Dhaka, June 9 -- Rising tensions involving Iran and the wider region of West Asia could force the government to provide an additional Tk 426 billion in subsidies for fuel, gas, electricity and fertiliser by the end of the ongoing fiscal year, Finance Minister Amir Khosru Mahmud Chowdhury has told parliament.

Responding to a question from MP SM Jahangir Hossain on Tuesday, the minister said the impact of the regional instability is already being felt in energy, fertiliser, import costs, transport expenses, inflation, foreign exchange management, remittance inflows and overseas employment.

According to a preliminary assessment presented to parliament, the government may need an extra Tk 198.21 billion in electricity subsidies, Tk 111.70 b...