Prospects brighten for GSP Plus as EU changes rules
Bangladesh’s prospects of keeping exporting to the European Union duty-free have brightened as the bloc has proposed to update rules to allow a growing number of graduating LDCs to qualify for the preferential trade benefit. A least-developed country’s share in the EU’s total import can’t be more than 7.4 per cent to qualify for the duty-free export facility under the region’s Generalised Scheme of Preferences (GSP).But on September 22, the European Commission, the executive branch of the EU, dropped the threshold in the proposed new GSP scheme.The review also aims to facilitate access to the GSP Plus arrangement for the growing number of LDCs graduating from the Everything But Arms (EBA) facility.Bangladesh is set to graduate from the grouping of the LDCs in 2026. The government has been lobbying for the GSP Plus status to retain the duty benefit.The new proposal will be final when adopted by the European Parliament and the EC. Adoption could take place in the last quarter of 2022. The new GSP regulation is expected to enter into force on January 1, 2024, according to the website of the EC. The current scheme expires by the end of 2023.The new scheme for the LDCs and developing countries will run for 10 years from 2024 to 2034.
DSEX jumps over 35pc in nine months
The benchmark index of Dhaka Stock Exchange (DSE) posted over 35 per cent gain in the first nine months of this year as institutional investors have put fresh funds on large-cap stocks. The key DSEX index now holds its firm position at above 7,000-point level as buoyancy has added strength to the equity indices amid growing investor confidence, market insiders said. Since January 1, 2021, the DSEX has surged by 1,927 points or 35.67 per cent to settle at 7,329 on September 30, the highest since its launch about nine years back. The DSEX, designed by Standard and Poor’s (S&P) based on free-float method, was introduced on January 27, 2013, replacing the then key index-DGEN. The DGEN had hit its all-time high at 8,918 recorded on December 5, 2010, when the market saw a bull run before a crash. Two other DSE indices also soared during the nine-month period. The blue-chip DS30 index, which groups 30 prominent companies, gained 38 per cent or 747 points to finish at 2,710 while the DSE Shariah Index climbed 28 per cent or 350 points to close at 1,592 on September 30.Market capitalisation of the prime bourse also rose by Tk 1,333 billion or nearly 30 per cent during the period under review to reach 5,815 billion on Thursday, the last trading day in September. The daily turnover, another important yardstick, clocked in at about Tk 20 billion on an average during the January-September period.The Chittagong Stock Exchange (CSE) also performed well in the nine months ended on September 30, 2021, with the CSE All Share Price Index (CASPI) soaring 5,785 points to settle at 21,377 and the Selective Categories Index (CSCX) rising 3,432 points to close at 12,835 on September 30.
Global Business Summit held in Dubai
The Second Global Business Summit was held in Dubai, United Arab Emirates. Minister for Expatriate Welfare and Employment Mr. Imran Ahmed inaugurated the Summit as chief guest Wednesday at Crown Plaza Hotel, Sheikh Zayed area of Dubai. Commerce Minister. Mr. Mahtabur Rahman highlighted the potential for investment and expatriates in Bangladesh and demanded the creation of a separate economic zone for expatriates and also demand for 4.0 per cent incentive for sending remittance instead of 2.0 per cent. In reply, both Ministers said : All kinds of demands of non-resident Bangladeshis will be presented to us through NRB CIP Association, we will look after these issues carefully.