Dhaka Bank launches ‘eRin’ app

Dhaka Bank recently launched an “eRin” app through which a customer can apply for an unsecured personal loan of up to Tk 50,000 for disbursement within two hours on banking days. Customer can apply for the loan 24 hours a week anywhere from Bangladesh without submitting any physical documents.EmranulHuq, managing director of Dhaka Bank, and Syed Ali Jowher Rizvi, chairman of CASHe Alliance (technology partner), inaugurated the product at the bank’s head office in Dhaka, said a press release.Mohammad Abu Jafar, additional managing director, Deepak HazarilalSaluja, vice-chairman of CASHe Alliance, and LutfeMawlaAyub, director, were present.

Source: https://www.thedailystar.net/business/economy/news/dhaka-bank-launches-erin-app-3297681

Fuel prices to be adjusted to global market from Sept

The government is set to implement a new formula-based price adjustment mechanism for fuel oil prices starting this September, following recommendations from the International Monetary Fund (IMF). This step is being taken to comply with the IMF-set conditions for a $4.7 billion loan, which requires the reduction of subsidies. However, the government is keen to start implementing the mechanism before the scheduled time, with a trial review of international fuel prices having already taken place based on the formula.Bangladesh received $476.2 million in the first tranche of the IMF loan in February this year.In August of last year, the government increased the prices of petrol and octane by 50% and diesel and kerosene by 36% due to a surge in international market prices caused by the Ukraine-Russia war.According to the Finance Division’s estimates, Tk17,000 crore has been earmarked for subsidies in the power sector in the current fiscal year’s main budget. But, the Power Division has sought an additional allocation of Tk32,500 crore. Finally, an additional allocation of Tk6,000 crore has been made in the revised budget.To alleviate budget pressures, the government in August 2022 raised prices for petrol and octane by close to 50%, and prices for diesel and kerosene by 36% on top of a 23% increase in November 2021, helping keep domestic fuel prices broadly aligned with international prices.

Source: https://www.tbsnews.net/economy/fuel-prices-be-adjusted-global-market-sept-617086

Import payments drop 39% in March

Import restrictions imposed by the central bank resulted in a 39% drop in import payments in March and a 45% decrease in LC (letter of credit) opening compared to the same period a year ago.According to Bangladesh Bank data, LC settlements in March of the current fiscal year totalled $4.85 billion, a 38.92% decline from $7.94 billion in the same month the previous year.Besides, LC settlement in the July-March period of the current fiscal year was $57.05 billion, which was $60.61 billion in the corresponding period last year – a 5.87% drop in nine months.Meanwhile, LC openings contracted by $4.3 billion (45.21%) to $5.21 billion in March’s previous fiscal’s $9.51 billion.The central bank says the opening of import LCs and probable liabilities against back-to-back LCs are projected at $14.21 billion and $2.41 billion, respectively, for the period of March-May of FY23. Of this, LCs worth $4.74 billion are likely to be opened in April and $4.67 billion in May. However, in March, import LC opening exceeded the central bank’s estimate by about $500 million.

Source: https://www.tbsnews.net/economy/import-payments-drop-39-march-616422

Import payments drop 39% in March

Import restrictions imposed by the central bank resulted in a 39% drop in import payments in March and a 45% decrease in LC (letter of credit) opening compared to the same period a year ago.According to Bangladesh Bank data, LC settlements in March of the current fiscal year totalled $4.85 billion, a 38.92% decline from $7.94 billion in the same month the previous year.Besides, LC settlement in the July-March period of the current fiscal year was $57.05 billion, which was $60.61 billion in the corresponding period last year – a 5.87% drop in nine months.Meanwhile, LC openings contracted by $4.3 billion (45.21%) to $5.21 billion in March’s previous fiscal’s $9.51 billion.The central bank says the opening of import LCs and probable liabilities against back-to-back LCs are projected at $14.21 billion and $2.41 billion, respectively, for the period of March-May of FY23. Of this, LCs worth $4.74 billion are likely to be opened in April and $4.67 billion in May. However, in March, import LC opening exceeded the central bank’s estimate by about $500 million.

Source: https://www.tbsnews.net/economy/import-payments-drop-39-march-616422

NurunNahar becomes BB deputy governor

NurunNahar has recently been appointed as deputy governor of Bangladesh Bank for a three-year term. Nahar became the second woman to hold this post of Bangladesh Bank. Nazneen Sultana was the first female deputy governor.NurunNahar obtained a BSc degree from the University of Dhaka in 1984 and an MBA degree from Asia University of Bangladesh in 2001. She joined Bangladesh Bank in 1989 as an assistant director. She was born in Dhaka in 1965.

Source: https://www.thedailystar.net/business/economy/banks/news/nurun-nahar-becomes-bb-deputy-governor-3296796

Asian bonds draw biggest foreign inflows in over a year

Asian bonds secured their biggest monthly foreign inflows in thirteen months in March on hopes that major central banks would end their rate-hike cycle soon to boost the economies from a slowdown, reports Reuters. Foreigners purchased a net $4.52 billion worth of bonds in India, Indonesia, Malaysia, South Korea and Thailand, marking their biggest monthly net purchase since February 2022, data from regulatory authorities and bond market associations showed. They received $2.7 billion in the first quarter of the year, their first quarterly inflow in a year.Malaysian, Indonesian and Thai bonds also obtained $1.5 billion, $700 million and $283 million worth of inflows, respectively. Meanwhile, investors sold a net $307 million worth of Indian bonds after two months of buying in a row on concerns over the absence of an extension for the concessional withholding tax rate. The government did not extend the concessional tax rate of 5 per cent on income from rupee-denominated bonds, which were making investments in the country more attractive. Ending this treatment would require them to pay a 20 per cent tax on interest income from July 1.

Source: https://today.thefinancialexpress.com.bd/stock-corporate/asian-bonds-draw-biggest-foreign-inflows-in-over-a-year-1681573651