BBN Briefing – Good Morning Bangladesh 

Last updated: September 25, 2024

Good morning. Here's what happened overnight and what you need to know today.

1.

Recovering Stolen Assets: The World Bank will assist Bangladesh through the Stolen Asset Recovery Initiative in efforts to recover stolen assets. The development came at a meeting with a World Bank delegation from the Stolen Asset Recovery Initiative with Anti-Corruption Commission (ACC) Chairman Mohammad Moinuddin Abdullah at the ACC office on Tuesday (24 September). A two-member WB team had an hour-long meeting with the chairman, starting around 1:45pm, according to an ACC official. (The Business Standard)

2.

No printing Taka or Sell Dollar: The central bank will not print money or sell dollars from reserves to solve the problems in the financial sector, said its governor Ahsan H Mansur yesterday. Now, efforts are being made to provide funds from other banks to those in need of liquidity, he said at a roundtable discussion styled "Where do we want to see the banking sector?" organised by Bangla daily Prothom Alo at its office in Dhaka. "This step will play a role in controlling inflation. If you can reduce people's anger and suffering, it will be a great achievement. Even if temporary relief is obtained by printing money, the problem will not be solved. Human suffering will increase." (The Daily Star)

3.

India-Funded Projects Hit an Impasse: Work on eight rail and road projects financed by India has remained halted for one and a half months, causing further delays to the already drawn-out projects. All work ground to a halt after employees of Indian contracting and consulting firms left Bangladesh due to safety concerns following the fall of the Sheikh Hasina-led Awami League government on August 5. Finance and Commerce Adviser Salehuddin Ahmed on September 10 said projects financed by India would continue considering their importance for the country. (The Daily Star)

4.

Cricketer Shakib Fined: The securities regulator has imposed penalties on seven individuals and companies, including cricketer Shakib Al Hasan, for their role in manipulating the share price of Paramount Insurance Company. At a meeting on Tuesday, the Bangladesh Securities and Exchange Commission (BSEC) decided to fine them based on an investigation report and further inquiries made by the enforcement department of the securities regulator. BSEC Chairman Khondoker Rashed Maqsood presided over the meeting. Cricketer Shakib Al Hasan, who is also a former lawmaker, was fined Tk 5 million. (The Financial Express)

5.

Most RMG Factories Reopen: Most of the garment factories in Ashulia reopened today after manufacturers yesterday agreed to 18 negotiated demands of workers, including an increase in the attendance bonus and implementation of the minimum wage by October. Contacted, Superintendent of Industrial Police-1 Md Sarowar Alam said almost all the factories have reopened, while 19 factories remained closed. "Factories such as 'Generation Next' have remained closed due to complications over unpaid wages," Sarowar added. (The Business Standard)

6.

Policy Rate Hiked: The Bangladesh Bank (BB) has raised the policy rate, also known as the repo rate, by 50 basis points to 9.50 per cent in an effort to combat the skyrocketing inflation. The new rate will come into effect from September 25, according to a notification, issued by the Bangladesh Bank (BB) on Tuesday. The policy rate hike means banks under liquidity crunch will now have to pay more interest for loans taken from the central bank. “It would also lead to an increase in interest rates at the customer level. With rising interest rates, spending is expected to decline, which would ultimately reduce inflation,” a senior banker explained. (Bangladesh Business News)

----Saju Sarker

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