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.
Loan defaults rise to 65,602 crore
Finance Minister AMA Muhith acknowledged in parliament last night that there were many weaknesses in the banking sector, saying it would not be easy to fix the problem. In the last 10 years, bank and non-bank financial institution disbursed loans worth Tk 6,06,503 crore to only 8,791 individuals and organisations, each of them getting Tk 10 crore and more, he said while placing a list in parliament.
Long lead times, fabric imports reduce competitiveness of woven garment exports
Increased dependence on fabrics import and a lack of proper policy on energy supply are negatively impacting the competitiveness of Bangladesh’s woven garment exports in the global market. Industry insiders and trade analysts have blamed longer lead time, poor backward linkage, the absence of value addition and modern technology and lack of proper policy support on gas and electricity connection for the decline.
Bangladesh Bank to announce monetary policy on Monday
The central bank of Bangladesh is set to unveil its second-half (H2) yearly monetary policy on Monday to achieve maximum economic growth through ensuring the quality of credits, officials said. Bangladesh Bank (BB) Governor Fazle Kabir will announce the monetary policy statement (MPS) at 2:30 pm on the day for the January-June period of the fiscal year (FY) 2017-18 to help real sectors for achieving sustainable growth with curbing inflationary pressures on the economy.
VAT returns submission eased
The National Board of Revenue has simplified the VAT returns submission process, allowing VAT-payers to file their returns by guaranteed express post, courier service and e-mail. Previously, traders or their representatives had to submit their value-added tax returns only by visiting their respective VAT circle offices.
Bangladesh’s stocks return to red after four-day
Bangladesh’s stocks returned to the red on Wednesday, after remaining upturn in the past four sessions, as cautious investor booked marginal profit on sector-wise issues. Analysts said the market backed to the red as risk-averse investor sector-wise stocks while many of them followed cautious mood, taking turnover below BDT 5.0 billion-mark again.
Board, executive management need to work in unison
The top brass are to blame for the prevailing risk culture in Bangladesh’s banking entities, say experts and suggest a top-down restructuring. Boards and top managements are an integral part of the existing risk cultures in the banks, they opined, saying “sustained change in the risk culture needs to start at the top”.
Eight banks asked to cut spread
The Bangladesh Bank has instructed eight private banks to bring down their interest rate spread to less than 5 percent — a directive the banks deem to be unfair on them. The interest rate spread is the gap between the interest rates on credit and deposit.
Govt. okays import of another1 lakh tonnes of rice
The cabinet committee on national purchases at a meeting on Wednesday approved procurement of one lakh tonnes of rice, 1,20,000 tonnes of fertiliser and premium for 14 lakh tonnes of fuel oil. Presided over by finance minister AMA Muhith at the secretariat in the capital, the committee approved a proposal from the food ministry to purchase the rice through tender won by Messrs Rashid Automatic Rice Mill quoting Tk 422.59 crore.