Finance Minister sits with State Banks today
Finance Minister AHM Mustafa Kamal will sit with the Chairmen and Chief Executive Officers of the State-owned Commercial and Specialised Banks today to take stock of the overall situation of the financial sector. The meeting is being convened as six of the eight State Banks faced a capital shortfall in the first quarter of the year. Bangladesh Bank Governor Fazle Kabir is also expected to attend the meeting at the conference room of the finance division. The State-run Commercial Banks are Sonali, Janata, Agrani, Rupali and BASIC, while the specialised State Banks are Bangladesh Krishi, Rajshahi Krishi Unnayan and Bangladesh Development Bank. As of March, Agrani, BASIC, Janata, Rupali, Bangladesh Krishi and Rajshahi Krishi Unnayan had a combined capital shortfall of Tk 15,953.41 crore, Bangladesh Bank data shows.
Stocks in free fall as fear grips market
Dhaka stocks went into free fall on Sunday, hitting a 31-month low as the quarterly loss declared by Standard Bank shattered the already fragile confidence of investors, who have been grappling with the country’s financial sector woes including the People’s Leasing and Financial Services (PLFS) liquidation move. DSEX, the key index of Dhaka Stock Exchange, plummeted by 1.89 per cent, or 96.95 points, to close at 5,033.74 points on Sunday after losing 2.43 points in the previous session. Sunday’s plunge was the highest single-day loss in 17 months. It was the lowest since December 28, 2016 when the index was at 5,027.91 points. DSEX lost 387.88 points in last 14 trading sessions that included three positive sessions. The recent plunge saw Tk 22,500 crore wiping off the market capitalisation.
MoC drafts next Import Policy
The Ministry of Commerce (MoC) has drafted its next import policy with some changes including repeal of the existing provision of mandatory filling up of the letter of credit (LC) authorisation form before import. It has also proposed separate HS codes for importing sodium sulphate (global salt) and sodium chloride. Besides, strict monitoring has been recommended in the draft import policy to prevent the import of hazardous used plastic goods, considering the country’s environmental aspects. In the existing import policy for 2015-2018, both sodium sulphate and sodium chloride have a single HS code. “The proposed import policy for 2018-2021 has been drafted, considering the demand of the time and the recommendations put forward by different ministries and departments concerned,” said a joint secretary of the MoC.
Collaboration to accelerate RMG wage digitalisation: LightCastle Partners study
Some 82 percent of the apparel factory owners will digitise wage disbursement if it assures transparency, saves time and lowers complexities, a recent study found. The factory owners face multiple challenges with cash-based disbursements, the most pertinent of which is risks of transporting Tk 15-20 crore every month, found the study styled ‘Prospects of wage digitisation in the apparel sector | Bangladesh 2019’. The findings of the study conducted by consulting firm LightCastle Partners was unveiled yesterday at the capital’s Six Seasons Hotel. Losses caused by management malpractices and presence of fake and damaged notes are the other problems. Roughly a million apparel workers are now digitally receiving salaries from factories such as Noman Group, DBL Group and Mohammadi Group.
279 types of Businesses must take BINs irrespective of Annual Turnover
The National Board of Revenue has made obtaining business identification number (BIN) and payment of value-added tax mandatory for manufacturers of around 200 types of products ranging from dairy items to readymade garments and for service providers in 79 categories including restaurants and online sales of products, irrespective of their annual turnover. Value-added tax wing of the NBR on Thursday issued a general order with retrospective effect from July 1, the date in which the new VAT and Supplementary Duty Act-2012 came into force.Superstores and shopping malls across the country have also come under the mandatory VAT payment order.
Bank Asia’s Agent Banking deposits cross Tk 1,000cr
Bank Asia’s deposits in Agent Banking have recently crossed the Tk 1,000 crore mark, further consolidating the Bank’s position in the sector. Bangladesh Bank has so far given Agent Banking licences to 21 banks but 19 has so far rolled out their service. Of them, Dutch-Bangla Bank and Bank Asia are leading the pack with a combined market share of 78 percent. Introduced in 2016, Agent Banking allows the underserved population to take limited scale Banking and financial services by way of authorised agents.
NBR earns Tk 24.13b through ADR in two fiscal years
The National Board of Revenue (NBR) earned Tk 24.13 billion in the last two fiscal years by disposing of some 345 revenue-related cases through the Alternative Dispute Resolution (ADR) system. According to sources at the NBR, four persons helped the revenue collecting authority dispose of the cases in 2017-18 and 2018-19 financial years. Of the total amount, former NBR official Tarique Haider helped fetch Tk 15.16 billion through disposing 139 cases. In return, he took Tk 5.3 million as his fees.
‘Drug dealer’ killed in ‘gunfight’
A suspected drug peddler was killed in a “gunfight” with police at Teknaf upazila in Cox’s Bazar early yesterday. The dead Mohammad Hossain, 39, of the upazila’s Whaikhyang union, was arrested two hours before the “gunfight”, said police.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|Nikkei 225||21,428.41|| ↓38.58|| ↓0.18%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)|| $ 56.1||↑0.47||↑0.84%|
|Crude Oil (Brent)||$ 63.24||↑0.77||↑1.23%|
|Gold Spot|| $1,426.70||↑1.33||↑0.09%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 82.9002|
|GBP 1||BDT 103.6020|
|EUR 1||BDT 92.9950|
|INR 1||BDT 1.2017|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<