Dhaka, Bangladesh (BBN) - The BBN has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
Single VAT rate from July 2016, says Muhith
Finance Minister AMA Muhith said Monday that a single rate of VAT (value added tax) will come into effect from the first day of fiscal year 2016-17. The VAT Act-2012 will be made effective on that day also. The minister's comment came a day after the country's business community demanded introduction of multiple rates of VAT as practiced in many countries. Briefing newsmen after a meeting with visiting delegation of the IMF (International Monetary Fund) at his Secretariat office, Mr Muhith also said the multilateral lending agency has agreed to release the last two instalments of extended credit facility (ECF) worth US$280 million by June this year.
IMF sees Bangladesh export growth dampens to Euro zone
Bangladesh export growth dampens to the Euro zone following appreciation of the Bangladesh Taka (BDT) by around 15 per cent against the European Union common currency since September last, the International Monetary Fund (IMF) said on Monday. The BDT appreciation against Euro eventually dampens growth of Bangladesh’s export to the Euro area but exports are not sensitive to Euro-area income, according to an IMF policy note, which was presented at a seminar, organised by the Chief Economist’s Unit of the Bangladesh Bank (BB), the country’s central bank.
Banks' idle money not too large: BB
The banking sector is left with only Tk 3,364 crore of idle money, not Tk 90,000 crore as reported in the media, Bangladesh Bank said yesterday. The banking regulator said the amount is not too big compared to the number of banks. Currently, there are 56 banks in the country and often media reports mentioned that the banking industry has Tk 90,000 crore to Tk 100,000 crore of idle money. “It's not true,” BB said in a statement. “After meeting the statutory requirement, banks invest its funds in the government securities, which are safe and profitable.”
BB likely to impose penalty on indebted banks
Bangladesh Bank is likely to impose commitment failure fee against the scheduled banks which would not settle the overdue inland and foreign bills of letters of credit in due time. A BB official told New Age on Sunday that the central bank had an arranged a meeting with the heads of international division of the banks last week at the central bank headquarters asking them to settle the overdue bills in due time, otherwise they (banks) would have to pay commitment failure fee.
Bangladesh stocks break losing streak
Bangladesh’s stocks closed slightly higher on Monday, breaking the losing streak of last six consecutive sessions as opportunist investor took position on lucrative stocks. The market opened with a positive note which sustained throughout the session amid modest see-saw trend. DSEX, the prime index of the Dhaka Stock Exchange (DSE), ended at 4,626.22 points, gaining only 1.27 points or 0.02 percent. The two other indices also closed in green.
ADP fund to be slashed
The planning ministry is likely to revise down 48 ministries' and divisions' allocation from the Annual Development Programme and divert the resources to the other seven ministries, after taking stock of fund availability. The proposal for the revised ADP for fiscal 2014-15 will be placed today at a meeting of the National Economic Council.
Use monetary policy tools to curb non-food inflation
A visiting International Monetary Fund (IMF) mission has advised the Bangladesh Bank (BB) for taking measures to curb non-food inflation through monetary policy. "Non-food inflation is a signal to the future direction of overall inflation in Bangladesh," the IMF said in a policy note, which was presented on Monday at a seminar, organised by the Chief Economist's Unit of the BB. It also said the monetary policy should, therefore, pay attention to non-food inflation shocks.
Mobile internet users drop by 8 lakh in Jan
The country’s active mobile internet users declined by 8 lakh in January amid government restriction on several data communication applications in the month. According to the latest data of Bangladesh Telecommunication Regulatory Commission, the mobile internet users came down to 4.13 crore in January from that of 4.21 crore in December. Officials of the mobile phone companies said there were a number of reasons for such fall in active mobile internet user number.
BBN/SSR/AD-10Mar15-11:12 am (BST)