Govt signs 50m euro financing deal with AFD
The government recently signed a €50 million credit facility agreement with the Agence Française de Développement (AFD) to accelerate Bangladesh’s economic transition to a green economy. The fund will finance projects related to energy efficiency, renewable energy and women entrepreneurship through Bangladesh Infrastructure Finance Fund (BIFFL).It aims to increase the volume of investments in energy efficiency and renewable energy production in Bangladesh and the dissemination of such investments in those areas within the private sector. The development comes amid Bangladesh’s failure to achieve its target to raise the share of renewable energy in total power generation to 10 per cent by 2020 due to a lack of resources, technology and policies. Currently, about 767 megawatts of electricity are generated from renewable sources, accounting for 3.3 per cent of the total electricity produced. The Renewable Energy Policy 2008 had set a goal for renewable sources to account for 5 per cent of the electricity generated by 2015 and 10 per cent by 2020.In the Eighth Five-Year Plan, the target was revised for the 10 per cent minimum to be attained by 2025.The amount of loans disbursed by Bangladesh Infrastructure Finance Fund at present stands at Tk 3,800 crore.
DSE daily turnover hits 11-year high
The daily trade turnover on the Dhaka Stock Exchange (DSE) soared to a fresh high in about 11 years on Monday, as the buoyant investors put fresh funds on stocks after the market regulator extended credit facilities further to the investors. The Dhaka bourse also saw fresh records in three indices, market capitalisation and trade volumes. Turnover, a crucial indicator of the market, stood at Tk 29.54 billion on the country’s premier bourse, in a further buck by 11 per cent over the previous day’s tally of Tk 26.62 billion. It happened to be the biggest single-day transaction in the DSE after about 11 years since December 5, 2010, when daily turnover recorded the all-time high of Tk 32.49 billion. Monday’s daily turnover was also the fourth highest single-day transaction in the DSE’s history. The bourse witnessed the highest turnover of Tk 32.49 billion on December 5, 2010, the second highest turnover was Tk 32.08 billion on October 31, 2010, and the third highest turnover was Tk 31.79 billion on December 2, 2010. Two other indices – the DSE 30 Index and the DSE Shariah Index (DSES) – followed the suit to close at their historical highs of 2,427 and 1,468, after rising 0.05 point and 9.79 points respectively. The DSE launched the DS30 index on January 27, 2013 with a base point of 1,460.30, while the DSES was introduced on January 20, 2014 with a base point of 941.27. The Bangladesh Securities and Exchange Commission (BSEC) on Thursday revised the limit of margin loan facilities based on the DSE key index – at a maximum rate of 1:0.80 when the DSEX is below 8,000.
Dhaka seeks to borrow $500 million from AIIB
Dhaka has sought US$500 million worth of funds from the Asian Infrastructure Investment Bank (AIIB) for defraying the buy of COVID-19 vaccine, officials said Monday, as Bangladesh grapples with the virus surge.Meanwhile, the Asian Development Bank (ADB) tops the lists in terms of financial help to Bangladesh in vaccine procurement as it has already offered a big sum of $940 million in loan. In June this year, the Manila-based lender approved the $940-million loan. Besides, the World Bank (WB) Board in March this year had also offered $500 million worth of loan for Bangladesh for importing vaccines.Under the ‘Bangladesh Responsive COVID-19 Vaccines for Recovery Project’, both the Asian development-financiers (ADB and AIIB) would invest US$1.44 billion. According to the official sources, some 22.88 million doses of jabs have been administered in Bangladesh. Of the total, over 15.46 million was administrated as the first dose and 5.43 million given as the second dose.
Chinese co to invest $6m in Dhaka EPZ
Kaixi Fashion Bangladesh Company Limited, a renowned Chinese company, is going to establish a Lingerie manufacturing industry in Dhaka Export Processing Zone (DEPZ) with an investment of US$ 6.0 million, reports BSS. Member (Engineering and Investment Promotion-additional charge) of Bangladesh Export Processing Zones Authority (BEPZA) Mohammad FaruqueAlam and Managing Director of Kaixi Fashion Xiao Hongxi signed an agreement to this end at BEPZA Complex on Monday. Executive Chairman BEPZA Major General MdNazrul Islam was present on the occsion.The company will produce 24 million pieces of ladies undergarments annually. It will create employment opportunities for 2031 Bangladeshi nationals.