Friday, 24 October, 2025
Chief Adviser Professor Muhammad Yunus has expressed hope that teachers under the MPO scheme will return to classrooms with renewed enthusiasm following the government’s decision to raise their house rent allowance.
According to a statement from the Chief Adviser’s Press Wing, the interim government has approved a 7.5 percent increase in house rent allowance for MPO-listed teachers and employees of private educational institutions, effective November 1, 2025. Another 7.5 percent increase will take effect from July 2026, bringing the total rise to 15 percent.
“The interim government considers the demands of teachers and employees of private educational institutions under the MPO scheme to be reasonable,” Professor Yunus said.
He noted, however, that the country’s fragile economy—strained by 15 years of corruption and looting—had limited the government’s ability to meet the teachers’ demand for a 20 percent raise.
“Therefore, the government had to take this decision based on realities,” the Chief Adviser added.
Before finalising the decision, Professor Yunus held several meetings with Education Adviser Professor Dr C.R. Abrar, Finance Adviser Dr Salehuddin Ahmed, and Planning Adviser Dr Wahiduddin Mahmud to review the teachers’ demands and fiscal implications. He thanked Professor Abrar and others for their tireless efforts in resolving the issue.
Following weeks of protests by private school and college teachers, the Finance Division on Tuesday formally approved the house rent allowance increase for employees under the Monthly Pay Order (MPO) scheme.
Under the new arrangement, MPO-registered staff will receive 7.5% of basic salary (minimum Tk 2,000) from November 2025 and another 7.5% (minimum Tk 2,000) from July 2026. The approval letter was sent to the Secondary and Higher Education Division at the Ministry of Education.
Teachers had earlier staged demonstrations demanding a 20% house rent allowance, Tk 1,500 medical allowance, and 75% festival allowance, rallying at the National Press Club on October 12 and the Central Shaheed Minar on October 13.
The Finance Division’s decision marks a partial concession to their demands, addressing one of their major grievances while falling short of the full 20 percent increase sought by the protesters.
Comments
Chief Adviser Professor Muhammad Yunus has expressed hope that teachers under the MPO scheme will return to classrooms with renewed enthusiasm following the government’s decision to raise their house rent allowance.
According to a statement from the Chief Adviser’s Press Wing, the interim government has approved a 7.5 percent increase in house rent allowance for MPO-listed teachers and employees of private educational institutions, effective November 1, 2025. Another 7.5 percent increase will take effect from July 2026, bringing the total rise to 15 percent.
“The interim government considers the demands of teachers and employees of private educational institutions under the MPO scheme to be reasonable,” Professor Yunus said.
He noted, however, that the country’s fragile economy—strained by 15 years of corruption and looting—had limited the government’s ability to meet the teachers’ demand for a 20 percent raise.
“Therefore, the government had to take this decision based on realities,” the Chief Adviser added.
Before finalising the decision, Professor Yunus held several meetings with Education Adviser Professor Dr C.R. Abrar, Finance Adviser Dr Salehuddin Ahmed, and Planning Adviser Dr Wahiduddin Mahmud to review the teachers’ demands and fiscal implications. He thanked Professor Abrar and others for their tireless efforts in resolving the issue.
Following weeks of protests by private school and college teachers, the Finance Division on Tuesday formally approved the house rent allowance increase for employees under the Monthly Pay Order (MPO) scheme.
Under the new arrangement, MPO-registered staff will receive 7.5% of basic salary (minimum Tk 2,000) from November 2025 and another 7.5% (minimum Tk 2,000) from July 2026. The approval letter was sent to the Secondary and Higher Education Division at the Ministry of Education.
Teachers had earlier staged demonstrations demanding a 20% house rent allowance, Tk 1,500 medical allowance, and 75% festival allowance, rallying at the National Press Club on October 12 and the Central Shaheed Minar on October 13.
The Finance Division’s decision marks a partial concession to their demands, addressing one of their major grievances while falling short of the full 20 percent increase sought by the protesters.
Comments
