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 June 11, 2020

Bank debt target likely at Tk 880b

The government is likely to set its bank borrowing target at Tk 880 billion to partly finance the budget deficit for fiscal year 2020-21. A senior official familiar with the public-debt management said on Wednesday the government will borrow the money from all banks by issuing Treasury Bills and Bangladesh Government Treasury Bonds to close budget gap, defined as the difference between overall expenditure and revenue and other receipts.The government has already exceeded its revised bank borrowing target fixed at Tk 729.51 billion. Earlier, the government had lifted its bank borrowing target by more than 54 per cent from the original goal of Tk 473.64 billion for the outgoing fiscal year. The government is set to make a net borrowing of nearly Tk 142 billion from the country’s banking system in June, the last month of the FY ’20. The government may take up to Tk 260 billion as gross borrowing from the banking system in June 2020 by issuing T-bills and bonds, according to the auction calendar, issued by the central bank recently. The government’s net bank borrowing may reach Tk 141.80 billion in a single month (June), after deducting Tk 118.20 billion against the government securities that would be mature in the month. Besides, the government is eligible for borrowing Tk 120 billion through using the ways and means advances (WMAs) along with the overdraft (OD) drawing facilities from the central bank on the same ground.

Source: https://today.thefinancialexpress.com.bd/first-page/bank-debt-target-likely-at-tk-880b-1591810837

Stocks end flat for investors’ apathy

Dhaka stocks finished almost flat with a sluggish turnover on Wednesday, as the ongoing coronavirus pandemic and floor price limitation kept the investors watchful. The Dhaka Stock Exchange (DSE) key index – DSEX – went up by 4.37 points or 0.11 per cent to close at 3,966. Turnover slumped to Tk 594 million, which was 12 per cent lower than the previous day. The investors did not show any enthusiasm for buying shares at current price level amid the fast-spreading Covid-19 pandemic.The DSE core index is hovering at 3,960 points in the last few sessions, as the investors are reluctant to make any fresh investment in stocks amid gradual worsening of the pandemic situation. The death toll from Covid-19 outbreak and the number of detected patients keep rising rapidly in recent days. The total death from the deadly virus infection reaches 1,012, and the number of infected person stands at 74,865 in the country as of Wednesday (June 10).Of the issues traded, 235 remained unchanged, while only 24 issues advanced, and 15 declined on the trading floor. Two other DSE indices also edged up. The DS30 index, comprising blue chips, advanced 3.15 points to finish at 1,332, and the DSE Shariah Index gained 1.50 points to close at 919.A total number of 12,512 trades were executed in the day’s trading session, with trading volume of 21.88 million shares and mutual fund units. The DSE market-cap also inched up to Tk 3,105 billion, from Tk 3,102 billion in the previous session. Pharma sector dominated the turnover chart, grabbing 53 per cent of the day’s total turnover. BeximcoPharma topped the turnover chart with shares worth Tk 93 million changing hands, followed by GlaxoSmithKline, Beximco, Meghna Petroleum and Central Pharma. BeximcoPharma was the day’s best performer, posting a gain of 3.28 per cent, while Meghna Cement was the worst loser, shedding 3.07 per cent.

Source: https://today.thefinancialexpress.com.bd/stock-corporate/stocks-end-flat-for-investors-apathy-1591805523

Finance minister draws a bead on economic recovery

The national and global lockdown measures aimed at battling the Covid-19 pandemic have taken their toll on Bangladesh’s industrial production, obliterating tens of thousands of jobs, incomes and demand. And for the first time in 30 years, the poverty curve, which has been on the downward since fiscal year 1992, is set to reverse the trend. Compared to May 2019, firms reported they operated at only 58.8 per cent capacity in May. For the first time since 1980, Bangladesh is forecasted to post its lowest-ever GDP growth. The World Bank earlier this week said the economy would grow by 1.6 per cent in FY20, in a stunning decline from the 8.15 per cent logged last fiscal year. Non-listed companies are expected to see a 2.5 percentage points cut in tax to 32.5 per cent from 35 per cent now. The current rate of corporate tax has been unchanged for the last six years, showed data from the National Board of Revenue. The ERG study finds that 57.6 per cent of the firms remained closed even after 45 days of the announcement of the lockdown. More than a quarter of the firms reported about their inability to pay salaries beyond May and 80 per cent would not be able to pay beyond September. In another rapid survey among 42 firms recently, the Centre for Policy Dialogue said all the firms claimed that there has been an adverse impact on export owing to Covid-19. And 73 per cent reported an effect on production and import. In order to stimulate investment and give relief to businesses, the government is likely to bring down the turnover tax rate for small and medium enterprises recording turnovers of Tk 50 lakh to Tk 3 crore annually.

Source: https://www.thedailystar.net/business/news/finance-minister-draws-bead-economic-recovery-1912393

$15m City Bank-ITFC loans for SMEs

City Bank has entered into a $15 million trade finance partnership with International Islamic Trade Finance Corporation (ITFC) for providing short-term loan facilities to small and medium enterprises. The SMEs will get the funds through an Islamic banking window for importing raw materials.The financing of Jeddah-based ITFC, the trade financing arm of Islamic Development Bank (IsDB), comes as part of the IsDB’s COVID-19 response strategy, says a press release. The strategy focuses on providing life-saving support through the provision of medical supplies, staple food and fertiliser for agricultural production to some of the Organisation of Islamic Cooperation countries. Supporting the SMEs as they emerge out from the pandemic is ever more critical now as financial resources of OIC member countries are stretched to meet the urgent medical and staple food supplies.

Source: https://www.thedailystar.net/business/news/15m-city-bank-itfc-loans-smes-1912345

Dutch-Bangla Bank’s profit surges 59pc in first quarter

Dutch-Bangla Bank Ltd’s profit after tax surged 59 per cent year-on-year in the first quarter (Q1) of January-March, 2020. The board of directors of the bank in a meeting held on Tuesday, among others, approved the provisional and un-audited financial statements for the three months ended on March 31, 2020 for circulation to all concerned. As per the disclosure, the bank’s profit after tax stood at Tk 754.86 million in January-March, 2020, against Tk 473.81 million in the same quarter in the previous year.The company’s earnings per share (EPS) stood at Tk 1.51 for January-March 2020 against Tk 0.95 for January-March 2019. The net operating cash flow per share (NOCFPS) was Tk 17.86 for January-March 2020 against Tk 4.09 for January-March 2019. The net asset value (NAV) per share was Tk 56.35 as on March 31, 2020 andTk 47.12 as on March 31, 2019. The bank also informed that EPS, NAV per share and NOCFPS for the Q1 in 2019 were restated for the increase in the number of shares outstanding due to issuing 150 per cent bonus shares for the year ended on December 31, 2018. Each share of the bank, which was listed on the Dhaka Stock Exchange in 2001, closed at Tk 56.90 Wednesday, remaining unchanged from that of the previous day. The bank’s share traded between Tk 49.10 andTk 79.60 in the last one year. Recently, the board of directors of the bank recommended 30 per cent cash dividend for the year ended on December 31, 2019.

Source: https://today.thefinancialexpress.com.bd/stock-corporate/dutch-bangla-banks-profit-surges-59pc-in-first-quarter-1591805593

Local and Global Stock Indices *

Index NameClose ValueValue ChangePercentage Change
DSEX3,966.75413↑4.38↑ 0.11
↓282.31↓1.04 %
Nikkei 22522,607.10↓517.85↓2.24%

World Commodities *

CommodityClose ValueValue ChangePercentage Change
Crude Oil (WTI)$38.35 ↓1.25↓3.16%
Crude Oil (Brent)$ 40.59↓1.14↓2.73%
Gold Spot$1,731.75↓6.95↓0.40%

Major Currencies Exchange Rates Movement in Last Seven Days *

Exchange Rates
USD 1BDT 83.2435
GBP 1BDT 106.161
EUR 1BDT 94.5831
INR 1BDT 1.10294





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