Three Cos’ price fly sans PSI
The share prices of three low-cap companies – National Tubes, Khulna Printing & Packaging and Gemeni Sea Food- are soaring without having any price sensitive information. Within one week, share prices of these companies soared between 12 per cent and 41 per cent, according to statistics from the Dhaka Stock Exchange. National Tubes: Within seven trading days, share price of National Tubes jumped about 41 per cent to reach at Tk 170.20 on Sunday. The company’s share price was Tk 121 on September 3. However, its share price fell 5.41 per cent to close at Tk 161 on Monday over the previous day. Its share traded between Tk 98.30 and Tk 172 each in the last one year, hitting the highest price in the last one year on Sunday. Following the ‘abnormal’ price hike, the Dhaka Stock Exchange [DSE] served show-cause notice on the company on Sunday. The company, however in a knee-jerk response informed the DSE on Monday that there was no undisclosed price sensitive information for recent unusual price hike of its shares.
Stocks post modest gain
The government is looking to use the rooftops of factories and public agencies to generate about 300MW of clean electricity through solar Photovoltaics [PV] — a move that can slash emissions and dependency on fossil fuel. The move comes at a time when the government is falling behind its target of generating 10 percent of electricity by renewable energy by 2020. The share of renewable energy is just 2.83 percent, according to Sreda. Bangladesh’s current power generation capacity is 20,834 MW, with the country remaining heavily dependent on fossil fuels and conventional energy resources to meet its energy demand for a growing economy. To increase generation of renewable energy, the government signed power purchase agreements with 11 private firms that took initiatives to establish solar parks. But thus far, only two have started operations. A lack of availability of suitable land has been blamed the most for the sluggish progress, according to Officials. Germany is one of the big proponents of rooftop solar installation. As of September 2018, total installed capacity of solar systems in Germany is 42,000 MW, of which rooftop solar installation accounts of 71.4 percent.
Australia is another leading country in rooftop solar installation. As of June, the contribution of solar rooftop system is about 43 percent of total installation.
Govt eyes 300MW Rooftop Solar Power
The government is set to modernize the state-run sugar mills with the cooperation of a German company, aiming to make them profitable. Under the move, the Ministry of Industries [MoI] has requested the company, Heinkel Drying and Separation Group, to come up with specific proposals for automation and modernization of the mills. In last week, the Company Experts had a meeting with Industries Minister Nurul Majid Mahmud Humayun in this regard at the industries ministry and presented their activities. They informed that apart from producing sugar, others products like bio-fertilizer and alcohol etc. could be produced in a significant volume by using the German technology. The Bank interests against the loans taken by the mills have been affecting the financial condition of the mills. The BSFIC has taken loans of around Tk 70 billion from different Banks. The BSFIC has to pay around Tk 10 billion in interests annually against the loans. Each of the mills, excepting Carew & Co. [Bangladesh] Ltd, incurs financial losses of around Tk 600 million annually
Govt set to import 1.4mmts Refined Fuel for six months
The government will import 1.4 million metric tonnes of refined petroleum oil for a six-month period [July-Dec] of the current year from seven state-owned companies of six countries through negotiations, reports UNB. The supplying companies are PTLCL of Malaysia, PTTT of Thailand, BSP Zapin of Indonesia, Enoc of United Arab Emirates [UAE], KPC of Kuwait and two companies from China – Petrochina and Unipec. According to official sources, state-owned Bangladesh Petroleum Corporation [BPC] has already completed the negotiations with the suppliers and the Cabinet Committee on Public Purchase [CCPP] also gave its nod to the procurement proposal on August 21 placed by the Energy and Mineral Resources Division. A similar quantity of petroleum products will be imported from international companies through an open tender process. The annual demand for the fuel oil in the country is about 6.5 million metric tonnes of which about 5.6 million tonnes is imported refined fuel, according to the sources. The BPC follows such a policy as part of the government’s strategy to import half of petroleum products from state-owned companies through negotiations and remaining half from international market through open tender process to ensure a smooth supply of petroleum in the country. The planned import of 1.4 million mts of petroleum will cost approximately $819.306 million [equivalent to Tk 69.23 billion].Of this, $784.857 million will be spent as value of the products while $34.449 million for premium which covers transportation and other charges.
Credit flow to new SMEs dries up
Credit flowing to new small entrepreneurs fell significantly in the first-half of the year as risk-averse Bankers were unwilling to offer such loans. The total lending to the fresh small and medium enterprises sector decreased by more than 15 per cent to Tk 112.93 billion in the January-June period of the year from Tk 132.90 billion in the same period of 2018, according to the Central Bank latest statistics. All Banks and non-Banking financial institutions together disbursed the loans to new enterprises in the SME sector. The number of new enterprises slipped by more than 17 per cent to 65, 350 in the first half of 2019 from 78,822 in the same period last year. Most Banks prefer to avoid investing in the new enterprises considering the lack of experience, documents and transactions. The government has already formed a high-powered committee to formulate a guideline for facilitating new entrepreneurs along with freelancers of Bangladesh.
BRAC Bank organizes Fire Drill
As part of its continuous effort to ensure workplace safety and security for the employees, BRAC Bank has conducted a fire safety and emergency evacuation drill at its Head Office in the city recently in association with the Fire Service and Civil Defense Department, said a statement. The officials of Fire Service trained the employees about use of fire extinguishing system and first aid and shared knowledge about the best practices in firefighting and safety procedure. As a values-based organization, BRAC Bank always prioritizes the wellbeing of its employees and regularly arranges fire drill exercises in its offices as a part of its commitment to workplace safety and security.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|DJIA||27,076.82 || ↓142.70||↓0.52% |
|FTSE100||7,321.41 ||↓ 46.05||↓0.62%|
|Nikkei 225|| 21,964.74 ||↓23.55||↓0.11%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 61.93 ||↓ 0.97||↓ 1.54%|
|Crude Oil (Brent)||$ 68.12 ||↓ 0.90||↓ 1.30%|
|Gold Spot||$1,498.36||↓ 0.07||0.00%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 82.9233|
|GBP 1||BDT 103.196|
|EUR 1||BDT 91.5185|
|INR 1||BDT 1.15770|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<