BB’s refinancing fund for jute gets huge response

The refinancing scheme of Bangladesh Bank for jute sector has drawn a huge response from borrowers as banks have already disbursed Tk 343.22 crore revolving loan since its launch in June 2014. BB launched the refinancing scheme with a fund of Tk 200 crore in 2014 to support jute sector for bringing back its glorious past. Eighteen private and public commercial banks were nominated for channelling the fund to the public and private jute mills, raw jute traders and exporters. The banks are Sonali Bank, Rupali Bank, Agrani Bank, Janata Bank, Basic Bank, United Commercial Bank, IFIC Bank, National Bank, Prime Bank, AB Bank, Mercantile Bank, Uttara Bank, Bank Asia, Standard Bank, One Bank, The City Bank, NRBC Bank and Rajshahi Krishi Unnayan Bank. ‘Of the allocated fund, the banks initially disbursed Tk 175.23 crore. But the amount of disbursement has increased to Tk 343.22 crore due to huge demand from borrowers,’ said an official of BB. He said the central bank allocated Tk 77.63 crore for public jute mills, Tk 93.67 crore for private jute mills and Tk 28.70 crore for raw jute traders and exporters at 5 per cent interest rate to the banks.

Source:
http://www.newagebd.net/article/23835/bb%E2%80%99s-refinancing-fund-for-jute-gets-huge-response
http://www.theindependentbd.com/post/113654
http://today.thefinancialexpress.com.bd/trade-market/jute-mills-traders-benefit-from-bb-refinancing-scheme-1505147332

BB decides to keep watchful eye on exposure of banks

The central bank has decided to strengthen monitoring of commercial banks’ exposure to share market with a view to avoiding recurrence of an unwanted situation, officials said. Under the latest move, the banks will have to submit their reports on fresh investment in the capital market to the Bangladesh Bank (BB) on weekly basis, mentioning daily transactions separately. Currently, the banks are eligible to submit such weekly reports to the Department of Off-site Supervision (DOS) of the central bank on gross transactions basis without mentioning daily transactions separately. The report must be submitted to the central bank’s concerned department on Thursdays within 5.00 PM by e-mail, according to a communication, issued by the BB Monday. “We’ve intensified our monitoring and supervision on banks’ investment in the capital market through revising reporting format,” a BB senior official told the FE. Under the revised reporting format, the banks will have to furnish information about total fresh investments in the stock market along with total fresh fund provided to their subsidiaries. Besides, the banks will need to provide information about the margin loans made available to the customers by the subsidiaries on daily basis. The central bank has laid emphasis on the issue of minimising risks of the banks, according to the official.

Source: http://today.thefinancialexpress.com.bd/first-page/bb-decides-to-keep-watchful-eye-on-exposure-of-banks-1505151187

Banks’ CSR spending up 15.84pc in H1

Banks’ CSR expenditure increased by 15.84 per cent to Tk 326.22 crore in the first half of this year from Tk 281.59 crore during the corresponding period a year ago. But 26 banks failed to spend 30 per cent of their total expenditure in educational sector defying the central bank’s directive. Six banks failed to spend any fund in their corporate social responsibility programmes’ fund in the January-June period of this year, according to a recent Bangladesh Bank report. The six banks are: Rupali Bank, Bangladesh Krishi Bank, Rajshahi Krishi Unnayan Bank, Bangladesh Development Bank, ICB Islamic Bank and Woori Bank. Besides, eight more banks spent an insignificant amount of CSR fund in the first six months of this year. The banks are: Janata Bank, BASIC Bank, Bangladesh Commerce Bank, Meghna Bank, Bank Alfalah, Commercial Bank of Ceylon, Habib Bank and National Bank of Pakistan. The eight banks collectively spent only Tk 1.16 crore in their CSR programmes. The banks and NBFIs will have to use 30 per cent of total CSR expenditure in the education sector for the underprivileged population, according to the central bank circular.

Source: http://www.newagebd.net/article/23832/banks-csr-spending-up-1584pc-in-h1

Agent banking accounts soar 60pc

About 3.3 lakh agent banking accounts were opened in the first half of the year — an increase of 60.18 percent — thanks to the growing popularity of this new form of banking service aimed at those living in remote areas across the country. So much that some banks are giving higher priority to developing their agent banking infrastructure than to building their mobile banking platform. Agent banking means providing limited scale banking and financial services to the underserved population through engaged agents under a valid agency agreement, rather than a teller/ cashier. It is the owner of an outlet who conducts banking transactions on behalf of a bank. The Bangladesh Bank has decided to promote this complimentary channel to reach the poor segment of the society as well as existing bank customers with a range of financial services, especially to geographically dispersed locations.

Source: http://www.thedailystar.net/business/agent-banking-accounts-soar-60pc-1460974

Bankers form association of anti-money laundering

Bankers formed an association of anti-money laundering compliance officers with a view to working jointly in combating money laundering and terrorist financing and extending cooperation to Bangladesh Financial Intelligence Unit (BFIU) and other regulatory authorities, a press statement said. The chief anti-money laundering compliance officers (CAMLCO) and their deputies will be representing their respective banks in the association. An executive committee (EC) of the association was formed unanimously in presence of all the members during the CAMLCO Conference 2017. The EC elected Faruq Mainuddin, chief anti-money laundering compliance officer of City Bank, as its chairman and Swapan Kumar Biswas, Mutual Trust Bank’s CAMLCO, as the general secretary. The executive committee also elected vice chairmen from Janata Bank and Standard Chartered Bank, treasurer from Islami Bank Bangladesh and joint secretaries from Dhaka Bank and Bank Asia.

Source: http://www.theindependentbd.com/post/113652

Savings tools face reforms

The government plans to introduce two different interest rates on savings tools in order to rein in its growing reliance on the high-cost borrowings. The government is considering to lower the interest rate on savings certificates for institutional buyers and keep the rate for individual buyers unchanged, said an official in the finance ministry. The official said the rate for institutional buyers could be brought down to close to the rates offered by banks. Hedayetullah Al Mamoon, senior secretary of the finance division, said the ministry is examining the matter, but no decision has been taken yet. He said the savings scheme system would be remodelled keeping in mind the small savers.

Source:
http://www.thedailystar.net/business/savings-tools-face-reforms-1460980
http://today.thefinancialexpress.com.bd/trade-market/july-sees-tk-735b-savings-tools-sales-1505147223

That’s It Fashions to buy 1.1cr shares of Pubali Bank

That’s It Fashions Ltd, one of the corporate directors of Pubali Bank, announced yesterday that it wants to buy 1.1 crore shares of the bank within next 30 working days. That’s It Fashions, a concern of Ha-Meem Group, will buy the shares from the block market through stock exchanges, according to a posting on the Dhaka Stock Exchange website. The garment-maker will have to spend nearly Tk 30 crore to buy the shares at the present market price. A Pubali Bank share traded at Tk 26.5 yesterday.

Source: http://www.thedailystar.net/business/thats-it-fashions-buy-11cr-shares-pubali-bank-1460971

The Mutual Trust Bank Limited opened its Agent Banking Centre at Taltola Bazar

The Mutual Trust Bank Limited opened its Agent Banking Centre at Taltola Bazar, Sonargaon, in Narayanganj recently. Group Chief Communications Officer Azam Khan, Head of Agent Banking Madan Mahan Karmoker and Head of Privilege Banking & Cash Management Unit Irfan Islam of MTB inaugurated the centre..

Source: http://today.thefinancialexpress.com.bd/trade-market/the-mutual-trust-bank-limited-opened-its-agent-banking-centre-at-taltola-bazar-1505147952