Net foreign fund drops further at Dhaka bourse
The net foreign fund in the Dhaka Stock Exchange (DSE) remained negative in July, the fourth straight month, as the foreign investors remained reluctant to put fresh stakes. The overseas investors collected shares worth Tk 4.12 billion but sold shares worth Tk 4.44 billion last month, resulting in their net position negative by Tk 327 million, according to statistics available with the Dhaka Stock Exchange (DSE).DSEX, the prime index of the Dhaka Stock Exchange (DSE), eroded about 103 points or 0.20 per cent in July. Foreign investors’ preferred sectors were banking, non-bank financial institutions, power and energy, pharmaceuticals, telecoms and IT, said a merchant banker. In 2017, the overseas investors bought shares worth Tk 65.76 billion while they offloaded stocks worth Tk 48.71 billion to take their net investment to Tk 17.05 billion, the DSE data shows. In 2016, the net foreign investment was Tk 13.41 billion, as the foreign investors collected shares worth Tk 50.57 billion and sold shares worth Tk 37.16 billion.
Top 10 cos grab 26pc of DSE turnover
Top 10 traded companies captured more than 26 per cent transaction of the Dhaka bourse on Wednesday while BBS Cables dominating the chart. According to statistics available with the DSE, about 2.97 million shares of BBS Cables were traded, generating a turnover of Tk 318 million, which was 4.29 per cent of the DSE’s total turnover. The total turnover on the Dhaka Stock Exchange (DSE) stood at Tk 7.40 billion which was Tk 7.32 billion in the previous session. The company’s share price hovered between Tk 104.80 and Tk 109, before closing at Tk 105.50 each, advancing 1.05 per cent over the previous day.BBS Cables signed a Tk 936 million agreement with Bangladesh Rural Electrification Board (BREB) on July 25 under distribution network expansion for 100 per cent electrification project for the supply of conductor. Brokers said the investors showed enthusiasm following news on the deal, which created hype among the investors in the recent days. The turnover of KDS Accessories was Tk 141 million. The company’s share price rose 5.55 per cent to close at Tk 112.20 each. Simtex featured a turnover of Tk 132 million. Its share price fell 0.53 per cent to close at Tk 37.70 each. The turnover of Ratanpur Steel was Tk 123 million. The company’s share price closed at Tk 62.80 each, shedding 0.78 per cent. Hamid Fabrics was also included in the top ten turnover chart with shares of Tk 120 million changing hands. The company’s share price jumped 6.82 per cent to close at Tk 31.30 each.
BSEC fines directors of two companies
The securities market regulator on Wednesday fined the directors of Delta Spinners and Bengal Fine Ceramics Tk 0.10 million each for breaching the securities rules.The capital market regulator imposed the penalty at a meeting of the Bangladesh Securities and Exchange Commission (BSEC), presided over by its chairman M Khairul Hossain, said a press release. The regulator also decided to warn International Leasing Securities and Padma Life Insurance for violating the rules. The securities market regulator fined Tk 0.10 million each directors of Delta Spinners (baring nominated and independent ones) as the BSEC inspection found that the firm committed a number of irregularities in expenses of rights issue money. Bengal Fine Ceramics, which was de-listed from the bourses, also failed to provide first quarter financial statements of September 30, 2015 and September 30, 2016 and half-yearly reports of December 31, 2015 and December 31, 2016 and third quarter financial statements of March 31, 2016 and March 31, 2017.The BSEC also decided to warn Padma Life Insurance as the company did not provide its audited financial statements for the year ended on December 31, 2014, the first quarter financial statement of March 31, 2015, half-yearly financial report of June 30, 215 and third quarter financial statements that ended on September 30, 2015.
IFIC Bank, Samakal launches business award
IFIC Bank in association with the daily Samakal will honour business entities for their contribution to the country’s economy.
Local entrepreneurs will get the ‘IFIC Bank-Samakal Business Award’ in four categories while a veteran business person will get lifetime achievement accolade. Former Governor of Bangladesh Bank Dr Mohammed Farashuddin, Managing Director and Chief Executive Officer (CEO) of IFIC Bank M Shah Alam Sarwar and Executive Editor of Samakal Mustafiz Shafi attended the conference, among others.Dr Farashuddin will lead a 10-member jury board to select the winners based on their activities in the last fiscal year 2017-18, the press conference was told. The entrepreneurs along with wage earners and farmers have accomplished the daunting task with continued efforts, said the former central banker.The award will be a source of enormous inspiration for the entrepreneurs to do more for the country, he said. In his speech, M Shah Alam Sarwar said that as a first generation bank, the IFIC Bank has been supporting many good initiatives. The interested businesses will have to apply for the nomination by filling up application form, to be collected from Samakal office or from web address http:/www.samakal.com/businessaward2018.Application submission will come to an end on coming September 1.The jury board will select an eminent business person for lifetime achievement, who need not to apply for this.
Biman signs deal with CCC to buy three aircraft
Biman Bangladesh Airlines, the national flag carrier, signed a government to government (G2G) agreement with Canadian Commercial Corporation (CCC) to purchase three aircraft of Dash Q400NG series. Biman Managing Director Mosaddique Ahmed and Acting President of CCC Carl Marcotte signed the accord on behalf of their respective organisations at the Ministry of Civil Aviation and Tourism at the Bangladesh Secretariat on Wednesday. Civil Aviation and Tourism Minister AKM Shajahan Kamal and Canadian High Commissioner Benoit Prefontaine were also present on the occasion.The list price of each airplane is US$ 33 million, and the three aircraft are likely to be delivered in March, May and June of 2020. The government approved their purchase proposal at the purchase committee meeting in November 2016.
China vows retaliation if Trump slaps 25pc tariff on $200 billion of imports
BEIJING/WASHINGTON, Aug 01 (Reuters): China said on Wednesday that “blackmail” wouldn’t work and that it would hit back if the United States takes further steps hindering trade, as the Trump administration considers slapping a 25 per cent tariff on $200 billion worth of Chinese goods. The proposal would increase the potential tariff rate from 10 per cent the administration had initially put forward on July 10 for that wave of duties in a bid to pressure Beijing into making trade concessions, a source familiar with the plan said on Tuesday. “US pressure and blackmail won’t have an effect. If the United States takes further escalatory steps, China will inevitably take countermeasures and we will resolutely protect our legitimate rights,” Chinese Foreign Ministry spokesman Geng Shuang told a regular news briefing. Investors fear an escalating trade war between Washington and Beijing could hit global growth, and prominent US business groups, while weary of what they see as China’s mercantilist trade practices, have condemned Trump’s aggressive tariffs. The $200 billion list of goods targeted for tariffs – which also include Chinese tilapia fish, printed circuit boards and lighting products – would have a bigger impact on consumers than previous rounds of tariffs. Trump had said he would implement the $200 billion round as punishment for China’s retaliation against the initial tariffs aimed at forcing change in China’s joint venture, technology transfer and other trade-related policies. He also has threatened a further round of tariffs on $300 billion of Chinese goods.
Govt to build planned cities around economic zones
The government will build planned cities with modern housing facilities around the economic zones, now under construction, to foster economic activities. Describing the current status of the economic zones, the finance minister said the government has approved 76 economic zones and the development work for additional 26 zones is going on. “These economic zones will be surrounded by planned cities with modern housing that will certainly spur vibrant economic activities,”. “Project clearance, visa recommendation and assistance, work permit and import/export permits services are now being processed under one-stop service from the Bangladesh Economic Zones Authority”. The government plans to develop 100 economic zones by 2030 to create 10 million jobs and manufacture export-oriented products worth $40 billion.
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