BB increases Farm Loan disbursement target by 10.66pc
The Bangladesh Bank has raised the agriculture and rural loan disbursement target by 10.66 per cent for the current fiscal year (FY2019-20), compared to the immediate past fiscal year. The Central Bank set the target at Taka 241.24 billion for FY20, which was was Taka 218.00 billion in the last fiscal. Deputy Governor of the Central Bank SM Moniruzzaman announced the target on Tuesday while rolling out the agriculture and rural credit policy for the FY20 at a meeting at the Central Bank’s headquarters in Dhaka. According to the new policy, State owned Commercial and Specialised Banks will disburse Taka 103.75 billion while private and foreign Commercial Banks will disburse Taka 137.49 billion. The Deputy Governor said the target will not be difficult to achieve for the Banks, as they disbursed Taka 236.16 billion last fiscal exceeding their annual disbursement target (by 8.33 per cent).
VAT on Pharmaceutical items included in retail prices: NBR
Pharmaceutical Companies will have to consider that the rates of value-added tax on both production and sales of medicines are included in the retail prices of the products set by the Director General of Drug Administration, the National Board of Revenue said. The VAT rate applicable to production of medicines is 15 per cent and to sales of the products is 2.4 per cent under the new VAT and Supplementary Duty Act-2012 that came into effect from July 1 and the Companies will count the VAT within the price and pay it to the government exchequer, it said. Traders will not charge consumers any VAT at trading stage, it added. The revenue board said it in a general order issued determining the VAT calculation and collection method for medicines and petroleum products such as diesel, kerosene, octane, petrol and furnace oil to keep the prices of the products stable and avoid confusion over VAT on the sectors.
BAIL to set up $200m plant to make Electric Vehicle
Local automobile Company Bangladesh Auto Industries Ltd (BAIL) is all set to make Electric Vehicles from next year with an initial investment of $200 million. The facilities, civil work and utility connection of the proposed plant on a 100-acre of land at the Mirsarai economic zone in Chattogram will be completed by December this year, Mir Masud Kabir, said Managing Director of BAIL. He also added, they will install the manufacturing equipment by March next year and the manufacturing will begin in June. BAIL will manufacture two-wheelers, three-wheelers, sedan, hatchback and Sport Utility Vehicle (SUV) and has plans to produce pick-ups, mini-trucks and multipurpose vehicles. Of the planned $200 million investment, 80 percent will be sourced locally, while the rest will enter the country as a foreign direct investment.
Stocks rebound on Regulators’ intervention
Dhaka stocks on Tuesday rebounded as some institutional investors moved to halt a continuous plunge in share prices amid the market regulator’s intervention. DSEX, the key index of Dhaka Stock Exchange, soared by 2.24 per cent, or 111.31 points, to close at 5,077.75 points on Tuesday after losing 170 points in the previous three sessions. The market began to soar from the very beginning of the day and continued with the momentum until the end of the session as the regulator moved to halt the downward trend after a plunge of 167 points in the previous two days, market operators said. They said that the institutional investors were active throughout the session following their meetings with market regulator Bangladesh Securities and Exchange Commission.
BB hiked transaction limit of PSP e-wallet
Bangladesh Bank on Tuesday raised transaction limit through payment service providers’ e-wallet. The Central Bank has allowed running e-wallets like iPay and Dmoney setting transactions limit for each of them but fixed the transaction limit for PSP sector for the first time by raising the limit, a BB senior official said. BB in a circular set the limit of balance in individual e-wallet account at Tk 4 lakh while limit of daily and monthly money input was set at Tk 1 lakh and 4 lakh respectively. Daily fund transfer limit through e-wallet was set at Tk 1 lakh and monthly at Tk 4 lakh in case of transfer of fund to Bank account or Person-to-Person. The BB circular, however, said that the upper limit would not be applicable in case of Person-to-Business, Business-to-Person, Business-to-Business and non-individual transactions.
BSEC to take action against two Brokerage firms
The stock market regulator has asked its department concerned to take stern action against two brokerage firms for mismatch between inflow and outflow of their clients’ funds deposited in the consolidated customers’ accounts. The Bangladesh Securities and Exchange Commission (BSEC) gave the instruction at a meeting. The securities regulator has instructed its enforcement department to take action against M Securities, a brokerage firm of the Dhaka Stock Exchange (DSE), as there is a deficit in the consolidated customers’ account. The securities regulator will also take action against the First Lease Securities, a brokerage firm of the Chittagong Stock Exchange (CSE), for such a mismatch of funds.
Satellite, Submarine Cable Business may open to Private Sector
The government is set to open up the satellite and undersea submarine cable Business to the private sector as it looks to expand the capacity in preparation for a Digital Bangladesh. At present, two separate state-run companies — Bangladesh Submarine Cable Company Limited (BSCCL) and Bangladesh Communication Satellite Company Limited — run the undersea cable and cosmos communication Business.
Bangladesh invents green throw-away bags from Jute
As countries around the world try to cut down on throw-away plastic shopping bags, Bangladesh is hoping to cash in on an alternative: plastic-like bags made from jute, the plant fibre used to produce burlap bags. A Bangladeshi scientist has found a way to turn the fibre into low-cost biodegradable cellulose sheets that can be made into greener throw-away bags that look and feel much like plastic ones.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|Nikkei 225||21,728.84|| ↑107.96|| ↑0.50%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)|| $ 57.09||↑0.32||↑0.56%|
|Crude Oil (Brent)||$ 64.15||↑0.32||↑0.50%|
|Gold Spot|| $1,420.22||↑2.39||↑0.17%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 82.9566|
|GBP 1||BDT 103.2590|
|EUR 1||BDT 92.6802|
|INR 1||BDT 1.2020|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<