BB eases payment rules to boost onion import
The central bank yesterday allowed onion importers to open letters of credit by using the 90-day deferred payment tool as part of efforts to help them import the kitchen staple easily. The deferred payment will be applicable under the buyer’s and supplier’s credit, according to a central bank notice.Deferred payment is a loan arrangement in which the borrower is allowed to start making payments at some specified time in the future. It is often used in retail settings where a person buys and receives an item with a commitment to begin making payments at a future date. The buyer’s credit is a short-term loan facility extended to an importer by an overseas lender such as a bank or financial institution to finance the purchase of capital goods, services, and other big-ticket items.On September 17, the central bank instructed banks to keep the margin on the opening of LCs for onions at a minimum level. Bangladesh Bank said the price of onion is on an upward trend at local markets following the price hike of the key cooking ingredient in international markets. Prices shot up between Tk 100 and Tk 120 per kg last week after India announced halting onion export to Bangladesh. Just a week earlier it was Tk 40 and Tk 50 per kg. Yesterday, the local variety was selling at Tk 80 to Tk 90, up 47.83 per cent from a week ago. Imported onions sold for Tk 55 to Tk 70, up 31.58 per cent from last week, data from the state-run Trading Corporation of Bangladesh showed.
Stocks nosedive for third straight day
Stocks in the premier bourse witnessed a drop for the third consecutive day following a steady rise for over a week. DSEX, the benchmark index of the Dhaka Stock Exchange, shed 76 points, or 1.50 per cent, yesterday to stand at 5,012.12.The index underwent corrections in the last few days, not long after the market had risen to a sustainable position, he said. DSEX rose by 152 points during September 10-16 but dropped 103 points in the last three days, as per DSE data.Turnover, a major indicator for the market, dropped 11 per cent to Tk 977.58 crore yesterday at the Dhaka bourse. Of the total 355 traded stocks, 82 advanced, 259 declined and 14 were unchanged, according to DSE data. The DSE’s turnover list was topped by DBH, which traded shares worth Tk 26.63 crore, followed by Beximco, Rupali Insurance, Beximco Pharmaceuticals, and Purabi General Insurance. ICB Employees Mutual Fund topped the gainers’ list with a 10 per cent increase followed by SEML IBBL Fund, ICB Third NRB, VAML Fund, and Miracle Industries. Provati Insurance shed the most, plunging 10 per cent followed by Peoples Insurance, Republic Insurance, Agrani Insurance and Shyampur Sugar Mills. The Chattogram bourse also witnessed a reduction in its benchmark index. The CSCX, the benchmark index of the Chittagong Stock Exchange, dropped 126 points, or 1.44 per cent, to 8,597.43. Of the total 286 stocks, 85 rose, 184 fell and 17 remained unchanged.
National Housing Finance and Investments approves 10pc cash dividend
The 21st Annual General Meeting (AGM) of National Housing Finance and Investments Limited was held on Sunday on a virtual platform. The shareholders approved 10 per cent cash dividend for the year 2019.National Housing is one of the largest financial institutions in the country engaged mainly with home loan. Total shareholders’ equity of the company is Tk. 1,892.13 million as on December 31, 2019 and earned Tk. 236.81 million as net profit after tax during the year 2019.
Southeast Bank opens its KhilgaonTaltola sub-branch
Southeast Bank Limited inaugurated its KhilgaonTaltola sub-branch at Kopotakkha JF Tower, Khilgaon in the city on Monday.Southeast Bank’s first and the foremost priority is to provide quality service and maximum satisfaction to the customers. From now on, technology-backed modern banking services will be provided to the customers from the newly opened KhilgaonTaltola sub-branch.
Mutual Trust Bank signs MoU with UPSL
The Mutual Trust Bank Limited (MTB) signed a Memorandum of Understanding (MoU) with United Property Solutions Limited (UPSL) at a function at United House, Madani Avenue, in the city on Monday. Under the MoU, the clients of UPSL will be able to avail home loan with 50 per cent waiver on the loan processing fee and MTB clients, likewise, will be entitled to buy apartments with special discounted offer from the UPSL.