Dhaka, Bangladesh (BBN) – The BBN has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
BB seeks tax exemption for banks, FIs, insurance cos
The central bank has advised the tax authorities to make the revenue earned from investment in the zero-coupon bonds by banks, financial institutions (FIs) and insurance companies tax-free. The BB governor Dr Atiur Rahman made the suggestion in a recently-sent Demy Official (DO) letter to the National Board of Revenue (NBR) Chairman Nojibur Rahman. He requested the NBR chief to consider reintroduction of the tax exemption provision in the income tax ordinance. The government in 2007 had scrapped the provision that allowed the banks, FIs and insurers to enjoy the tax exemption facility on account of their earning from investments in the zero-coupon bonds.
Bangladesh needs Tk 14,500 crore more in next fiscal year for partial implementation of new national pay scale
The government will need around Tk 14,500 crore more in the next fiscal year for implementing the first phase of the new pay scale in line with the recommendations by the review committee on the National Pay Commission, say finance ministry officials. Of the amount, around Tk 10,000 crore will be required to pay salaries of civil servants and the rest for defence staffs and teachers getting monthly pay order (MPO). In the budget for the current fiscal year, Tk 19,040 crore has been allocated for paying salaries of civil servants, defence staffs and teachers receiving MPO. The committee led by Cabinet Secretary Musharraf Hossain Bhuiyan might submit its report to the finance minister by this week, and suggest bringing minor changes to the commission’s recommendations, a finance ministry official told this correspondent.
BB may take back hiring authority
The government plans to strip state-owned banks of the power to recruit and hire new employees and instead return the authority to the central bank. The move to re-engage the BB after more than five years into abolishing the banker’s recruitment committee, headed by the BB governor, follows after the Bangladesh Bank found gross irregularities in recruitment of new bankers in the state-controlled banks in the last five years, a senior finance ministry official said. Through empowering the BB to oversee a proposed ‘recruitment authority’ to be headed by the central bank governor, the existing separate appointment committees and interview boards of the banks concerned will be abolished, he added. Sonali, Janata, Agrani and Rupali hired around 30,000 new officials – both first class and second class – and another about 15,000 were recruited in six other specialised banks since early 2010.
Bangladesh’s stocks extend gaining streak
Bangladesh’s stocks extended their gaining streak for the four consecutive sessions Sunday, with turnover crossing BDT 5.0 billion-mark once again as investors continued to pour money into the stocks amid optimism. The market started with a flying note and remained vibrant throughout the session. DSEX, the prime index of the Dhaka Stock Exchange (DSE), crossed the 4,200-mark and ended at 4,277.05 points, after soaring 154.72 points or 3.75 percent. The two other indices also ended higher.
Govt slaps 10pc duty on rice import
The government has slapped 10 per cent duty on import of rice to ensure fair price for local farmers, said finance minister Abul Maal Abdul Muhith on Sunday. Muhith’s announcement came at a pre-budget meeting with different parliamentary standing committee chairmen at the National Economic Council Auditorium in Dhaka. ‘The import duty was imposed to protect local farmers from fall of prices of rice because of excessive import of the item,’ he said.
Bangladesh’s private sector credit growth rises slightly in March
Bangladesh’s private sector credit growth increased slightly further in March over the previous month as improving trend of the country’s political situation, officials said. The growth in private sector credit flow rose to 13.63 per cent in March from 13.61 per cent in February. It was 13.33 per cent in January 2015, according to the central bank latest statistics. “The central bank expects that the rising trend of private sector credit growth will continue in the coming months, if the political stability continues,” a senior official of the Bangladesh Bank (BB) told BBN in Dhaka.
Spinners demand warehouse facility for cotton trade
The introduction of warehousing facility for cotton trade will immensely benefit the country’s spinners, as it will reduce lead-time and ensure the timely sourcing of the fibre, industry people said. Under the facility, merchants from different countries will store cotton at warehouses at Chittagong port to sell to the local cotton importers and spinners. The merchants can also re-export the cotton from the port to other destinations.
Bangladesh slashes yield on 5-yrs savings certificates
The Bangladesh government on Sunday slashed the yield on its five-year Sanchayapatra (savings certificates) by nearly 2.0 percentage point to ease debt burden following a surge in the demand for the same from the savers. Under the revised interest rate, which will come into effect on the same day, the yield on five-year savings certificates came down to 11.26 per cent. Earlier, the interest rate on the savings certificates was 13.19 per cent.