The government is set to halve the monthly car maintenance allowance for eligible civil servants, reducing it from Tk50,000 to Tk25,000, as part of its efforts to reduce expenditure.

The finance ministry wrote to the public administration ministry on 9 July seeking measures to reduce vehicle maintenance costs by half. 

Prime Minister Tarique Rahman has already approved a proposal to implement the cut, says the letter. 

These austerity measures are intended to combat inflation, manage limited national resources and ensure overall macroeconomic stability.

At present, officials from the rank of deputy secretary to additional secretary are eligible for interest-free loans of up to Tk30 lakh to purchase cars. They also receive a monthly vehicle maintenance allowance of Tk50,000.

Around 2,400 government officials currently receive the benefit.

Bureaucrats / Car maintanance

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