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.
Decent GDP growth amid extraordinary circumstances
In the end, the final data from state-run Bangladesh Bureau of Statistics (BBS) shows the economy grew at a respectable 5.2 per cent last fiscal year, when large swathes of the global economy plunged into recession for the outbreak of coronavirus from Wuhan, China. The Washington-based multilateral lenders — the World Bank and the International Monetary Fund — forecasted that the economy would grow between 1.6 per cent and 3.8 per cent in fiscal 2019-20 for the pandemic-whiplash, while the Asian Development Bank said the Bangladesh economy would expand at 4.5 per cent. But, the economic locomotive of Bangladesh appears to have outpaced all projections.
Banks seek Tk 18 million as interest subsidy
The banks which have disbursed working capital to industrial and service sector units under the government’s Covid-19 recovery package have sought over Tk 18 million as interest subsidy in the April-June quarter. They have provided the loans under the Tk 300 billion incentive package which was announced by the government on April 5 to provide working capital at on interest rate of 9.0 per cent. Of the 9.0 per cent interest, the borrowers will pay 4.5 per cent and the government will provide 4.5 per cent as a subsidy to the banks which are disbursing the loans.
Loan disbursement thru agent banking close to nil in April
Loan disbursement through agent banking in April came down close to nil as banks found disbursement of loans through the agent banking channel at the rate of 9 per cent insufficient to realise even the operating cost, including the cost of fund. In April this year, the government enforced the 9 per cent ceiling on the lending rate.
Bangladesh’s denim overtakes Mexico, China in US
Bangladesh outperformed Mexico and China to become the largest denim exporter to the United States in the first half of this year though export proceeds dropped from a year-ago period owing to the Covid-19 pandemic. Industry insiders have said Mexico and China have lost more than half of their exports to the US market during the period, which helped Bangladesh reach the first place.
NBR’s tax receipt falls Tk 7,044cr short of target in July
The National Board of Revenue began the new fiscal year 2020-2021 with a shortfall in revenue collection in July, the first month of the year, by Tk 7,044 crore of the collection target set for the month. According to the provisional data of the revenue board, tax officials managed to collect Tk 12,335 crore in July against the collection target of Tk 19,379 crore.
Biman makes loss on misstep amid virus
Biman Bangladesh Airlines incurs additional losses during the coronavirus pandemic due to lack of planning. After three months of suspension of regular flight operations, the government permitted resumption of international flights from June 16 on a limited scale.
Tk5,000C stimulus for farmers: Banks disburse only Tk490C in four months
Banks are very slow in disbursing loans to the agriculture sector from the Tk5,000 crore stimulus fund, despite the sector being badly affected by the protracted pandemic and flooding. As per the latest Bangladesh Bank (BB) data, the country’s banks disbursed only Tk590.40 crore to the farm sector from the stimulus fund till July this year. Of the total disbursed loans, Bangladesh Krishi Bank alone has disbursed Tk304 crore.
Chinese firm to invest $300m to set up plasma fractionation plant
The good news on the economic front has started to roll in once again, with the latest being China-based Oryx Biotech’s announcement to invest $300 million to set up a plasma fractionation plant in Bangladesh. The company yesterday inked the tripartite agreement with Summit Technopolis, a company of Summit Group, and the Bangladesh Hi-Tech Park Authority (BHTPA) for the country’s first biotech investment at a programme at the ICT Division in Dhaka.