Dhaka, Bangladesh (BBN) - The BBN has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
Rural credit comes with extra costs
Rural customers have to spend money to get farm loans, which includes giving tips to convince officials, and the incidence is the highest in case of state-owned banks, a survey by Bangladesh Bureau of Statistics found. Of the 1.18 crore cases of agricultural loans dispatched in 2013, 56 percent entailed spending a certain amount to get them, according to the Rural Credit Survey 2014. The customers had to spend some money -- Tk 409 on average -- for application, photograph, preparation of required documents, registration, transportation, tips for convincing officials and so on.
Govt to amend 3 banking acts to include bailout measures
The government has decided to amend at least three acts including the Bank Company Act (1991) that regulate banking operations to include bailout measures to shore up troubled banks with injecting prompt liquidity assistance. Bangladesh Bank is now at the final stage of drafting a bank resolution and lender of last resort (LOLR) facilities so that immediate liquidity measures could be taken either by the finance ministry or by the BB in case any bank or financial institution collapses, a senior finance ministry official said.
PC refuses to give nod to Karnaphuli tunnel project
The Planning Commission has turned down Bangladesh Bridges Authority (BBA) proposal for approving the Karnaphuli tunnel project on grounds of incomplete groundwork and flaws in cost analysis. Sources said BBA sent the development-project proposal (DPP) to the project-evaluation committee (PEC) for approval without evaluating commercial proposal of the Chinese government-designated company, finalising funds for land acquisition as well as the cost involvement for environment management. All these are essential components to be taken into account in finalising the total project cost - at least close to it, they added.
Bangladesh’s imports fall further in Feb
Bangladesh’s overall imports fell further in February following lower prices of fuel oil in the global market and the political turmoil, officials said. “The falling trend of imports, in value terms, continued in February 2015 mainly due to lower prices of petroleum products in the international market and the prolonged political unrest,” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka on Sunday. Opening of letters of credit (LCs) against imports, generally known as import orders, decreased by 9.41 per cent to US$ 3.05 billion in February last from $3.37 billion in the corresponding period of the previous calendar year, the BB data showed.
Banks asked to offer services to active bond licensees only
The Customs Bond Commissionerate of Dhaka has asked banks to open letters of credit in favour of active firms only. The field office of the National Board of Revenue also directed the banks not to give overseas trade-related services to the companies that face regulatory measures for noncompliance with bonded warehouse rules. The commissionerate has recently taken a series of measures that include listing of non-existent firms, putting a freeze on bank accounts of 123 companies and 385 directors of these companies and suspension of many bond licences.
BSEC starts allowing brokers to open branch after 4 years
The Bangladesh Securities and Exchange Commission has started allowing brokerage houses to open new branch after a four-year break, BSEC officials told New Age on Sunday. The capital market regulator since the market crash in 2010-2011 had been refraining from allowing any new branch of brokerage houses following instruction from Prime Minister Sheikh Hasina, they said.
Following the instruction from the PM, the capital market regulator on February 22, 2011 asked the Dhaka Stock Exchange not to propose for approval of any new branch. The market regulator, after getting green signal from the prime minister, has stated to allow several brokerage houses to open new branch, the officials said.
Turnover in call money market falls further
The overall transactions in call money market fell further on Sunday as lender banks have diversified their excess funds in inter-bank Repo and term deposits, bankers said. The overall turnover in the inter-bank call money market came down to BDT 33.77 billion on the day from BDT 36.16 billion on Thursday. It was BDT 38.90 billion on Wednesday. The call rate ranged between 7.50 per cent and 8.0 per cent on the day against 7.0 per cent and 8.0 per cent of the previous working day. But most of the deals were made at rates between 7.50 per cent and 8.00 per cent on the day, market operators said.
Bangladesh’s stocks end higher for 2nd day
Bangladesh’s stock ended higher for the second running sessions on Sunday with improving turnover as investors went for buying spree amid optimism. The investors went for buying binge from the very beginning of the trading session defying prevailing political crisis and the positive vibe sustained throughout the session. DSEX, the prime index of the Dhaka Stock Exchange (DSE), crossed the 4,500-mark and ended at 4,533.21 points, gaining 65.19 points or 1.45 percent.
BBN/SSR/AD-23Mar15-8:40 am (BST)