Budget proposal misunderstood

Finance Minister AMA Muhith yesterday said the black money holders will in no way be asked any question about the source of money they would invest under the amnesty proposed in the new budget.

"If we ask question about the source of money, the purpose of the amnesty will not be successful," he told reporters in response to a question whether criminal investigations would be launched against the black money holders later on if they show the hidden money.

There is a misunderstanding that the money would be whitened in the last year of the three-year amnesty, Muhith said. He made it clear that black money should come in the first year of the amnesty period as the expected huge money cannot be invested in a single year.

The minister was talking to the reporters after meeting with visiting International Finance Corporation (IFC) Director Pierre Guislain at the Economic Relations Division when they discussed how the IFC could help Bangladesh improve the investment climate following the major budgetary measures.

There is widespread apprehension among cross-sections of society lest there should be investigation into the source of money of the investors once they are identified as black money holders.

A senior lawyer who is now in government told UNB, "It would be clear after issuance of the SRO in this regard."

The minister made it clear that they would submit investment proposal with expected employment creation in the first year while the government would examine after the three years whether the investors fulfilled the employment target. Then they would get the chance of getting their money whitened.

Replying to another question, Muhith said it is still premature to say whether the budgetary measures would be changed. Discussion on the budget in the parliament will start today and the changes, if required, would be decided after completion of the discussion.

Turning to IFC meeting, Muhith said they discussed how better Bangladesh could operationalise its institutions to improve the country's investment climate for facilitating the special economic zone and public-private partnership.