Circular issued to give special allowance to govt employees

The Finance Division under the Ministry of Finance on Tuesday issued a circular approving the proposal to increase special incentives for government employees.

The circular was issued a day after the Tk 789,999 crore budget for FY26 proposed by the finance adviser on Monday.

According to the circular, officers and employees in grades 10 to 20 will receive a total of 15% special incentive, which includes the existing 5%. Meanwhile, those in grades 1 to 9 will get a total of 10%.

This means an additional 10% incentive for grades 10 to 20 and an additional 5% for grades 1 to 9.

The allowance will be at least Tk 1,000 for in-service employees and Tk 500 for pensioners.

The benefit will apply to civil government employees under the national pay scale as well as personnel of autonomous and state-owned bodies, banks, insurance and financial institutions, Border Guard Bangladesh (BGB), and the police.

Pensioners whose pensions have been reinstated will also be eligible.

The move is expected to cost the government approximately Tk7,000 crore.