that the deficit and borrowing levels would remain "tolerable".

Of the total shortfall, the government aims to raise Tk 1.25 trillion from domestic sources and Tk 1.1 trillion from external lenders.

Inter...