Government decides to change fiscal year period to April 1 - March 31

The government has decided to change the period of the country's fiscal year. While the financial year has traditionally been calculated from July 1 to June 30, under the new decision, the fiscal year will run from April 1 to March 31.

The decision was made during a cabinet meeting chaired by Prime Minister Tarique Rahman at the Secretariat on Monday (August 17). The matter was subsequently announced in a press release issued by the Cabinet Division.

The Cabinet Division stated that because the current fiscal year spans from July to June, various infrastructure development activities continue during July and August, which is the monsoon season. Due to the rains, these works not only get prolonged but their quality is compromised, causing public suffering as well.

By shifting the new fiscal year to start in April, a significant portion of infrastructure development activities can be completed before the monsoon begins. Consequently, the government deems setting the fiscal year from April 1 to March 31 to be a logical step.

However, rather than implementing the change immediately, an interim period has been designated. The upcoming 2027–28 fiscal year will be treated as a transitional fiscal year, lasting nine months from July 2027 to March 2028. Following this, starting from the 2028–29 fiscal year, the financial year will be calculated under the new system from April 1 to March 31.

The shift in the fiscal year will necessitate required adjustments in the government's financial management and related systems. A committee comprising the Cabinet Division, Bangladesh Bank, National Board of Revenue (NBR), Legislative and Parliamentary Affairs Division, Finance Division, and other relevant stakeholders will determine the subsequent course of action.

Furthermore, implementing this change will require necessary amendments to the Constitution of Bangladesh and the General Clauses Act, 1897. Alongside this, technical and administrative systems associated with the government's financial management will also undergo required modifications.