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

Important Business News Extracts January 17, 2019

Govt’s borrowing from banks on track to rise

The government’s higher borrowing from both the central bank and commercial banks is set to pick up mainly due to revenue shortfall in recent months. The previous borrowing, which was availed by the government to meet extra expenses for holding the December 30 national polls, is being adjusted. The authorities have already set the net bank borrowing target at more than Tk 23 billion for January to finance budget deficit, due in part to the general election, according to the central bank officials. It may take up to Tk 132 billion as gross borrowing from the banking system in January 2019 by issuing treasury bills (T-bills) and bonds, according to the latest auction calendar, issued by the Bangladesh Bank (BB) earlier. The government’s net bank borrowing will reach Tk 23. 58 billion by the end of this month, after deducting Tk 108.42 billion as maturity amount of the government securities from the gross borrowing amount. Besides, Tk 20 billion was borrowed through issuing short-term 14-day T-bills on January 10, which will be cleared on January 27. According to one official “There will be no effect on the overall net borrowing for the month of January”. According to the BB’s report. The government’s overall net bank borrowing increased by over Tk 2.62 billion in a week to nearly Tk 51.10 billion as on January 03 from Tk 38.48 billion as on December 27 last.

Source: http://today.thefinancialexpress.com.bd/first-page/govts-borrowing-from-banks-on-track-to-rise-1547661335

Edible oil import grows 10 pc

The import of edible oil has been showing an increasing trend in Bangladesh alongside other commodities, resulting in 10 per cent increase in import in 2018, reports BSS. According to a statement of Malaysia Palm Oil Council, during January-December period of 2018, import quantity of total oil and fat was over 2.9 million tonnes, which was an ever highest quantity imported in the country in a year and about 10 per cent higher compared to the corresponding period of 2017. Competitive price of major two vegetable oils, including soybean oil and palm oil, in the international market together with steady economic growth of the country contributed to the increased import of oils and fat. In the year 2017, total import of oil and fat was over 2.6 million tonnes. In 2018, palm oil dominated the edible oil market of Bangladesh. In that year total import of palm oil and palm oil products was over 1.72 million tones, registering an increase by 17.40 per cent compared to the corresponding period of 2017. Besides, the import volume of soybean oil in 2018 was little over 0.93 million tonnes, which registered an increase of 3.75 per cent compared to January-December of 2017.

Source: http://today.thefinancialexpress.com.bd/trade-market/edible-oil-import-grows-10-pc-1547663844

Lending rates edging up

The interest rate on lending is on the rise amid high import pressure and hunt for deposits at the end of last year. In November, the weighted average interest rate stood at 9.5 percent, up from 9.47 percent the previous month, according to data from the Bangladesh Bank. Though the average remained within single digits, 28 out of the 40 private banks are lending at double digits. The interest rate on lending will continue its upward trend due to expansion of business activities after the December 30 election. One banker mentioned despite the slow credit growth before the election the interest rate kept rising as banks mobilised deposits at higher rates to adjust their loan-deposit ratio ahead of the March deadline

Source: https://www.thedailystar.net/business/news/lending-rates-edging-1688560

Trade, polls top agenda of US-BD FOC meeting

Trade and investment promotion as well as the December 30 general election will be high on the agenda of the US-Bangladesh foreign office consultation (FOC) meeting, to be held in Washington on January 22. According to a senior official of the Ministry of Foreign Affairs From their side the main agenda will be how to woo more US investment in Bangladesh. Political issues will also be discussed. Foreign Secretary M SHahidul Haque will lead the Bangladesh delegation in the meeting. The US delegation will be led by David Hally, Assistant Secretary for Asia Pacific. Bangladesh will urge the US to invest more in the country, particularly in energy sector and in the export processing zones (EPZs). The US has concerns regarding trade barriers, investment climate and labour issues. The MoFA has prepared papers on these issues to allay the US concerns. Bangladesh is currently the 52nd largest trading partner of the US, having a bilateral trade volume of US$7.2 billion as on 2017.

Source: http://today.thefinancialexpress.com.bd/first-page/trade-polls-top-agenda-of-us-bd-foc-meeting-1547661440

Banks in a fix over effective date of slashed source tax

The majority of the banks are in confusion over the effective date of reduced source tax on export proceeds as it remains unclear in the revenue board’s order. On January 01, the National Board of Revenue (NBR) slashed the source tax for all exporters including readymade garments and leather, except jute, to 0.25 per cent from 0.60 per cent by issuing a Statutory Regulatory Order (SRO). It has been found that some banks have been deducting source tax at the new rate of 0.25 per cent from January 1, 2019 while others have started adjusting the deducted tax, considering the SRO effective from July, 1, 2018. According to the SRO, officials of the income tax wing, the reduced tax rate of 0.25 per cent would be considered effective from July 01, 2018 unless the NBR issues another SRO clarifying the date of effectiveness. Talking to the FE, several bankers have raised the issue and sought immediate clarification from the board.

Source: http://today.thefinancialexpress.com.bd/first-page/banks-in-a-fix-over-effective-date-of-slashed-source-tax-1547661384

BIDA ties up with LICT Project to woo foreign investment

The Bangladesh Investment Development Authority (BIDA) will work together with the Leveraging ICT for Growth, Employment and Governance (LICT) Project under Bangladesh Computer Council (BCC) to attract more foreign investment in the ICT sector. A Memorandum of Understanding (MoU) was signed between the two sides to this end on Wednesday. As per the agreement, BIDA will provide fast-track service for foreign investors in the ICT sector and the LICT will take initiative to promote the country’s brand and publicise the investment climate in Bangladesh with special focus on facilities offered by BIDA. BIDA will provide all necessary services to a foreign investor, including visa support. It will help them clear airport formalities and provide all relevant documents and certification regarding investment.


StanChart, Unilever ink MoU

Unilever Bangladesh Limited (UBL) inked a Memorandum of Understanding (MOU) with Standard Chartered Bank to avail the ‘Supply Chain Finance’ programme – a financing package for the dealers and suppliers of the Bank’s corporate clients. The programme with UBL is a first-of-its-kind, fully automated financing program, in which all financing steps will be processed online. Under this programme, UBL’s distributors will get financing facility on easier terms from Standard Chartered Bank for goods purchased from UBL. Standard Chartered bank was the first foreign bank to launch Supply Chain Finance as a program in 2015 in line with global standards, with an objective to deepen business relationships with not just their client, but the client’s suppliers and distributors as well.

Source: http://today.thefinancialexpress.com.bd/stock-corporate/stanchart-unilever-ink-mou-1547660729

Walton holds IPO Road Show

Walton Hi-Tech Industries Limited (WHIL), a sister concern of the country’s electronics giant Walton Group, organised a Road Show for eligible investors to raise a fund of Tk 1.00 billion from capital market through initial public offering (IPO) under the book building method, according to a statement. The Road Show was held at Walton Corporate Office in the city’s Bashudhara Residential Area on Tuesday. The Road Show highlighted that as of July to September of the current fiscal year 2018-19, the company registered its EPS (Earning Per Share) at Tk 10.59 and NAV (Net Asset Value) at Tk 208 while its Retained Earnings stood at Tk 27.98 billion and Net Operating Cash Flow as per share posted Tk 17.20. The authorised and paid up capital of the company are Tk 6.00 billion and Tk 3.00 billion respectively. Tk 626 million of the raised fund will be utilized in factory expansion, modernization, research and development while Tk 330 million in repayment of partial bank loans and the rest of Tk 45 million in meeting IPO expenses. Merchant Bankers and Portfolio Managers, Asset Management Companies, Mutual Funds and Collective Investment Scheme, Stock Dealers, Alternative Investment Fund Managers, representatives from banks, financial institution, insurance companies, alternative investment funds, and other eligible investors along with the top officials from Stock Exchanges and Bangladesh Securities and Exchange Commission were also present in the Road Show.

Source: http://today.thefinancialexpress.com.bd/stock-corporate/walton-holds-ipo-road-show-1547660999

Local and Global Stock Indices *

Index NameClose ValueValue ChangePercentage Change
DSEX5,839.48297 ↓23.79409 ↓ 0.41%
DJIA24,207.16↑ 141.57 ↑ 0.59%
FTSE1006,862.68↓ 32.34↓ 0.47%
Nikkei 22520,402.36 ↓40.39 ↓0.20%

World Commodities *

CommodityClose ValueValue ChangePercentage Change
Crude Oil (WTI)$ 52.02↓0.29↓ 0.55%
Crude Oil (Brent)$ 61.00 ↓ 0.32 ↓ 0.52%
Gold Spot$1,293.23 ↓0.44 ↓ 0.03%

Major Currencies Exchange Rates Movement in Last Seven Days *

Exchange Rates
USD 1BDT 83.8275
GBP 1BDT 107.8944
EUR 1BDT 95.4628
INR 1BDT 1.1768





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,

Emranul Huq
Managing Director & CEO
Dhaka Bank Limited