Leather Goods Exports rebound
Export of leather and leather goods from Bangladesh rebounded strongly after more than two years thanks to higher shipments to non-traditional markets and the US-China trade war. Shipments in July amounted to $106.10 million, a 16.39 percent year-on-year growth, data of the Export Promotion Bureau (EPB) showed. This is the only sector after garments which fetched $1 billion last fiscal year. It, however, had registered negative growth over the past two years or so because of a gradual shift of tanneries from Hazaribagh to a newly built Savar Tannery Industrial Estate. Of the 155 tanneries that have relocated so far, 123 have gone into full or partial operation and the rest are in the process, according to tanners. Tanners are the main suppliers of raw materials to manufacturers and exporters of leather goods like shoes and bags. Value addition has recently increased a lot. The performance has been very strong not only in traditional markets like that of the US, the European Union and Canada but also in non-traditional ones like that of Australia, Japan and Singapore.
DSE Turnover up 15pc backed by Nine Stocks
Turnover at Dhaka bourse jumped 14.72 percent yesterday riding on the price rise of nine companies which accounted for around 37.26 percent of the total amount changed hands. Some Tk 202.17 crore of the day’s turnover of Tk 542.55 crore, up from Tk 472.94 crore on Tuesday, came from the nine. They are United Power Generation, Orion Infusion, Fortune Shoes, JMI Syringes and Medical Devices, Bangladesh Shipping Corporation, Monno Ceramic Industries, Beacon Pharmaceuticals, Khulna Power Company and Silco Pharmaceuticals. Industry experts attributed the rise to the stocks of United Power, which attracted Tk 67.83 crore, almost four times higher than their regular turnover. The DSE’s benchmark index, the DSEX, declined 4.08 points or 0.07 percent to close at 5,223.41. Among the major sectors, fuel and power increased 0.67 percent and textile 0.33 percent while general insurance fell 0.37 percent, pharmaceuticals 0.3 percent, and banks 0.28 percent.
Govt to import $819.3m Petroleum Product
The Government will import 14.35 lac tonnes of petroleum product worth $819.30 million during July to December this year under a Government-to-Government arrangement. The cabinet committee on purchase approved a proposal of Bangladesh Petroleum Corporation (BPC) in this regard at a meeting with Agriculture Minister. According to the BPC proposal, the petroleum will be imported from Malaysia, Thailand, Indonesia, the United Arab Emirates, Kuwait and China. The premium, which is the cost of shipping and includes freight charges and insurance, for importing diesel will be $2.95 per barrel, Jet fuel-1 $3.95, petrol $4.90 and furnace oil $28.25 per tonne.
India for fast-track Project implementation
India has asked Bangladesh to complete all official procedures of the Projects under its second and third lines of credit with the view to speeding up implementation. The High Commission of India in Bangladesh has recently written to the Economic Relations Division (ERD) in this regard. Bangladesh’s Foreign Minister AK Abdul Momen recently told that Dhaka also wants speedy disbursement of Indian LoCs as the Projects under the funding are facing delays mainly due to technical and bureaucratic reasons. In the last eight years, Bangladesh managed to use $523.60 million of the first LoC worth $862 million despite various steps to expedite utilization of funds. Dhaka has so far used $15.60 million of the $2-billion second LoC. India is yet to disburse any money from the $4.5-billion third LoC. The letter of the High Commission called for a faster processing of the bills for the ongoing Projects. Bangladesh is using a method in the Projects funded by other development partners, where the bills go directly from the Project director to funding agencies. For such cases, the bills may be sent directly to Exim Bank of India. The issue was raised with Indian External Affairs Minister S Jaishankar in Dhaka.
BB seeks Govt fund for remittance incentives
Bangladesh Bank has requested the Government to release fund for providing cash incentive against the inward remittance. The Government in the budget for the fiscal year of 2019-2020 announced that 2 per cent cash incentive would be provided to the beneficiaries of inward remittance. A senior BB official said the central bank had recently sent a letter to the finance ministry seeking fund for the purpose. Banks would start disbursing incentive against remittance after getting fund allocation from the central bank. The Government in the budget allocated Tk 3,060 crore for the purpose in an expectation that the incentive would significantly increase the remittance flow through the legal channels and discourage the illegal channels like ‘hundi’ business.
Grameenphone gets new CFO
Grameenphone has appointed Jens Becker as its new Chief Financial Officer (CFO), effective from August 15. He is replacing Karl Erik Broten, the telecom company said in a statement yesterday. Prior to the appointment, Becker had been serving as CFO of T-Mobile in Poland. He was also the CFO at T-Online International AG. Becker has over 20 years of experience in Deutsche Telekom Group with leadership positions in Germany and Poland and responsibility for controlling T-Online’s subsidiaries in France and Spain.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|FTSE100|| 7,203.97|| ↑78.97 ||↑1.11%|
|Nikkei 225|| 20,647.87 ||↑29.30||↑0.14%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 55.71 ||↑0.03|| ↑0.05%|
|Crude Oil (Brent)|| $ 60.25 ||↓0.05||↓0.08%|
|Gold Spot|| $ 1,501.75 ||↓0.90||↓0.06%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 82.8164|
|GBP 1||BDT 100.537|
|EUR 1||BDT 91.8829|
|INR 1||BDT 1.15751|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<