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 September 06, 2018

Private credit growth hits 18-month low

Private sector credit growth dropped to an 18-month low of 15.87 percent in July, as banks have adopted a “go slow” policy for loan disbursement to comply with the central bank’s newly set loan-deposit ratio. This growth was 1 percentage point less than the central bank’s target of 16.8 percent for the first half of the current fiscal year. In February last year, private sector credit growth hit 15.61 percent, which continued to rise till November when the growth reached 19.06 percent. The central bank’s decision to slash the loan-deposit ratio by 1.5 percentage points to 83.5 percent was one of the main reasons for the declining credit growth. On June 21, the Bangladesh Association of Banks, a forum of directors of private banks, decided to lower the interest rates on lending and deposit to 9 percent and 6 percent respectively from July 1. Banks are also lending cautiously keeping in mind the upcoming national polls, which is scheduled to be held in December this year.

Source: https://www.thedailystar.net/news/business/private-credit-growth-hits-18-month-low-1629907

WB, AIIB to extend $260m

The World Bank and the Asian Infrastructure Investment Bank (AIIB) are teaming up to fund a water supply and sanitation project in Bangladesh. Both the Washington-based lender and the Beijing-based lender will finance $130 million each to the $270 million scheme. The remaining $10 million will come from the state coffers to fund the five-year project from next March. Less than 50 per cent of 329 municipalities have piped water systems covering only the core areas of towns. The supply hours vary from two to 12 hours per day and the average water supply is estimated at 75 liters per capita per day. When it comes to sanitation, only 20 per cent of Dhaka has a sewer network. In a typical municipality, a small proportion of households have septic or holding tanks. Twenty-five to 50 per cent of households use water-seal latrines emptying into pits. The remaining households use unhygienic latrines or practice open defecation.

Source: http://today.thefinancialexpress.com.bd/trade-market/wb-aiib-to-extend-260m-1536172962

Govt’s borrowing from banks may go up this month

The government is set to raise bank borrowing significantly in September as part of financing its budget deficit for the current fiscal year. It may borrow up to Tk 130 billion from the banking system this month by issuing treasury bills (T-bills) and bonds, according to the auction calendar of the Bangladesh Bank (BB) released recently. The gross bank borrowing figure was Tk 18 billion for August, but it was Tk 138 billion in July. The net bank borrowing is set to reach Tk 30.50 billion by the end of this month after deducting Tk 99.50 billion as maturity of the government securities from the gross borrowing. The government will have to pay Tk 90 billion out of Tk 99.50 billion against the maturity of its securities, particularly 91-Day T-bills in September. The government’s net bank borrowing was nearly Tk 40.39 billion as on August 19, according to a BB report. The ministry of finance had set a bank-borrowing target of Tk 420.29 billion for the FY 2018-19 to finance the budget deficit. Under the proposed bank borrowing, the government will borrow Tk 239.65 billion issuing long-term bonds while the remaining Tk 180.64 billion through T-bills. The T-bills have 14-day, 91-day, 182-day and 364-day maturity periods. Also, five government bonds, with tenures of two, five, 10, 15 and 20 years respectively, are traded in the market.

Source: http://today.thefinancialexpress.com.bd/first-page/govts-borrowing-from-banks-may-go-up-this-month-1536170337

MIDAS creating economic opportunities for many

When Micro Industries Development Assistance and Services (MIDAS) began its journey in 1982 to nurture entrepreneurship, there were few organizations in Bangladesh that supported would-be entrepreneurs. MIDAS has been providing for more than 35 years. MIDAS came into being as a non-profit voluntary organization for the development of micro, small and medium enterprises (MSMEs), the largest job creator in Bangladesh, with the financial assistance of USAID. It has developed about 32,000 women entrepreneurs, according to Rahman. USAID supported MIDAS for 11 years since inception. When USAID decided to stop funding, many had thought that it would not survive. The PUM Bangladesh-MIDAS arrangement’s beneficiaries include Queens Hospitals in Jessore, LB Trade Link International, Sajib Agro Food Industries, aSix Ltd, Saidpur Enterprise in Nilphamari, the Centre for Development and Peace, Food Edge Ltd, and CORR-the Jute Works. Kazi Farms Group took services of PUM-Bangladesh through MIDAS for its poultry slaughter house, Bombay Sweets for Alooz potato chips and Aftab Dairy for different livestock services.

Source: https://www.thedailystar.net/news/business/midas-creating-economic-opportunities-many-1629874

Runner Automobiles to make upto 500cc bikes for export market

Runner Automobiles has moved to produce motorcycles of 165cc to 500cc based on imported parts and raw materials. Under a move to diversify the export basket, Runner has set a target of exporting 165cc to 500cc motorcycles to Bhutan, Myanmar, north-eastern states of India, Africa and the Middle East. The initial target of Runner Automobiles is to make motorcycles of 200cc to 250cc. The company gradually will produce motorcycles upto 500cc. The company will float IPO (initial public offering) under the book building method to raise a capital worth Tk 1.0 billion. According to financial statements for the year ended on June 30, 2017, the company’s net asset value (NAV) per share is Tk 55.70, with revaluation reserve. The value is Tk 41.94 without revaluation reserve. And the weighted average of the EPS (earnings per share) is Tk 3.31. The company manufactures 12 different types of motorcycles ranging between 80cc and 150cc.

Source: http://today.thefinancialexpress.com.bd/stock-corporate/runner-automobiles-to-make-upto-500cc-bikes-for-export-market-1536171982

Nitol-Niloy to start assembling Tata pickups this month

A growing demand for commercial vehicles has encouraged Nitol-Niloy Group to start assembling Tata pickup trucks in Bangladesh from this month. The group initially plans to assemble 800 pickup trucks every month at a plant of Nita Company Ltd, a joint venture of Nitol and Tata, located in Jessore. BRTA gave registration to 13,512 units of pickup trucks of different manufacturers in 2017, up from 11,371 units in 2016; 10,257 in 2015 and 9,554 in 2014. Nitol Motors started assembling Tata buses and trucks in 1991 and has been Tata Motors’ partner since 1988. Now, it is the largest distributor of Tata Motors in South Asia, and the most dominant player in the country’s commercial vehicle market having over 40 percent of the market share. Nitol needs to invest around Tk 300 crore in the existing assembling plant to upgrade it for manufacturing pickup trucks and it would need Tk 800 crore to go for manufacturing trucks and buses in the future. Assembly of pickup trucks would reduce its present price in the domestic market by Tk 1 lakh per unit. The group’s annual turnover was $128 million, equivalent to over Tk 1,000 crore, last year, according to its website. It has so far invested around $260 million and employs 3,170 people.

Source: http://today.thefinancialexpress.com.bd/trade-market/four-day-textile-garment-expos-begin-in-city-on-sept-12-1536077741

Local and Global Stock Indices *

Index NameClose ValueValue ChangePercentage Change
Nikkei 225$22,487.63↓93.20↓0.41%

World Commodities *

CommodityClose ValueValue ChangePercentage Change
Crude Oil (WTI)$68.62↓0.10↓0.15%
Crude Oil (Brent)$77.20↓0.07↓0.09%
Gold Spot$1,198.28↑1.55↑0.13%

Major Currencies Exchange Rates Movement in Last Seven Days *

Exchange Rates
USD 1BDT 83.7534
GBP 1BDT 108.1508
EUR 1BDT 97.4303
INR 1BDT 1.1646





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