It is unfortunate that black money continues to be in circulation using a legal loophole that hasn't been addressed despite criticism over the past five months. It can be recalled that the National Board of Revenue (NBR), on September 2, announced the cancellation of the opportunity to legalise undisclosed (black) money by paying a 15 percent tax on securities, cash, bank deposits, financial schemes, and so on. However, the provision for legalising undisclosed assets through a fixed tax payment on investment in real estate has been retained. Now, according to a report by Bonik Barta, this is being exploited to whiten black money by individuals purchasing properties at inflated prices in Dhaka's elite neighbourhoods.

It is well-known that many individuals, particularly those with political and business ties to the ousted Awami League government, accumulated vast sums of illicit wealth and funnelled it into real estate. Even though many of them have been on the run or behind bars since the political turnover in August, this hasn't dampened the housing trend, thanks to the continued allowance for investment of black money in real estate.

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Analysing some recent developments in Gulshan, the report suggests that the opportunity to convert illegal money into legal assets is driving up prices of flats and plots. While there are other factors likely contributing to high prices in areas such as Gulshan, Banani and Baridhara—including continued demand from affluent buyers, availability of better living opportunities, and better security—black money continues to play a destabilising role. It is well-known that many individuals, particularly those with political and business ties to the ousted Awami League government, accumulated vast sums of illicit wealth and funnelled it into real estate. Even though many of them have been on the run or behind bars since the political turnover in August, this hasn't dampened the housing trend, thanks to the continued allowance for investment of black money in real estate.

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Its consequences are not hard to miss. First, this is leading to artificial price hikes in real estate, making homeownership quite difficult for honest, middle-class citizens. Second, it continues to distort market dynamics with some experts claiming that the prices of flats in some areas of Dhaka have even surpassed those of global metropolitan cities like London, Dubai, and New York. Third, it continues to enable a culture of impunity where those with illegitimate wealth can get away without any scrutiny and consequences whatsoever.

This is totally unacceptable. We urge the NBR authorities to immediately extend the freeze on legalisation of black money through real estate investment. Moreover, there must be strict audits on high-value property transactions to identify the sources of funds. Without these measures, real estate will remain a safe haven for illicit wealth, reinforcing inequalities and preventing efforts to overhaul the financial sector. It is not enough to talk about the crimes of the past; we must prevent their recurrence in the future.