Good morning. Here's what happened overnight and what you need to know today.
1.
Unrest in Industrial Zones: American companies operating in Bangladesh yesterday expressed concern over the law and order, especially in light of the recent unrest in industrial zones, and also highlighted issues regarding profit repatriation amid the ongoing dollar crisis and challenges in the supply chain resulting from congestion at ports. The concerns were expressed at a meeting between leaders of the American Chamber of Commerce in Bangladesh (AmCham) and a visiting US delegation, led by Brent Neiman, assistant secretary for international finance at the US Department of the Treasury. (The Daily Star)
2.
Joining Work Today: Labour leaders on Saturday called upon the readymade garment workers to join their respective workplaces today (Sunday) while factory owners threatened keeping their units shut for an indefinite period if unrest persists. Meanwhile, the advisors of the interim government warned of taking 'strict' actions against those responsible for creating unrest in the factories that continued for over two weeks. (The Financial Express)
3.
Rouf Talukder’s Reserve Mess: Bangladesh's interbank forex market now shows an average $50 million surplus and banks are calling their clients asking whether those businesses need dollars for opening letters of credit for imports, a turnaround that was unheard of for many months. Under the direction of Bangladesh Bank Governor Dr Ahsan H Mansur, banks are clearing overdue payments, resulting in improved market conditions. This progress comes despite a reduction in foreign currency trade credit limits imposed by foreign banks on local banks. (The Business Standard)
4.
Imports Fall: In the first two months of FY25, both import-related letter of credit (LC) openings and settlements declined by around 13% due to various reasons, including political instability and stagnant investment. According to data from the central bank, import LCs worth $10.03 billion were opened during July-August, a drop of nearly $1.5 billion compared to the same period last fiscal year. (The Business Standard)
5.
Aziz Khan: By birth, he is Bangladeshi, and while most of his businesses remain rooted in his homeland, his wealth has grown in Singapore, where he is now the 41st richest billionaire. Leveraging political ties, he has maintained a dominant grip over Bangladesh’s power and energy sector, reshaping it to his advantage. He is Muhammed Aziz Khan, chairman of Summit Group and the most influential businessman in Sheikh Hasina’s inner circle.As a close confidant of the former prime minister, Aziz Khan used his influence to establish more than 20 power plants with a combined capacity of around 3,000 MW during Hasina’s 15-16 years in power. (The Business Post)
6.
Bangabandhu-1 Satellite: The Bangabandhu-1 satellite, one of the marquee projects of the Awami League government, has turned into a financial black hole, costing the state coffer upwards of Tk 1,500 crore. In September 2014, despite the Planning Commission's reservations, former prime minister Sheikh Hasina approved the Tk 2,968 crore project, whose cost later went down to Tk 2,765 crore (The Daily Star)
BBN/SSR/AD