BANGLADESH: Thursday’s morning business round-up

Last updated: April 3, 2014

Dhaka, Bangladesh (BBN)- The Bangladesh Business News (BBN) has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
 

Uncertainty over payment, fear of labour unrest loom: The recent production suspension slapped on some garment units has raised concern among many factory owners and workers as the issues relating to payment of wages and other benefits during the suspension still remain unresolved in the midst of the ongoing inspection programme, sector insiders said. The ready-made garment (RMG) sector leaders are of the opinion that many owners do not have the ability to pay workers during the 'production suspension' and bear solely the costs of repairs. But the Accord officials are sticking to their stance that factory owners would have to pay their workers and maintain their 'relations with the workers' during the suspension.

Govt to set GDP growth target at 7.3pc for FY15: Finance minister AMA Muhith on Wednesday said the growth of the country’s gross domestic product would be projected at 7.3 per cent for the upcoming fiscal year. In the outgoing fiscal year, the revised GDP growth is 6.5 per cent, he told reporters after a meeting of the national coordination council on the country’s macro-economy and budget management. He said the size of the annual development programme would be less than Tk 80,000 crore while the total layout would be around Tk 2,50,000 crore in the new fiscal year. Muhith said he was facing problem in preparing the budget because of expectation for higher allocation from the ministries and divisions.

BB purchases $3.83 billion from banks: The central bank of Bangladesh continues to purchase the US dollar from the commercial banks directly to keep the inter-bank foreign exchange market stable, officials said. “We’ve purchasing the US currency from the banks to protect the interests of exporters and migrant workers by keeping the exchange rate of the local currency against the greenback stable,” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka. He also said the central bank has purchased the US dollar continuously from the banks to offset higher inflow of foreign exchange in the market.

Thrust on greater coordination between BSEC, central bank: Top 30 member brokers of Dhaka Stock Exchange (DSE) have stressed the need for greater coordination between central bank and the securities regulator in case of taking capital market related decisions, officials said. The opinion of the top brokers, selected in terms of turnover observed in last three months, came Wednesday at a meeting chaired by the DSE Chairman Justice Siddiqur Mia.

Tk 55,000cr RADP proposal on cards: A proposal of Tk 55,000-crore revised annual development programme, Tk 10,000 crore less than the original ADP, is likely to be placed before the National Economic Council meeting today amid tussle between finance ministry and planning ministry over the size of the RADP, officials concerned told New Age on Wednesday. According to planning ministry officials, the size of the RADP is now depending upon prime minister Sheikh Hasina as finance minister AMA Muhith and planning minister AHM Mutafa Kamal failed to come to a consensus over the issue. The two ministries have been at loggerheads over the size of the RADP for last few months as the finance ministry recommended downsizing of the ADP to Tk 55,000 crore from its original outlay of Tk 65,870 crore.
 

Remittance inflow grows by 8.54% in March:The flow of inward remittances grew by 8.54 per cent in March last over the previous month following bringing back political stability in Bangladesh, officials said on Wednesday, reports Bangladesh Business News (BBN). The remittances from Bangladeshi nationals working abroad were estimated at US$1.27 billion in March 2014, up by $100.16 million from the level of the previous month. In February last the remittances stood at $1.17 billion, according to the central bank statistics.

Wednesday’s major market indicators of Bangladesh: The upward trend of call money rate continued on Wednesday while the US dollar was stable against the local currency in the inter-bank market, treasury officials said. The call rate ranged between 6.00 per cent and 8.00 per cent on the day against 5.00 per cent and 8.00 per cent of the previous working day. But most of the deals were made at rates between 7.00 per cent and 8.00 per cent on the day, they added.

BBN/SSR/AD-03Apr14-9:01 am (BST)

 

 

 

 

 

 

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