Beacon Pharma, United Power dominate Turnover Chart
Top 10 traded companies captured 28.38 per cent of the turnover featured by the Dhaka Stock Exchange [DSE] on Monday. Of the top turnover leaders, Beacon Pharmaceuticals featured a turnover of Tk 232.70 million and grabbed 5.20 per cent of the market turnover. The company’s share price advanced 1.20 per cent or Tk 0.3 to close at Tk 25.30 each. United Power Generation & Distribution Company posted a turnover of Tk 232.70 million and snared 5.20 per cent of the DSE’s turnover. The company’s share price closed at Tk 34.20 each with a rise of 3.26 per cent or Tk 1.10. The turnover of the Orion Infusion was Tk 127.10 million. The company captured 2.84 per cent of the market turnover. The company’s share price declined 5.21 per cent or Tk 3.70 to close at Tk 67.20 each.
Woes in Leather Sector not ending soon
Absence of a fully functional Central Effluent Treatment Plant [CETP] and solid waste management at Savar Tannery Industrial Estate has been costing Bangladesh’s leather and leather goods exporters heavily. Currently, Bangladeshi exporters do not have any choice but to sell their goods at rates 30 percent lower than the global prices for non-compliance. Leather goods exporters do not get higher prices of their products unless the Leather Working Group [LWG], the global compliance audit organization, certifies companies that they are compliant. Since Bangladesh can’t comply with the conditions of the LWG, the local leather and leather goods exporters have to sell at much lower prices to buyers from China, who are not too fussed about compliance. The issue of non-compliance by tanners and the tannery industry authority was responsible for the rawhide price crash last Eid-ul-Azha.
Large Cap Cos drag DSE Index into red
The country’s premier bourse closed the Monday’s session with a moderate loss and extended the losing streak for the second consecutive session. On the day, the majority number of listed securities including the large cap ones closed in red on the Dhaka Stock Exchange [DSE]. The price correction of large cap companies triggered the fall of the DSE broad index DSEX. Of the large cap companies, Grameenphone, British American Tobacco Bangladesh Company [BATBC] and MJL Bangladesh declined by 1.07 per cent, 0.82 per cent and 1.01 per cent respectively. At the end of the session, the DSEX closed at 5165.76 points with a loss of 1.10 per cent or 57.96 points. Fall of large cap stocks like Grameenphone, BATBC and United Power Generation & Distribution Company [UPGDC] played a major behind the correction of the broad index.
Govt’s Bank borrowing soars for Mega Projects
In the wake of low revenue mobilization last fiscal year, the government has now turned to bank borrowing to meet its financing needs, Bangladesh Bank data shows. In the first 35 days of this fiscal year, the government has borrowed Tk 23,761 crore from the banking system, which is almost the same as last year’s total bank borrowing and half of this year’s target. The government borrowed Tk 26,446 crore last fiscal year, according to data from the central bank. This fiscal year, the government has set a borrowing target of Tk 47,364 crore from the banking sources. The government’s borrowing from banking sources usually shoot up at the beginning of a fiscal year to adjust its higher expenditure in the last few months of the previous fiscal year. But this time the government’s bank borrowing has increased significantly due to its implementation of mega infrastructural projects such as those of the Padma Bridge and Dhaka metro rail. Total revenue mobilization last fiscal year was Tk 223,892 crore against the target of Tk 280,000 crore. Besides, a decreasing trend in sales of national savings certificates in recent months has pushed up the government’s bank borrowing. Net sales of national savings tools stood at Tk 3,208 crore in June, down from Tk 3,258 crore a month earlier.
NPGC to sign MoU for Renewable Energy Power Plant
The North-West Power Generation Company Limited will sign a Memorandum of Understanding [MoU] with China National Machinery Import and Export Corporation in the city today [Tuesday] aiming at implementing a renewable energy power plant project, reports BSS. Talking to the news agency on Monday, Director [Public Relations] of Bangladesh Power Development Board Saiful Hasan Chowdhury said the MoU will be signed tomorrow at Hotel InterContinental aimed at forming a Joint Venture Company [JVC]. The JV Company will also finalize the power generation capacity of the renewable energy power plant. Company Secretary of North-West Power Generation Company Ltd. and representative of China National Machinery Import & Export Corporation will sign the MoU on behalf of their respective sides.
Online Transactions at BD Missions by Dec
A government initiative is well under way to make online financial transactions at all Bangladesh missions abroad by this December. Once introduced, it is believed, financial management information system iBAS++ will expedite inflow of earnings of the missions to the national exchequer. Currently, all 77 missions which earn approximately Tk 40 billion a year do not send remittances on time. Visa processing, passport renewal and consular fees mostly bring the embassies in the revenue abroad. People familiar with the matter at finance division, they are expecting to introduce the online transaction system by this December. A team comprising Experts, led by senior Consultant Sabbir Ahmed, has already visited three missions in India, Dubai and Abu Dhabi. This would help ensure transparency in monetary transactions as well.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|Nikkei 225|| 20,509.33 ||↑248.29||↑1.23%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 54.04 ||↑0.40||↑0.75%|
|Crude Oil (Brent)||$ 59.07 ||↑0.37||↑0.63%|
|Gold Spot|| $ 1,527.49||↑0.18 ||↑0.01%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 82.2071|
|GBP 1||BDT 100.632|
|EUR 1||BDT 91.4073|
|INR 1||BDT 1.14175|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<