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.
India wants to export 60MW surplus power at high price
India wants to export another 60MW surplus power from its North-Eastern states to Bangladesh at approximately Tk 6.5 per unit or kilowatt-hour of electricity, which is Tk 1 higher than the country’s average cost of power generation. The electricity would be supplied from Palatana 726MW gas-fired power plant using the trans-border grid which now supplies 100MW power from Tripura to southern part of Comilla, which includes the district’s load centre covering Comilla south sadar, Jangalia and BSCIC area, said officials.
Governor terms NPL situation alarming
Overall non-performing loan (NPL) situation in the state-owned commercial banks, hitting a 25-percent high, emerged as “alarming”, said Bangladesh Bank Governor Fazle Kabir. The central-bank chief also noticed the SOCBs’ credits concentrated in some few business groups. Only four big businesses hold 25 per cent of total loans one of the state-owned banks–Janata Bank-he cited as an example of problems with the banking performance.
IFIC Bank allowed to transfer $12.28m to its Nepal venture
Bangladesh Bank has allowed IFIC Bank to transfer $12.28 million (nearly Tk 98 crore) to buy rights shares in Nepal Bangladesh Bank, a commercial bank IFIC set up in 1994 with Nepalese entrepreneurs. The central bank last month declined to give IFIC the green light for the fund transfer on the grounds that profit repatriation from NB Bank was significantly lower than its investments. Instead, it advised IFIC to provide the capital by selling the bonus shares received as dividends for fiscal 2015-16. The central bank also asked IFIC to repatriate the rest of the money after buying the rights shares.
BANGLADESH’S BANKS BARRED TO RECEIVE BLANK CHEQUES FROM CLIENTS
Bangladesh’s commercial banks are barred from receiving blank cheques as collateral from their clients against loan or investment to check fraud and forgery. The Bangladesh Bank (BB), the country’s central bank, issued a directive in this connection on Sunday and asked the managing directors and chief executive officers of all of the scheduled banks not to entertain Non-Magnetic Ink Character Recognition (MICR) cheque as security.
MCCI: Withdraw source tax on remittance of foreign sales agents, technical expertise
Metropolitan Chamber of Commerce and Industry (MCCI) urged the government to withdraw 20% source tax on remittance of foreign sales agents and technical know-how or royalty payments. The chamber also called for withdrawal of 6% ceiling on the import of machinery based on the sales of previous year. MCCI president Nihad Kabir came up with the call while addressing the first quarterly luncheon meeting of 2017 in the capital yesterday.
BANGLADESH’S STOCKS EXTEND WINNING SPELL FOR FIFTH DAY
Bangladesh’s stocks extended their winning spell for the five consecutive sessions on Sunday as optimistic investors continued their buying spree. Analysts said stocks continued to maintain upward trend as buying interest spurred the sector specific issues amid optimism. The securities regulator’s positive decision, for extending the timeframe of suspension of effectiveness of a provision of margin rules for the next six months, also created optimism among the investors.
VAT honour cards for traders filing regular returns
The National Board of Revenue is going to offer value-added tax honour cards to traders filing VAT returns regularly to encourage them to be tax compliant, officials said. They said that VAT honour card holders would get some social, financial and legal benefits like discount in shopping and in receiving some services. Traders without honour cards will be barred from participating in economic activities including participating in tender, getting bank loans, supplying goods and services to any source VAT deducting agencies and renewing bond licence.
Apparel exports to US decline
Bangladesh’s apparel exports to the US, its single largest destination, declined 1.96 percent year-on-year to $5.49 billion, due to the volatile US economy and the recent presidential election. Bangladesh exported $5.92 billion worth of goods to the US in 2016, down from $6 billion a year ago, according to data from the US Department of Commerce. Garment items account for 95 percent of the goods exported from Bangladesh to the US market.