Registration of new firms hits an all-time high
Registration of new firms in Bangladesh rose to an all-time high of 11,110 in the last fiscal year, highlighting the expansion of business activities and people’s enthusiasm about setting up fresh ventures. The figure is 24.32 per cent higher from the fiscal year of 2018-19, when 8,936 registrations were taken, according to data from the Office of the Registrar of Joint Stock Companies and Firms (RJSC).Registration obtained for setting up new companies rose 50 per cent to 9,010 in FY20 from 6,945 a year ago. Some 250 registrations were taken to establish societies and 1,827 for partnership firms, respectively up from 229 and 1,740 a year ago.In the first two months of the current fiscal year, 2,279 registrations were obtained from the RJSC, including 1,892 for companies, 45 for societies and 228 for partnership firms. Some 245,655 registrations were secured from the RJSC so far. They include 3,532 for public limited companies, 175,932 for private limited companies, 932 for foreign firms, 49,180 for partnership firms, 1,121 for trade bodies and 14,958 for societies.A data centre and a data recovery centre should be established as soon as possible to keep electronic records. It also issues certified companies of files and records. Companies need to secure permission from the agency if they want to wind up operations.
SCB first bank to issue Tk 8.50b zero coupon bond
Standard Chartered has received all the regulatory approvals for issuing BDT 8.50 billion Zero Coupon Bond. This would be the first Zero Coupon Bond issued by a foreign bank in Bangladesh. It marks another trailblazing transaction for the Bank in Bangladesh and is an important milestone in the development of Bangladesh’s debt capital market. The Zero-Coupon Bond will open up alternate investment avenues for corporates and individuals. With this offering, the Bank is leveraging strong investor confidence in its strategy and outlook, and the quality of its financial position, to increase its liquidity. The funds raised will support the Bank’s overarching mission of being a partner in progress to the nation.Standard Chartered’s issue is a non-convertible, unsecured, fully redeemable, zero coupon bond. The maturity period for the product will be 5 years from the date of issue. Green Delta Insurance Company Limited will act as the trustee for this issue.
The 35th annual general meeting of National Life Insurance Company Ltd
The 35th annual general meeting (AGM) of National Life Insurance Company Ltd was held recently on a digital platform. MorshedAlam MP, Chairman of the company, presided over the meeting while Acting Chief Executive Officer Md. Kazim Uddin and Company Secretary Mohammad Abdul WahabMian were present. The AGM approved 28 per cent cash dividend for the year 2019.
EU trade benefits may continue even after LDC graduation
Bangladesh may continue to enjoy duty-free trade benefits in the European Union for a few more years even after its graduation from the group of least developed countries (LDCs) as the pandemic fallouts have ravaged the economy.The EU is set to review its duty-free facilities under the Everything but Arms (EBA) agreementin November. Under the EBA, all imports to the EU from the LDC are duty- and quota-free, with the exception of armaments. In the meeting, the secretary will lead the Bangladesh delegation, featuring various secretaries from the labour and foreign ministries and two other government bodies that he could not immediately mention.Earlier, Bangladesh joined hands with its peer LDCs to appeal to the WTO for a continuation of the trade benefits they currently enjoy following graduation to developing nations considering the pandemic’s ill-effect on economies. Noting Bangladesh’s economic development record, the UN Committee for Development Policy (UN CDP) is scheduled to complete the final round of assessment for the country’s graduation in 2021. If the UN CDP finds the assessment positive, Bangladesh will graduate to the status of a developing country in 2024.Bangladesh’s export will decline 5.7 per cent annually if the EU’s EBA initiative is not extended as local exporters will then have to face an 8.7 per cent duty on exports to the EU. So, there is a possibility of losing more than $2 billion worth of export business annually after graduation, according to the United Nations Industrial Development Organisation. In early April, WTO economists projected a steep fall in trade in 2020, with the main question being the sheer depth of the decline.