Economy to expand 7.5pc this fiscal, projects ADB
The Asian Development Bank (ADB) has said Bangladesh’s economy is expected to advance by 7.5 per cent during the current fiscal year, powered by private consumption. The forecast is slightly lower than the government target of 7.8 per cent. Private consumption is likely to remain buoyant as remittances continue to recover. Agriculture growth in fiscal year (FY) 2018-19 is expected to be at 2.9 per cent, taking into account the high base set in FY2018, the report said. The report said industrial growth is projected to be at 11.5 per cent as private consumption remains strong and exports expand. Expansion in services, at 6.2 per cent, will “mirror trends in agriculture and industry,” the report noted. About the inflation, the ADB report said at 6.3 per cent in FY2019, unchanged from the ADO 2018 projection, with higher global fuel prices, currency depreciation, and upward adjustments to natural gas and electricity prices. Bangladesh economy is in a good shape and its growth momentum is likely to continue, he said, adding it has recorded over 7.0 per cent GDP growth for the last three consecutive years, reaching close to 8.0 per cent now. ADB has a current portfolio of US$ 9.5 billion to support physical and social infrastructures and human resources development in Bangladesh.
Climate change could cost BD 6.7pc of GDP by 2050: WB study
Rising temperature and erratic rainfall emanating from climate change could cost Bangladesh 6.7 per cent in lost GDP by 2050, a new World Bank report has warned. At the same time, around 82 per cent of the country’s population is at the risk of declining living standards due to the erratic climate condition. In case of Bangladesh, this would result in accumulated GDP loss of US$ 171 billion by 2050 while affecting the lives of 134 million people. Bangladesh’s average annual temperatures are expected to rise by 1.0°C to 1.5°C by 2050 even if preventive measures are taken along the lines of those recommended by the Paris climate change agreement of 2015. Last year, the World Bank provided support to Bangladesh to the tune of US$ 3.0 billion.
Banks’ profit rises 20pc
Banks’ net profit soared 19.55 percent in the first six months of the year, compared to the same period a year ago, propelled by impressive performance by a few private lenders. Between the months of January and June, the banks raked in profits of Tk 2,206 crore, according to the provisional data received by the Bangladesh Bank. During the period, they logged in operating profit of Tk 11,358 crore, from which Tk 3,929 crore was deducted as tax and Tk 5,223 crore as provisioning against bad loans. As of June, the banking sector’s total default loans stood at Tk 89,340 crore, up 20.23 percent from six months earlier. Among the private banks, Brac Bank recorded the highest net profit of Tk 643 crore, followed by Standard Chartered at Tk 499 crore, Sonali at Tk 327 crore and Islami at Tk 312 crore. Bank Asia put up a strong showing in the first six months of the year: its net profit shot up 75.71 percent year-on-year to Tk 123 crore. The credit growth ranged from 18.36 percent to 16.96 percent between January and June. So it was logical that the sector’s net profit grew 20 percent. The six state-run banks, however, collectively registered a net loss of Tk 1,234 crore in the first half, against Tk 1,047 crore a year earlier.
BD Venture to help raise funds online
BD Venture Ltd, a local venture capital company, has developed a web-based crowd-funding platform to create a perfect match between investors and entrepreneurs. Syed Almas Kabir, president of the BASIS, officially inaugurated the platform, the first of its kind in Bangladesh, titled ‘FundSME.com.bd’. Crowd-funding is a well-known platform in western countries and even in India where innovators can register their creative products and ideas and offer opportunities to investors to invest. This allows investors to inject even a small amount like a few thousand taka. BD Venture will take some upfront fees from the entrepreneurs for making their products ready and the match-making meetings. This type of crowd-funding platform has brought success in many countries and has changed the ecosystem of digitization.
Bangladesh-India Agrees to Form CEO Forum
To benefit people of both the countries, a Comprehensive Economic Partnership Agreement is under active consideration. A Forum of CEOs working in their respective country will also be formed, said Bangladesh Commerce Minister and his Indian counterpart after a bilateral meeting in Dhaka on Sep 26, 2018.
Source: The Daily Bonik Barta, Page 2
Novartis wins ‘Best Employer’ award
Novartis (Bangladesh) Limited, a leading multinational pharmaceutical company of the country, has been awarded as the ‘Dream Companies to Work For’ in the pharmaceutical sector in ‘Bangladesh Best Employer Brand Awards-2018’, reports UNB. Employer Banding Institute-India with World HRD Congress and Stars of the Industry Groups have named the award winners recently at a city hotel. Bangladesh Best Employer Brand Awards, recognising organisations across the Industries, is the premier Employer Branding award programme in Bangladesh. In partnership with “Chartered Human Recourses Organisation-ASIA”, the “Employer Branding Institute-India” has been organising this award for the last 17 years to recognise the best-in-class organisation as an employer in Asia, Gulf Countries and Africa.
Mita – The Virtual Chatbot Assistant of Banglalink Arrives
The 24/7 AI-tech ‘Lady’ Mita will render more easy automatic service to their Customers through Facebook Messenger.
Source: The Daily Bonik Barta, Page 3
Dhaka, Delhi agree to ink economic partnership deal
Bangladesh and India on Wednesday reached consensus over signing a Comprehensive Economic Partnership Agreement (CEPA) in an attempt to boost bilateral trade and investment. This comprehensive economic partnership will benefit people of both countries and the deal will be signed after taking all the issues of Bangladesh into consideration. CEPA is a bilateral comprehensive agreement on trade in goods and services and investment. Under a standard CEPA, two countries also agree to negotiate competition, intellectual property (IP) rights and dispute settlement mechanism. India officially proposed Bangladesh to sign a CEPA early this year at the commerce-secretary level meeting and in July gave a reminder to the matter. Bilateral trade balance, however, is heavily tilted towards India and reached around $5,500 million. Bangladesh’s merchandise export to India stood at $873.27 million in the past fiscal year. In contrast, the net inflow of Indian foreign direct investment (FDI) in Bangladesh stood at $114.65 million in 2017.
Singapore firm invests $15m in Shohoz
Online ride-hailing and ticketing platform Shohoz yesterday announced it has raised $15 million from Golden Gate Ventures of Singapore to expand its business. However, both Shohoz and Golden Gate Ventures declined to give the number of shares the investor will receive in exchange of the fund. This additional money will be helpful to expand and make new acquisition. Shohoz began its journey four years ago with some angel investment and started the ride-sharing service in January this year. It is the market leader in e-ticketing. In the ride-sharing business, Shohoz’s focus is on the bike segment. It rolled out the car-sharing service last week. It is now working to introduce insurance for both riders and passengers within a short time. Since 2011, the firm has invested in more than 30 companies in a number of countries in Asia. It invests in internet and mobile startups in sectors such as e-commerce, payments, marketplaces and mobile applications.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|DSEX|| 5390.85074 || ↓50.62|| ↓0.52%|
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 72.42|| ↑0.85||↑1.19%|
|Crude Oil (Brent)||$ 82.11||↑0.77||↑0.95%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 83.9523|
|GBP 1||BDT 110.4309|
|EUR 1||BDT 98.6440|
|INR 1||BDT 1.1588|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.