Wednesday's morning business round up of Bangladesh

Last updated: October 14, 2015

Dhaka, Bangladesh (BBN) - The BBN has prepared the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.

ADP spending in Q1 hits 8-year low
Implementation rate of the annual development programme in the first quarter of the current fiscal year hit record low in eight years mainly due to failure of ministries and divisions with higher allocation, planning ministry officials said on Tuesday. They also attributed the low implementation to lack of capacity and unfavourable weather. According to data of Implementation Monitoring and Evaluation Division of the planning ministry, in July-September of the current fiscal year 2015-16, 53 ministries and divisions could spent only 7 per cent or Tk 6,806 crore of the total allocation for the entire year.

Business factor in our politics
President Abdul Hamid and Chief Justice SK Sinha, in their recent comments, have really spoken for the people while talking about the abnormal rise of businessmen in politics. Speaking at a programme in his home district in Kishoreganj on Monday, the president said the country's politics has “gone in the pockets of businessmen.” Undoubtedly, it is, as he said, a matter of regret.

Many RMG units unwilling to go thru ILO assessment
A good number of readymade garment (RMG) factories are still reluctant to go through fire, electrical and structural assessment being carried out by the ILO-nominated engineers under the National Plan of Action, people involved in the process said. The International Labour Organisation (ILO) recently sent a list of some 88 factories to the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) that these factories were not interested in undergoing assessment. It again sought the apparel apex body's cooperation.

Youth unemployment a big problem for Bangladesh
Youth unemployment is expected to be a major problem for Bangladesh over the next decade, according to a report released by the World Bank yesterday. The report titled “Toward Solutions for Youth Employment” released in Washington said the country was simultaneously experiencing a fall in the employment growth rate and a slow uptake in job creation. The report said the problem of youth unemployment is global, with a third of the world’s 1.8 billion young people not currently involved in employment, education or training.

Strong road links in South, Southeast Asia to boost trade: ADB
Road links between South and Southeast Asia could properly be established for a modest $986 million, which will have a huge and positive impact on trade between the regions, according to the Asian Development Bank. “The time is ripe for greater South and Southeast Asian integration through enhanced transport infrastructure, stimulating growth and boosting prosperity,” the Manila-based lender said.

BB buys $40m directly from three banks
The central bank purchased US$40 million more directly from three commercial banks Tuesday to help keep the country's foreign exchange market stable, officials said. "We've bought the US currency from the banks continuously at market rate to protect the interests of exporters and migrant workers by keeping the exchange rate of local currency against the greenback stable," a senior official of the Bangladesh Bank (BB) told the FE.

Indian raw sugar export subsidy ruled out for now, focus on white exports
Indian raw sugar export subsidies will not be renewed before state elections finish next month and mills are focused instead on exporting white sugar, trade and government sources said. India has been pushing mills to sell sugar on the international market and use the proceeds to clear huge debts they owe farmers for sugarcane. The world’s number two producer announced new rules last month making it compulsory for sugar producers to increase exports to at least 4 million tonnes in the present crushing season to cut stockpiles.

Withdraw VAT on internet prices
Internet service providers have called for withdrawing VAT on internet prices and reducing transmission costs, saying the moves will bring down expenses of end-users. The Internet Service Providers Association Bangladesh (ISPAB) also thinks more licences should be given to operate the National Telecommunication Transmission Network (NTTN). The platform urged the government to merge international internet gateway (IIG) operators with ISPs, to reduce operational costs.

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