TT-Clean: 77.1 | TK BC-Selling: 78.1
TK OD-Sight: 76.88 TK | TC-Selling: 78.1 TK

TT-Clean: 77.1 | TK BC-Selling: 78.1
TK OD-Sight: 76.88 TK | TC-Selling: 78.1 TK


TT-Clean: 77.1 | TK BC-Selling: 78.1
TK OD-Sight: 76.88 TK | TC-Selling: 78.1 TK

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Rate last updated: 02/01/2014 11:15:04 AM

Daily Business News Flash September 08, 2021

Govt borrowing jumps 12.20% in first 2 months of FY22

Government borrowing stood at Tk1,83,865 crore at the end of August in FY2020-21, which reached Tk2,09,436 crore during the same two months this FY. Government borrowing from the banking sector has gone up by 12.20% during the first two months of Fiscal Year 2021-22 compared to the same period last FY, following the gradual improvement of Covid-19 situation across the country.

According to the Bangladesh Bank, government borrowing stood at Tk1,83,865 crore at the end of August in FY2020-21, which  reached Tk2,09,436 crore during the same two months this FY.Besides, the government borrowed Tk15,710 crore from banks in the first two months of current FY, and repaid loans amounting to Tk8,191 crore to the central bank. The net loan for this FY now stands at Tk7,519 crore, which is around 10% of the government’s target.

The fact that the government has increased its borrowing from the banking sector to cover its deficit is a positive development.The government will use those loans for implementing development projects, which in turn will boost employment opportunities in the country and grow our GDP.

The government had initially planned to take out a net loan of Tk20,000 crore from savings certificates in the FY2020-21. But after witnessing increased sales of these certificates, the government increased this target to Tk30,302 crore in the revised budget.At the end of June this year, the government’s net loan form savings certificates exceeded Tk41,959 crore, which an increase of 38.47% compared to the target set in that revised budget.

Source: https://www.tbsnews.net/economy/banking/govt-borrowing-jumps-1220-first-2-months-fy22-299296

Experts urge structural reforms for easy CMSMEs loan disbursement.

According to a local study, overall income from the CMSME sector reduced to 66% in 2020 compared to that of 2019, and 76% of products remained unsold.Structural reforms in the loan disbursement process, establishing a specialized SME bank, and policy reforms will pave the way for CMSMEs – the lifeline of the country’s economy – to flourish, experts said at a discussion on Tuesday. 

SME Foundation and Dhaka Chamber of Commerce & Industry (DCCI) jointly organised the programme.DCCI President Rizwan Rahman in his opening remarks said the contribution of the cottage, micro, small, and medium enterprise (CMSME) sector in the GDP is only 25% whereas it is 35-60% in the Philippines, Vietnam, Sri Lanka, and China. According to a local study, overall income from the CMSME sector reduced to 66% in 2020 compared to that of 2019, and 76% of products remained unsold, he said. 

A DCCI study found that due to the coronavirus pandemic, 62% CMSMEs had to cut their manpower and 90% are continuing their businesses with less capacity. Some 73% of the stimulus packages have been distributed but most of the CMSMEs are still deprived of that fund. Rahman also said that medium enterprises have good relation with banks compared to small entrepreneurs because of a lack of documentation and confidence. 

A CMSME-friendly fund and easy access to a loan management system is the demand of time now, he added. If the Bangladesh Bank can give guidelines to banks that they have to disburse a specific amount of loan to the CMSMEs and then banks will have to comply with the instructions. Professor DrMdMasudur Rahman, chairperson of the SME Foundation, said, “SMEs are the lifeline of our economy and during the pandemic, we were able to uphold this image to the policymakers.”

According to the data of 2013, there was 78 lakh SMEs but at present, this number is more than 1 crore. In India and China, 60% of their GDP comes from SMEs. DrMdMafizur Rahman, managing director at the SME Foundation, said the foundation has disbursed about Tk122 crore in one and half months and this amount went to SMEs. “We cannot handle the money, we do not have that mandate as SME Foundation. We reiterate establishing a specialised SME bank. We requested all banks to give 50% of their loan to women entrepreneurs,” he added.

Source: https://www.tbsnews.net/economy/banking/experts-urge-structural-reforms-easy-cmsmes-loan-disbursement-299197

Local and Global Stock Indices *

Index NameClose ValueValue ChangePercentage Change
DJIA$ 35,100.00
↓ 269.09↓0.76%
FTSE100$ 7,149.37↓ 37.81↓0.53%
Nikkei 225$ 30,123.13↑206.99↑0.69%

World Commodities *

CommodityClose ValueValue ChangePercentage Change
Crude Oil (WTI)$ 68.68↑0.33↑0.48%
Crude Oil (Brent)$ 71.89↑ 0.20↑ 0.28%
Gold Spot$ 1,799.00↑0.50↑0.03%

Major Currencies Exchange Rates Movement in Last Seven Days *

Exchange Rates
USD 1BDT 85.2000
GBP 1BDT 117.4567
EUR 1BDT 100.9024





Dear Valued Patrons,

At the very onset, let me express my heartiest gratitude for allowing us to serve you and I also wanted to reach out to you directly with an assurance that Dhaka Bank is fully equipped to support you during this difficult time.

Last couple of weeks ago we all were living in a peaceful condition, performing our daily tasks freely and perfectly. Entire economy and business environment was also in a good shape, until COVID-19 put a forceful stoppage to the overall life style and economy of the world. We all know that social distancing and cleanliness are the keys to prevent this pandemic. Hence, we urge your conscious effort to limiting public interaction and suspending wherever possible.

In this current situation, Dhaka Bank and its employees are beside you where we are fully online, either working from home or at our offices under a robust Business Continuity Plan (BCP) to serve you with limited branch banking and a full-fledged alternate delivery channel services.

Our state of the art Mobile App, Dhaka Bank GO (Click https://bit.ly/2WVfieu) and Internet Banking - Dhaka Bank Direct gives you the freedom of banking online anytime from anywhere. You can check the balance and transfer money to any designated Banks including any Dhaka Bank or bKash Account, make utility bill payments and mobile top-up through our Mobile App and Internet Banking Services. Our ATMs are also running efficiently with availability of sufficient cash for your convenience where you can make cash withdrawals whenever the need arises. Mentionable, the withdrawal of cash from any ATMs within Bangladesh with Dhaka Bank Debit Cards are absolutely free of charges up till April 30, 2020 (Dhaka Bank will bear the cost). Our corporate customers can also use our completely safe and secured online platform Dhaka Bank C-Solution for Payments, Inter Bank Fund Transfers, etc.

Moreover, to fulfill your urgent requirement, we have a limited no. of branches up and running by ensuring all kinds of precautionary and safety measures for you.

In case of extreme emergency and facing difficulties in conducting banking transactions, please let us know through our 24/7 Contact Center number 16474 (or, dial +8809678016474 for ISD/Overseas Calls). We are always with you to combat your difficulties.

As you know we are going through a critical phase and the situation is novel to all of us. We are getting lot of new information from various sources everyday about COVID-19 which will be shared at www.dhakabankltd.com.

Thank you for your trust and continued support to us. I firmly believe that jointly we will be able to combat this situation and win against all the odds.

Please stay home, stay safe and take care of yourself and family.

Best regards,

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Managing Director & CEO
Dhaka Bank Limited