Dhaka, Bangladesh (BBN)- The Bangladesh Business News (BBN) prepares the morning business round up compiling reports, published by different newspapers and news portals in Bangladesh.
ADP goes up by 22pc: The National Economic Council on Tuesday approved a mammoth Tk 80,315 crore annual development programme for the coming fiscal year 2014-15 allocating Tk 8,100 crore for Padma bridge construction. Although the planning commission placed a proposal for approving a Tk 79,031 crore ADP for FY15, the size of the ADP was increased by Tk 1,284 crore as per the directive of prime minister Sheikh Hasina who chaired the NEC meeting at its conference room in Dhaka. Economists have already expressed scepticism about the implementation of the huge ADP for the next fiscal year, which is 22 per cent higher than that of last fiscal year, as the country’s revenue earning has been in a slow-lane for the last few months because of political tension and uncertainties. The government is struggling to implement the Tk 65,870 crore ADP for the current fiscal year as it has already cut down the size of the outlay to Tk 60,000 crore.
Government in a fix over rationalising corporate tax rates in budget: The government is still in a dilemma over rationalising the corporate tax rates in the budget for the upcoming fiscal year (FY) fearing a significant loss in revenue collection with cutting of higher slabs. The National Board of Revenue (NBR) may consider cutting of tax rates for non-listed companies but is unlikely to slash the higher slab of 42.5 per cent rate, officials said. A senior tax official said the government is likely to bring down the tax rates for non-publicly traded companies to 35 per cent from existing 37.5 per cent. "Revenue loss will not be significant on a cut in the tax rates for non-listed companies but it will be quite impossible to slash higher slab," he said.
Safety in garment factories not as bad as thought: A significant proportion of garment factories abide by workplace safety standards but there are still some critical safety concerns that need urgent attention, a recent survey found. Following the recent spate of accidents in the sector, the ministry of labour and employment commissioned the Bangladesh Institute of Development Studies to conduct a comprehensive assessment of the current state of the garment sector with respect to industrial relations, workplace safety and compliance. The study found that about 80.8 percent of the buildings had approved structural designs and 85.9 percent approved factory layouts. It has been found that 92 percent of the factories have updated fire safety licences. Almost all the factories do have valid fire extinguishers and maintain records of fire-fighting demonstration.
Sri Lanka inks deal with Bangladesh to expand port, naval facilities: Sri Lanka has signed an agreement with Bangladesh for expansion of port and naval activities. This agreement has been signed recently when the Chairman of the Sri Lanka Ports Authority Dr Priyath Bandu Wickrama and a naval delegation met with the Minister of Naval Affairs of Bangladesh Sahajan Khan, reports slbc.lk.
Imports rise 14pc in nine months: The country's overall imports grew by more than 14 per cent in the first nine months of the current fiscal year (FY), 2013-14, thanks to a 140.21 per cent rise in import of food grains, officials said. "The overall imports increased during the period under review mainly due to higher import of food grains along with consumer goods, capital machinery and industrial raw materials," a senior official of the Bangladesh Bank (BB) told the FE Tuesday. The actual import in terms of settlement of letters of credit (LCs) increased by 14.12 per cent to US$ 27.37 billion during the July-March period of FY '14, from $23.99 billion in the corresponding period of the previous fiscal, the BB data showed.
Govt may allow legalising money in productive sectors: The upcoming budget is likely to offer facility for legalising undisclosed money through investing in productive sectors to boost private sector investment. The latest stance of the government, though contrary to the statement made by finance minister AMA Muhith last week against legalising tainted money in the formal economy, came during a high level meeting between Prime Minister Sheikh Hasina and top revenue board officials. The meeting on framing the budget for 2014-15 was held at Gano Bhaban on Sunday evening. The crucial meeting, also attended by Muhith and NBR chairman Md Ghulam Hossain, continued from 8 pm to 12 pm, sources confirmed. The budget, slated to be unveiled in parliament on June 5, is also likely to shield the taxpayers who will legalise their ill-gotten money after paying nominal tax from the harassment of anti-graft agency, a senior tax official said.
26 new products to receive BB's green finance: Bangladesh Bank has included 26 new products under its revolving refinance scheme for solar energy, biogas and effluent treatment plants to give loans at low interest. The banking regulator incorporated renewable energy, energy-efficient technology, waste management, alternative energy and non-fire block brick in the scheme. The loan limit for the products range from Tk 1.5 lakh to Tk 30 crore, the central bank said in a notice yesterday. The inclusion of the new products came as part of the BB's efforts to expand renewable energy and environment-friendly technology.
Currently, 18 products are getting the low-cost loans under the scheme.
BBN/SSR/AD-21May14-8:32 am (BST)