Dhaka, Bangladesh (BBN) – The BBN has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
Move fast to attract more FDI
Business leaders and analysts yesterday called for sorting out the longstanding deficiencies that dissuade overseas investors after foreign direct investment flow to the country declined for the first time in five years. The country received $1.53 billion in FDI last year, down 4.57 percent year-on-year, according the World Investment Report 2015 of the United Nations Conference on Trade and Development (Unctad). The report was unveiled in the country by the Board of Investment (BoI) at its office in Dhaka on behalf of the United Nations agency.
Export tax to go down to 0.8pc
The government is likely to reduce tax at source on export of all products by 0.20 percentage points to 0.80 per cent in the budget for the next fiscal year from the proposed 1 per cent, officials of the finance ministry said. Bowing down to pressure from the exporters, particularly from the readymade garment sector, the government has decided to reduce the export tax, they said. In the budget proposal before the parliament on June 4, finance minister AMA Muhith proposed an increase of export tax to 1 per cent for apparel and other products from the current 0.30 per cent and 0.60 per cent on export proceeds respectively.
Beximco’s another proposal submitted to BB for restructuring large loan
The state-owned Sonali Bank Limited has submitted a proposal of Beximco Group to the central bank for restructuring another chunk of large outstanding loan worth BDT 10.75 billion, officials said. Beximco, one of the largest business conglomerates in Bangladesh, has submitted this application for the restructuring the loan taken against its only one unit—Bangladesh Export-Import Company Limited. Earlier, another state-owned bank, Janata Bank Limited, had sent another proposal of the Beximco Group to the central bank for restructuring BDT 18.49 billion worth of credits against its five units.
RMG still key to Bangladesh economy
The readymade garments industry is still fundamental to the prospects of the Bangladesh economy, said a UNTACD report. “The RMG industry has been the major driver of the country’s economic development in recent decades and is still fundamental to the prospects of the Bangladesh economy,” said the World Investment Report 2014, which has been published yesterday globally. The industry is considered the “next stop” for developed-country TNCs that are moving sourcing away from China. Such opportunity is essential for development as Bangladesh needs to create jobs for its growing labour force, the report said.
Special tribunal for stockmarket starts working
The much-awaited special tribunal for the capital market recently began its judicial functions to quickly dispose of stockmarket related cases. On Sunday, the court began its activities by hearing the case against Mahbub Sarwar, which was filed by Bangladesh Securities and Exchange Commission in 2010. Justice Humayun Kabir heard the arguments. The allegation was that Sarwar disseminated false information on the share market through Facebook and many general investors were misled by it. The tribunal is located on the ninth floor at Bangladesh House Building Finance Corporation in Purana Paltan.
Move to offload more SoEs’ shares hits snag
The government’s move to offload shares of more state-owned enterprises (SoEs) has hardly made any progress, mainly due to procedural complexities and dillydallying of the authorities concerned despite repeated reminders from the top levels, officials said. “We are reminding the ministries concerned to expedite the process, and bring the SoEs, which are yet to offload their shares, in the capital market as early as possible,” a high official of the Bank and Financial Institutions Division (BFID) told the FE.
Bangladesh’s stocks extend losing streak
Bangladesh’s stocks extended their losing streak for the fifth straight sessions on Wednesday as investors remained followed cautious stance. The market opened with a positive note, but could not sustain as the session progressed. DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down further by 32.21 points or 0.71 per cent to settle at 4,457.24 points.
NSCs investment tops Tk 26,500cr in July-May
Investment in the national savings certificates and bonds surpassed Tk 26,500 crore in 11 months of the current financial year 2014-15 as people invested heavily in the tools in May due to low bank deposit rates and sluggish business climate. According to the latest Directorate of National Savings data, the net investment in the savings instruments increased by 165.14 per cent to Tk 26,562.44 crore in the July-May period compared with that of Tk 10,018.25 crore in the same period of the last financial year. The previous highest of the net investment in the savings tools was Tk 11,707.31 crore in the FY14, but a Tk 13,135-crore net investment in the first half of the FY15 broke the record.