Trade-based money laundering threat to economy
Trade-based money laundering (TBML) is a silent killer that is undermining the very foundations of Bangladesh’s economic growth. As an emerging economy and, more so, an expanding trading nation that is going through LDC graduation, Bangladesh is particularly vulnerable to TBML. This illicit activity is weakening financial institutions, eroding foreign currency reserves, and undermining international trade, leaving the country’s economy in shambles and stakeholders in despair. TBML, also known as trade mis-invoicing, has become rampant primarily to evade taxes and hide the source of illicit funds. By using over-invoicing technique, the value of goods or services is artificially inflated, allowing the launderer to move more money out of the country than would otherwise be possible. The opposite of this trade involves artificially deflating the cost of goods or services on invoices, thereby evading tax. Mis-invoicing is also largely used where goods or services are misclassified on invoices to avoid customs duties or taxes. For example, declaring a shipment of machinery as “machinery parts” instead of “machinery”.
Shipping ministry to implement 35 projects involving Tk 70.75b
The Ministry of Shipping will implement 35 projects during the ongoing fiscal year of 2022-23 (FY 23) involving a cost of over Tk 70.75 billion. Of the total projects, 31 are under annual development programme (ADP) while three are managed by the ministry’s own finance. The remaining one is a scheme project. Out of the total allocation, over Tk 63.02 billion is being allocated under ADP while over Tk 7.72 billion is allocated from the ministry’s own fund. Of the total 31 projects under ADP, 13 projects belong to Bangladesh Inland Water Transport Authority (BIWTA) while five for Bangladesh Land Port Authority, one for the National Maritime Authority, one for the National River Conservation Commission, one for the Chittagong Port Authority, two for the Payra Port Authority, one for Bangladesh Inland Water Transport Corporation (BIWTC), one for the Department of Shipping, one for Bangladesh Marine Academy and five for the Mongla Port Authority. A high official of the shipping ministry said the ministry at a meeting on Thursday discussed the progress of the projects taken for FY 23.
Stock market gained over Tk 101.85b capital last week
The stock market has passed the fourth week of the current month (January) with a capital gain of Tk 101.85 billion in four days, according to the capital market’s data analysis on Saturday. The capital of Dhaka Stock Exchange (DSE) was Tk 7.56 trillion at the beginning of trading on the first working day of last week. On the last day, after the transaction on Thursday, the capital stood at Tk 7.67 trillion, an increase of Tk 101.85 billion. The capital gain of the stock market in the previous week was Tk 21.49 billion in the previous week, says a UNB report. The investors’ capital increased in the market for two consecutive weeks. In the past week (January 22 to 26), trading was done on five working days. The first trading day marked a fall in the index, followed by a rise in the index in the next four consecutive days. During this period, a total of 387 shares and units were traded in DSE. Among them, 63 companies’ share prices increased, 119 decreased and 205 unchanged. Among the companies traded in the previous week, 114 rose, 68 fell and 205 remained unchanged. The number of companies reducing prices has increased compared to the previous week.