Business
Grameenphone approves 220% cash dividend at its 26th AGM
The 26th Annual General Meeting (AGM) of Grameenphone which was held virtually, concluded today.
During the AGM, Grameenphone Board approved a final dividend in cash at the rate of 95% of the paid-up capital, or Tk 9.5 per share of Tk 10 each. With this cash dividend pay-out, the total cash dividend stands at 220% of the paid-up capital, including the previous 125% interim cash dividend pay-out, amounting to 98.72% of Profit after tax for the year 2022, according to a press release.
Grameenphone chair Jorgen C Arentz Rostrup; CEO Yasir Azman attended the AGM, among others, while Company Secretary S M Imdadul Haque conducted it.
“2022 was a milestone year for Grameenphone, as we marked 25 years of providing mobile connectivity for millions of people and businesses across Bangladesh," said Rostrup.
"Despite adverse regulatory and macroeconomic challenges, the Board of Directors is pleased to report that the Company delivered on top-line growth, enabled by network investments, strength in market execution, and greater efficiency from digital transformation and modernisation efforts across the organization,” he said.
“In 2022, as always, our customers continued to be our biggest priority, and we strived to serve their growing needs and deliver better experiences with modernizing efforts and continuous investment. We acquired the maximum allowable 60 MHz spectrum in the auction for the 2600 MHz band and also focused on expanding the network. Despite various challenges, we successfully maintained our network strength and drove constant innovation- introducing e-SIM for the first time in Bangladesh while also further developing our customized product portfolio,” said Yasir.
“Overall, in 2022, we delivered strong financial results and have taken some definitive steps to improve customer experience. We remain committed to creating value in the lives of our customers, stakeholders, and shareholders and hold our place as the preferred digital connectivity partner in Bangladesh,” he added.
Air Astra offers 10% discount on tickets purchased using Nagad
Private airliner Air Astra is offering a 10% discount on base fares for tickets on payment using Nagad, a mobile finance service of the Bangladesh Postal Department.An agreement was recently signed made between Nagad and Air Astra in this regard at the former’s head office in the capital’s Banani area, said a press release today.Maruful Islam Jhalak, executive director of Nagad, and Mohammad Mozammel Haque Bhuiya, head of Sales and Marketing of Air Astra, signed the agreement on behalf of their organisation.Mohammad Mahbub Sobhan, head of Business Sales, Nagad and AFM Rubayat-Ul-Jannat, assistant general manager (Brand Marketing), Air Astra, were present at the time, among others.The offer is valid till July 5 of this year. There will be some changes in the terms and conditions of this offer during the time of Eid-ul-Adha, said the release.“We are taking up different initiatives to ease people’s lives. The 10 percent discount on airfares will bring some comfort to travel lovers," said Maruful Islam Jhalak, executive Director of Nagad. Nagad’s mega campaign is also going on for customers across the country on payments of goods and services purchased from 6,000 outlets of more than 300 brands, added the release.
Preparing next budget a daunting task amid IMF pressure, global economic slowdown, speakers tell ERF workshop
Speakers at a budget reporting workshop on Wednesday said that preparing the national budget for FY 2023-24 will be a challenging job amid global economic downturn and the IMF’s pressure to cut subsidies.
They said the governments will try to give a popular budget in the election year, but the International Monetary Fund (IMF) wants reforms in the financial sector and reduction of subsidies by increasing the prices of electricity and fuel oil.
They said this while speaking in a workshop on budget reporting, organised jointly by Research and Policy Integration for Development (RAPID), The Asia Foundation, and Economic Reporters’ Forum (ERF).
The government has to focus on raising revenue collection by increasing the tax net and stopping tax evasion to meet the expenditures, the speakers said.
Dr Mohammad Abdur Razzaque, Chairman of RAPID, and Dr M Abu Eusuf, executive director of RAPID, gave separate presentations highlighting different sectors of the budget emphasising on the need for increasing government expenditures.
They also emphasised on the need for increasing the tax-GDP ratio through increasing the capacity of NBR and tax officials as it is related to raising the government’s ability to spend more on welfare and development sectors.
Shamsul Huq Zahid of the English Daily the Financial Express said the budget is a state document of expenditures, but the budget lost its importance while bureaucrats prepare a budget that is only read out in Parliament.
He said that people’s engagement is very important to make the budget pro-poor and need-based.
Zahid also opposed any steps for hiking or reducing prices of different products by NBR’s SROs. He said all such decisions should be determined in Parliament.
ERF president Mohammad Refayet Ullah Mirdha presided over the discussion meeting.
Sugar disappears from Dhaka stores amid high price
Loose sugar was on Wednesday selling in Dhaka markets atTk135 to Tk 140 per kg – much higher than the government-fixed price – citing short supply.
On April 8, the government set price at Tk104 per kg for loose sugar and at Tk 109 for packaged sugar. Consumers, however, complained the ceiling hardly worked.
In the retail market packaged sugar has hardly been available. And even for the loose sugar the consumers have to pay Tk135 to 140 or per kg, up from Tk120 to 125 a kg last week.
On Wednesday, during visits to different markets in the capital this correspondent saw no packaged sugar in the stores. Traders reported no supply of sugar since Eid-ul-Fitr festival late last month.
The wholesale companies have failed to deliver citing short supply.
Importers blame the short supply on the high price of sugar in international market affecting domestic supply.
They are waiting for the government to decide if they would go for import at higher prices. They too have reduced imports due to higher prices.
Read more: Sugar price reduced by Tk 3 per kg: Commerce Ministry
According to the government agency, Trading Corporation of Bangladesh (TCB), the price of sugar increased by 15 percent in a month while it increased by more than 62 percent in one year.
Salmat Sarder of Chadpur Store of Karwan Bazar told UNB that packaged sugar has not been available for a long time. Loose sugar purchased at the wholesale level is more than Tk130 per kg. Still, dealers are not giving purchase receipts.
Bangladesh aims to pursue next level of growth with high-value added apparels: BGMEA chief
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Worldex India will collaborate on strengthening connections between businessmen of Bangladesh and India to realize untapped trade potential, particularly in the textile and apparel sector.
The two organizations will work jointly to bring closer suppliers and exporters of apparel, textile, chemicals, machinery and other raw materials through trade shows.
Executive Director of Worldex Arti Bhagat called on BGMEA President Farque Hassan at BGMEA Complex in Uttara in Dhaka on May 2.
Senior Head (Operations & Marketing) of Worldex India Zahir Merchant was also present at the meeting.
In the meeting, they discussed possible collaboration between BGMEA and Worldex India in creating platforms to bring businessmen of two countries together and facilitate more business interactions.
The current business landscape has created huge opportunities for Bangladesh and India to reap mutual trade benefits by assisting each other in the textile and apparel sector.
Faruque Hassan said Bangladesh aims to pursue the next level of growth with high-value added apparels including manmade fibre-based garments, and India is a major supplier of MMF, chemicals, dyes and other raw materials.
"On the other hand India wants to boost its textile exports.”
Given the geographical proximity and the demand-supply match, the scope is enormous for both countries to complement each other, and make the most of the opportunities, he added.
Laying the emphasis on increasing more direct business interactions between Bangladeshi RMG exporters and Indian textile products suppliers, Faruque Hassan said it would help to derive reciprocal trade benefits.
He expressed hope that the Bangladesh and India trade relationship would be strengthened more in the coming years through meaningful cooperation.
Bangladesh, World Bank sign US$ 2.25 billion loan agreement comprising 5 projects
World Bank will provide USD 2.25 billion as loan to Bangladesh to develop various sectors, including regional trade and connectivity, disaster preparedness and environmental management.
A loan agreement was signed on Monday (May 01, 2023) between Bangladesh and the World Bank for implementing five projects.
Prime Minister Sheikh Hasina and World Bank President David Malpass witnessed the exchanges of the financing agreement.
Read: Stay with us in implementing future physical & social mega projects: PM Hasina to WB
This loan agreement comprises five projects:
· Accelerating transport and trade connectivity in Eastern South Asia (ACCESS) – Bangladesh Phase-1 Project worth USD 753.45 million.
· USD 500 million Resilient Infrastructure Building Project (RIVER) for resilience, adaptation and vulnerability reduction that will be the first major investment to support Bangladesh’s Delta Plan 2100. It will help improve disaster preparedness against inland flooding.
· USD 500 million First Bangladesh Green and Climate Resilient Development (GCRD) project is the first such credit that will help the country’s transition to resilient development.
· USD 250 million Sustainable Microenterprise and Resilient Transformation (SMART) project aims to help transform the microenterprise sector into a more dynamic, less polluting, resource efficient and climate resilient growth sector.
· USD 250 million Bangladesh Environmental Sustainability and Transformation (BEST) project to help strengthen environmental management and promote private sector participation in green investment.
Read More: External pressure behind World Bank's withdrawal from Padma Bridge, says PM Hasina urging it to look into future
Silent Partner vs Investor in Business: Know the Difference, Pros and Cons
Starting a business is exciting, but it requires capital to get off the ground. While there are various ways to finance a business, two common options are having a silent partner or seeking an investor. Both options can bring in the necessary funds but have different implications for the business' ownership and management. This article will explore the key differences between a silent partner and an investor, including their roles, responsibilities, and expectations. By understanding these differences, a business owner can decide which funding option is the right fit for his or her business and associated goals.
Who is a Silent Partner or Sleeping Partner in a Business?
A silent partner, also known as a sleeping partner, is an individual or entity that invests money in a business without actively participating in its management or operations. In other words, a silent partner provides capital and shares in the profits or losses of the business but does not take an active role in decision-making or day-to-day operations.
Silent partners are typically passive investors who are looking for a return on their investment, and they may not have any expertise or experience in the industry or market of the business they are investing in. While they do not participate in the management of the business, silent partners may still have some rights and responsibilities, depending on the terms of the partnership agreement.
Read More: What to Consider Before Investing in a Startup or Company?
Differences Between a Silent Partner and an Investor
Although a silent partner and an investor both provide capital to a business, there are key differences between the two.
Role and Involvement
A silent partner provides capital without actively participating in the management or operations of the business. On the other hand, an investor may take on an active role in the business and offer strategic guidance and expertise.
Risk and Liability
Silent partners generally have limited liability and are only liable for their investment amount. In contrast, investors may have unlimited liability and potentially lose more than their initial investment.
Read More: What to Consider Before Buying Land: A Step-by-Step Guide
Return on Investment
Silent partners typically receive a share of the profits based on their ownership stake, while investors may receive a return on investment in the form of equity, interest payments, or a combination of both.
No export-import at Hili land port on May Day
On the occasion of International Labour Day (May Day), all activities including the import and export of goods between Bangladesh and India through Hili land port in Dinajpur have been stopped.
Abdur Rahman Liton, president of the Banglahili Customs C&F Agents Association, said, "May Day is being observed across the world today. Therefore, it has been decided to stop the import-export activities between the two countries through Hili land port today as it is a transport-labour-based operation, and this is a public holiday. All port operations will resume on Tuesday.”
SM Haider, assistant manager of Panama Hili Port Link Limited, a private operator, said the land port authority has organized a discussion with the workers at 11 am. There will be a doa mahfil and food will be distributed among the workers.
Sheikh Ashraful, officer-in-charge (OC) of Hili Immigration Check-post, said immigration activities are normal from 9:00 am to 6:30 pm every day of the week, and they are exempt from public holidays. On May Day, the import and export of goods, including the activities of the land port, will be closed, but using the check post, travelers will be able to move between Bangladesh and India with valid visas.
Bangladesh may opt to align energy prices with intl market rates
Bangladesh may soon prefer to set the petroleum fuel prices in line with with the international market prices.
Such an idea was floated by the Energy and Mineral Resources Division during its meeting with the visiting team of the International Monetary Fund (IMF) on Sunday, said a source at the division.
According to sources, the IMF has been pressing the government to follow a specific formula to set its petroleum fuel prices as per the prices in the international market as part of the lending agency’s $4.7 billion loan agreement, as it does with the LPG price at present.
Currently, at the beginning of every month the government announces the LPG price as per the global market rate.
As a result, no subsidy is being given on LPG.
But the government has to provide a huge subsidy in the petroleum sector.
Officials said the IMF has been pressing the government to withdraw its subsidy by liberalising the petroleum fuel price like the LPG price.
The IMF team was led by Rahul Anand, the head of the Asia Pacific Region of the lending agency, while energy secretary Dr Khairuzzaman Majumder led the Energy and Mineral Resources Division at the meeting.
Official sources said the officials of the Energy and Mineral Resources Division briefed the IMF teams about the measures taken by the division in the energy sector following the government’s loan agreement with the lending agency.
They said that earlier the government had to raise the prices of gas, petroleum and electricity as per conditions of the IMF to receive the $4.7 billion in loan.
“But the lending agency wants Bangladesh fully pursue a policy in setting the energy prices under which it should not need to provide any subsidy,” said a senior official of the Energy and Mineral Resources Division.
However, energy secretary Dr Khairuzzaman Majumder was not available to comment on the issue.
US Bangla offers special Bangkok package
Private carrier US-Bangla Airlines has announced a special package for Bangkok with free accommodation.
The special package starting from TK 40,590 includes Dhaka-Bangkok-Dhaka return ticket on the route, a free stay at popular hotels such as Ambassador Square Wing (Main Wing)-11 and Sky Wing (Tower Wing)-11 and Hotel Grand President-11 for two nights and daily buffet breakfast.
Apart from twin sharing, there are various packages for children. There is a facility to take any package to Bangkok on six months EMI facility at no extra cost.
If any tourist wants to stay extra nights outside the package, s/he has to pay extra money. The package is not changeable in any way after finalisation.
The package can be purchased from any sales office of the carrier fulfilling the conditions.