Dhaka, Bangladesh (BBN) – The BBN (Bangladesh Business News) has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
Muhith rejects proposal to raise banks stock exposure
Finance Minister AMA Muhith has rejected Orion Group Chairman Obadul Karim’s proposal to raise the limit of stock market exposure for commercial banks along with any contract with the company on the basis of its stocks. The minister recently expressed his agreement with a Bangladesh Bank letter that argued that risks to the banking sector would increase if the limit is raised and if companies can obtain loans on their stock market holdings. However, the central bank says large business groups can obtain loans for investment in priority sectors in the country under state loan guarantee.
Pvt sector credit growth increases further
Private sector credit growth increased further in January due to higher short-term loans, availed particularly by the corporate entities, for settling their foreign currency liabilities with the banks. The growth in private sector credit flow rose to 15.61 per cent in January 2017 on a year-on-year basis from 15.55 per cent in December 2016. It was 15.01 per cent in November, according to the central bank’s latest statistics, released on Sunday.
Sonali Bank to inject Tk 171cr into UK arm
Sonali Bank has sought consent from the central bank to transfer Tk 171 crore to its operation in the UK that is suffering from cash crunch. The board of the bank has approved the transfer of the money to increase the capital of Sonali Bank (UK) to 40 million pounds, after the capital base fell to 28 million pounds in 2015, which was inadequate to run its business. Bangladesh Bank is reviewing the proposal and may give its approval, said officials at Bangladesh Bank and Sonali Bank.
BANGLADESH-INDIA-MYANMAR GAS PIPELINE PROJECT ENVISAGED
An ambitious gas pipeline project with Bangladesh and Myanmar has been revived after getting mothballed twice in the last decade. India, Bangladesh and Myanmar are now reconsidering the pipeline plan connecting the three nations, reports the Telegraph. Top officials said initially the pipeline would link Sitwe in Myanmar’s Arakan to Mizoram and Tripura in Northeast India and Chittagong in Bangladesh. The pipeline would extend to West Bengal on the Indian mainland and Assam and other Northeastern states on the eastern side.
BANGLADESH’S STOCKS EXTEND LOSING STREAK FOR 5TH DAY
Bangladesh’s stocks finished lower for the five consecutive sessions on Sunday, with turnover hitting one month low on the premier bourse, as investors continued on selling binge. Brokers said the market faced further correction as cautious investors continued on profit booking mood while some adopted ‘wait-and-see’ approach amid ongoing dividend declarations of multinational and financial companies. The market started with a negative note which continued till end of the session amid modest volatility, ultimately ended 13.66 points lower.
EEF projects to require Tk 28b fresh fund in next five FYs
Bangladesh Bank (BB) has estimated a fund requirement of Tk 28 billion in next five financial years (FYs) to meet the demands for agro-processing and ICT projects under the Equity and Entrepreneurship Fund (EEF). The central bank recently apprised the Finance Division of the projection ahead of the upcoming national budget for the next fiscal year as the EEF fund comes as a budgetary allocation, officials said.
Bangladesh will add 1.1cr new mobile users by 2020: GSMA
The country will connect another 11 million (1.1 crore) unique mobile customers by 2020, to join the league of top ten growing countries, a study by GSMA, the association of mobile operators, projected. The global organisation of all the mobile operators said within the next few years, 900 million unique mobile subscribers will join worldwide, and 72 percent of that will be from the top ten countries, according to a study report titled ‘The Mobile Economy’. A unique customer is a single user who may have a single or multiple SIMs.
India urged for another hearing on anti-dumping duty decision
Bangladesh government and businesses have requested India to arrange another hearing before taking its final decision on imposing anti-dumping duty on import of hydrogen peroxide from Bangladesh. India’s move to impose anti-dumping duty on the product came on the heels of imposition of the same duty by the country on Bangladeshi jute and jute goods on January 5 that hit hard Bangladesh’s export earnings from its neighbour. The Bangladesh commerce ministry and three local hydrogen peroxide producer-exporters separately sought a third hearing regarding the India’s latest move, officials said.