Bangladesh forex reserves increases by $318m to reach $19.53b

Bangladesh’s foreign exchange reserves rose by US $318 million in the span of a week to hit $19.53 billion on 19 June. Bangladeshi expatriates have sent about $1.65 billion as remittances in the first 14 days of this month ahead of Eid-ul-Adha. According to the latest update of Bangladesh Bank, the foreign exchange reserves was $19.21 billion on June 12. The reserves increased to $19.53 billion on June 19. The foreign exchange flow will continue to rise in the coming weeks as the country is set to receive $1.65 billion from the International Monetary Fund (IMF) and the World Bank before the end of this June. The IMF may release $1.15 billion in the third instalment of its $4.7 billion loan in the last week of June while the WB is going to provide $500 million in budget support. This may send the reserves above $21 billion.

Source: https://www.tbsnews.net/economy/bangladesh-forex-reserves-increases-318m-reach-1953b-thanks-additional-remittances-880711

Bangladesh receives $900 million in World Bank loans for two projects

The World Bank has approved two projects totaling $900 million to help Bangladesh strengthen fiscal and financial sector policies and improve urban infrastructure and management to ensure sustainable and climate-resilient growth. The Second Recovery and Resilience Development Policy Credit ($500 million)—the last in a series of two credits—supports fiscal and financial sector reforms to accelerate sustainable growth and build resilience to future shocks, including climate change. It will help institutionalise the public procurement authority responsible for the electronic government procurement (e-GP system), which will cut down the average e-GP procurement lead time from 70 days to 55 days.

Source: https://www.thedailystar.net/business/news/bangladesh-receives-900-million-world-bank-loans-two-projects-3638851

BSRM set to launch new $217m steel plant this month, targeting 34% market share

Leading steel manufacturer BSRM is gearing up to launch its $217 million new plant in Chattogram’s Mirsarai by late June or early July. With an annual production capacity of 8 lakh tonnes, this facility aims to raise the company’s share in the local steel market to 34% from 23% now and cater to rising demands for steel products. To set up the new re-rolling plant, BSRM secured  $50 million in low-cost loans from the Japan International Cooperation Agency (Jica), making it Bangladesh’s first private sector recipient under the Japanese agency’s green industrialisation initiatives. According to BSRM, the total cost of the new factory construction project is estimated at $217 million (equivalent to Tk2,500 crore). Out of this amount, Jica lent $50 million, with the loan to be repaid over 12 years. The loan agreement was signed on 4 October last year. Additionally, India’s Export-Import Bank (Exim) has provided a $20 million loan for 12 years; Standard Chartered Bank of Singapore has given $13 million for seven years; and BRAC Bank has loaned $25 million for seven years. All of this credit was given in foreign currency.

Source: https://www.tbsnews.net/economy/industry/bsrm-set-launch-new-108m-steel-plant-month-targeting-34-market-share-880041

City Bank gets $30m from OPEC Fund

City Bank recently signed an agreement with the OPEC Fund for International Development for a loan of $30 million to support global trade by providing financing to importers and exporters in Bangladesh, especially in the agriculture and green energy sectors. By partnering with City Bank to provide trade finance to suppliers in Bangladesh, the OPEC Fund will facilitate the flow of goods at a time of supply chain disruptions, thus addressing food insecurity pressures and climate change.

Source: https://www.thedailystar.net/business/economy/banks/news/city-bank-gets-30m-opec-fund-3639241

BRAC Bank signs deal with WeGro Technologies to provide financing to farmers

BRAC Bank has signed an agreement with WeGro Technologies Ltd to facilitate financing for smallholder farmers across Bangladesh. This deal aims to provide affordable loans to farmers, empowering them to enhance their agricultural projects and contribute to the country’s agricultural development, according to a press release. WeGro Technologies operates across 29 zones in Bangladesh. Since its inception in 2021, it has connected institutional financiers with over 5,000 farmers.

Source: https://www.thedailystar.net/business/organisation-news/news/brac-bank-signs-deal-wegro-technologies-provide-financing-farmers-3635266

Mutual Trust Bank signs deal with D Money Bangladesh

Mutual Trust Bank PLC (MTB) launched a new partnership with D Money Bangladesh Ltd for a range of digital services. The inauguration ceremony took place at the MTB Centre, the bank’s corporate head office in the capital’s Gulshan.

Source: https://www.thedailystar.net/business/organisation-news/news/mutual-trust-bank-signs-deal-d-money-bangladesh-3634006