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.
Govt-backed loans for state enterprises rise to Tk 60,653cr
Taxpayer-guaranteed loans for Biman Bangladesh Airlines more than doubled to Tk 10,279 crore as the state-run carrier took credits to buy new Boeing aircraft. The guaranteed amount stood at Tk 4,937 crore last fiscal year. The carrier received guarantees from the government for the loans from JP Morgan, US Exim Bank, Sonali Bank and HSBC.
Lull in stocks investment though 14 banks form Tk 1,700cr funds
The trend of investment in the country’s stock market has remained very pessimistic amid the coronavirus pandemic though 14 banks have formed special funds involving around Tk 1,700 crore for investing the funds in the market. Of the banks, Sonali Bank, Janata Bank, Agrani Bank, National Credit and Commerce Bank, One Bank, United Commercial Bank and Mercantile Bank have formed Tk 200 crore in stocks fund each, an official of Bangladesh Bank said.
No source tax on govt securities, BB urges MoF
The central bank has recommended the Ministry of Finance (MoF) not to impose the proposed source tax on the government securities, whose trading is set to start in the stock market within a couple of months. If the proposed tax measure is executed, trading of the government-approved securities, particularly in the secondary market, may fall drastically. It will hamper development of the bond market in the country, the Bangladesh Bank (BB) said in its recommendations.
Low-income people leaving Dhaka
A to-let sign was hanging on a tin-shed shanty at Bagichartek slum, adjacent to Hatirjheel area of the capital. Locals said the former tenant, who had three family members, recently went to their village home as he failed to finance his livelihood in the city. The man used to run a tea stall. The virus-led shutdown shuttered the shop, pushing his family to the verge of starvation. At last, they packed their belongings and headed back to their ancestral home.
75 firms get BB nod to borrow funds from stimulus package
Seventy-five companies, including some large groups, have secured approval from the central bank to receive low-cost loans under the stimulus package dedicated to big borrowers in the industrial and service sector. Banks have begun applying to the central bank from May 4, seeking consent so that the companies can get the funds as they set off to make a turnaround from the ongoing economic fallout brought on by the coronavirus pandemic.
Stocks end nearly flat, turnover remains low
Stocks finished flat on Monday amid sluggish turnover as growing virus fears and the ‘floor price’ system kept the investors at bay.DSEX, the key index of the Dhaka Stock Exchange, saw a fractional loss of 0.93 point to settle at 3,962 during the three-hour trading session. The DSE core index is hovering between 3,950 and 3,970 points in the past two weeks amid worsening virus situation, floor price limitation and disappointment over the proposed budget.
Banks, NBFIs asked to go for quick loan disbursement to CMSME sector
The Bangladesh Bank (BB) on Monday asked banks and non-bank financial institutions (NBFIs) for quick loan disbursement in the cottage, micro, small and medium enterprises (CMSME) sector. “The loan disbursement activities of banks and NBFIs to the CMSME sector under the stimulus package are not yet satisfactory,” said a BB circular issued on the day. Supervision on loan disbursement activities under the stimulus package should be strengthened, it added.
NBR expects Tk 2,000cr as it scraps duty waiver on furnace oil import
The National Board of Revenue is expected to get Tk 2,000 crore in customs duty on furnace oil import as the national budget for the fiscal year 2020-2021 proposed scrapping of the duty-free import facility for the item used mainly in power plants. Customs duty at the rate of 12 per cent became applicable to import of the product from June 11, the day of the budget announcement, following the withdrawal of the benefit.