Dhaka Bank held Business Review Meeting-2021 for Sylhet Region Branches
Dhaka Bank Limited held the Business Review Meeting-2021 for its Sylhet Region Branches at Nazimgarh Garden Resort in Sylhet recently, with Abdul Hai Sarker, chairman of the bank, as the chief guest. Managing Director & CEO Emranul Huq presided over the meeting.
FDI inflow rises marginally
Foreign direct investment to Bangladesh rose 6 per cent year-on-year to $2.51 billion in the last fiscal year, continuing the recent trends whereas peer countries secured a higher level of investment from external investors. The FDI flow has been far lower than expected because of strict regulations and bureaucratic complexities. Fresh investment, or equity capital, did not arrive as expected in 2020-21. Foreign companies operating in Bangladesh largely reinvested their earnings in the year, helping the country keep its FDI trend stable. FDI in the field of equity capital rose 12.08 per cent to $816 million, disappointing analysts as it remains less than $1 billion.Reinvestment of earnings stood at $1.58 billion, up 4.63 per cent year-on-year, data from the Bangladesh Bank showed. Intra-company loans dipped to $105 million in contrast to $1.32 billion in FY20.The government had targeted to attract $32 billion in FDI during the seventh five-year plan period stretching from FY16 to FY20. But, the country had managed to receive less than $10 billion.In a positive development, the government has reduced the lock-in period for foreign investment to one year from three years. It means investors, who hold 10 per cent shares in a company or directorship, are not allowed to sell the stake within the stipulated period.Regulators still take more time in the name of scrutiny when it comes to granting approval to foreign investors. In some cases, foreign investors are forced to change their plan as they have to complete the process within a certain period set by their parent companies.
Korea to provide US$700m to Bangladesh as soft loan
A “Framework Arrang-ement” was signed between the governments of Bangladesh and Korea on Sunday to provide a soft loan of US$700.00 million for the period of 2021-2025. The Korean Government has been providing soft loan through the Economic Development Cooperation Fund (EDCF) for the development of socio-economic, infrastructure and ICT sectors in Bangladesh since 1997. Fifteen projects worth US$469.77 million have already been completed with assistance from the EDCF while another eight projects worth US$666.28 million are currently ongoing. At the end of FY 2020-21, the total commitment from the EDCF has been US$1330.48 million. This is the second largest amount committed by the Korean government for its development partners.Under this Framework Arrangement, the Korean government will provide financial assistance to implement several projects in the next five years. Loan agreements of US$100.00 million for “Sustainable Economic Recovery Programme (Subprogram1)” under Finance Division, US$ 51.00 million for “Procurement of CNG Single Decker AC Buses for BRTC” project under the Road Transport and Highways Division and US$25.00 million for “Establishment of a Modern International Training Institute for Dhaka WASA” project under the Local Government Division are expected to be signed within this year. In addition, important projects like “Construction of Railway-cum-Road Bridges across the River Karnaphuli at Kalurghat, Chattogram” and “Establishment of a Multi-disciplinary and Super Specialized Hospital at BSMMU (2nd Phase)”are also expected to be implemented under this Framework Arrangement.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|↑ 73.94 ||↑ 0.21 %|
|FTSE100||$ 7,204.55 ||↑ 14.25 ||↑ 0.20 %|
|Nikkei 225||$ 28,579.11 ||↓225.74 ||↓0.78%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 84.59||↑ 0.83||↑ 0.99%|
|Crude Oil (Brent)||$ 86.22||↑0.69||↑0.81%|
|Gold Spot||$ 1,799.26||↑ 6.61||↑ 0.37%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 85.6500|
|GBP 1||BDT 117.8116|
|EUR 1||BDT 99.7908|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<