Dhaka, June 2 -- The proposed budget for the fiscal 2025-26, estimated at Tk 7.9 trillion is a contractionary one targeting realistic GDP growth and lower inflation at 8%, says Business Initiative Leading Development (BUILD) on Monday in its budget reaction.

The floating exchange rate has been announced considering high foreign exchange reserves at USD 27.4 billion, it said in a statement.

The budget has given a long term projection, sometimes up to 2030 showing optimism for future economic growth.

However, BUILD said, the country at the moment is in a transition towards LDC graduation, declining growth in agriculture (from 3.30% to 1.79%), lower investment to GDP ratio (29.38%), SDGs, uncertainty because of Reciprocal tariff by USA, a...