The study gives the grievous concerned about the national budgets in Bangladesh that have a positive effect on
poverty reduction process in developing countries all over the world. Recently, Bangladesh has been performing
well from the growth perspective (e.g., GDP growth rate was on average 5.8% per year during 2000-2010 by
CDP, 2011). This research provides the last seven fiscal years’ national budgets that are increasing in amounts in
regard to public demands and national growth. The study also deals with the current status of poverty rate in
Bangladesh. This shows that how fiscal policy could play vital roles in the poverty reduction process. As a result,
if the National budgets are bigger in amounts, well-designed and effectively implemented in a country the
poverty will be reduced gradually. Finally, based on the findings, this study a number of suggestive policy
measures that the planners and implementers of fiscal policy may consider for the future development of the
developing countries in the world like Bangladesh.