United News of Bangladesh

Bangladesh Bank (BB) has instructed banks and financial institutions to expedite the disbursement of the Tk 5,000 crore refinancing funds for cottage, micro, small, and medium enterprises (CMSMEs) and meet their full distribution targets by November. The directive was issued during a meeting between top executives of participating banks and financial institutions and a Bangladesh Bank Deputy Governor at the central bank headquarters on Thursday (October 8). Managing directors and chief executives from 34 banks and five non-bank financial institutions (NBFIs) attended the session. Briefing reporters after the meeting, Association of Bankers, Bangladesh (ABB) Chairman and City Bank Managing Director Mashrur Arefin said the refinancing scheme was introduced to provide low-interest working capital loans to CMSME entrepreneurs. "Following the signing of agreements with banks on September 10, loan disbursements commenced, with approximately Tk 450 crore released in the first two weeks," Arefin said. "The central bank has now urged all participating institutions to complete the full disbursement of the Tk 5,000 crore fund by November to ensure marginal entrepreneurs receive timely, low-cost capital." Broader Campaign Urged for 'Uddyog' Project The meeting also reviewed the progress of Bangladesh Bank’s pilot initiative, the 'Uddyog' project, designed to foster youth entrepreneurship across selected districts in various divisions. Acknowledging that the project has yet to yield the expected response, the ABB Chairman emphasized that banks have been instructed to intensify promotional campaigns at the district, upazila, and union levels. Under the 'Uddyog' scheme, young entrepreneurs—specifically those aged 21 or below—are eligible to receive up to Tk 10 lakh from banks' Corporate Social Responsibility (CSR) funds alongside an additional Tk 10 lakh in commercial loans. Banks Deny Non-Cooperation on Closed-Factory Package Addressing allegations that banks are hesitating to disburse funds under the government's Tk 60,000 crore package aimed at restarting closed and semi-closed industrial units, Arefin clarified that banks are fully committed to the initiative. "There is no question of non-cooperation from the banks," he asserted. "However, while extending fresh credit to distressed units, banks must carefully evaluate risk parameters to prevent these loans from turning into new non-performing loans (NPLs)."

The Asian Development Bank (ADB) will provide a $100 million loan to Palli Karma-Sahayak Foundation (PKSF) to expand access to safe, affordable and disaster-resilient housing for around 40,000 low- and middle-income families in Bangladesh. The financing will be provided under the Inclusive Affordable Housing Finance Project, which will be implemented until 2031, with particular focus on strengthening housing security for women and people living in disaster-prone areas. A loan agreement between the government and ADB and a project agreement between PKSF and ADB were signed at a hotel in Dhaka on Wednesday, according to a press release. Md Shahriar Kader Siddiky, Secretary of the Economic Relations Division (ERD) under the Ministry of Finance, signed the loan agreement on behalf of the government, while Dr AKM Nuruzzaman, Senior General Manager of PKSF, signed the project agreement on behalf of PKSF. Qingfeng Zhang, Country Director of the ADB Bangladesh Resident Mission, signed both agreements on behalf of ADB. The loan proceeds will finance the construction of new houses as well as the repair and upgrading of existing homes. The project will seek to expand housing finance opportunities for low- and middle-income households that have limited access to housing loans through the formal banking system. A major focus of the project will be the development of houses capable of withstanding floods, cyclones, extreme heat and other natural hazards and climate-related risks. Disaster and climate vulnerabilities will be incorporated into housing design, construction and safety measures under the project. This is expected to help vulnerable families secure safer homes while reducing risks to their lives and assets during disasters. The project will combine affordable housing finance with climate-resilient housing measures to improve the long-term resilience of vulnerable households and increase their access to safer and more sustainable housing.

Bangladesh has signed a major Public-Private Partnership (PPP) agreement with Dubai-based global port operator DP World to modernise, manage, and operate the New Mooring Container Terminal (NCT) at Chittagong Port under a 15-year operational concession. The agreement was signed on Thursday at Invest Bangladesh auditorium at Agargaon in Dhaka in the presence of Shipping Minister Shaikh Rabiul Alam, State Minister for Shipping Md. Rajib Ahsan, UAE Ambassador to Bangladesh Abdulla Ali Al Hamoudi, and Invest Bangladesh Chairman Ashik Chowdhury. Rear Admiral Md. Moniruzzaman, Chairman of CPA, signed the deal on behalf of the port authority while Essa Kazim, Chairman of DP World’s Board of Directors, for the UAE state-owned terminal operator. Under the agreement, full ownership and regulatory control of the terminal, its land, and underlying infrastructure will remain strictly with the state-run Chittagong Port Authority (CPA) and the Government of Bangladesh.

Standard Chartered has announced plans to explore options for the sale of its Wealth and Retail Banking (WRB) business in Bangladesh as part of its global strategy to focus resources on areas where it has a distinctive client proposition. In a letter to its clients, the bank said there would be no immediate impact from the announcement and any potential sale of the WRB business was expected to take at least 18 to 24 months and would be subject to regulatory approval. Standard Chartered assured its retail banking customers that their deposits and investments remained safe and that they could continue to conduct banking transactions as usual during the transition. The bank said it is committed to managing the process with key stakeholders to minimise any disruption to customers and would provide updates on relevant developments during the transition. “Standard Chartered, as part of its global strategy, has announced its intention to explore options for the sale of its Wealth and Retail Banking (WRB) business in Bangladesh,” said Lutful Habib, Managing Director and Head of Wealth & Retail Banking at Standard Chartered Bangladesh. The bank said its presence in Bangladesh would continue, with a focus on expanding its Corporate and Investment Banking (CIB) business. “We have been present in Bangladesh for over 120 years and we will continue to support clients through our international network, cross-border capabilities and sector expertise,” the letter said. The announcement came as the UK-headquartered banking group reviews its operations globally and seeks to concentrate resources on businesses and markets where it sees stronger strategic opportunities. Standard Chartered has maintained a banking presence in Bangladesh for more than 120 years and operates a range of corporate, institutional and retail banking services in the country. The bank asked customers requiring further information or assistance to contact its Contact Centre at 16233 or their dedicated Relationship Manager.

Water Resources Minister Shahiduddin Chowdhury Anee on Thursday urged the textile industry to reduce its dependence on groundwater to conserve the country’s water resources and ensure sustainable development of the sector. “We must also focus on developing alternative water sources and more efficient methods of water use in the textile industry,” he said while addressing the inaugural ceremony of the BUTEX-ITET Dye-Chem Expo 2026 at the Bangladesh University of Textiles (BUTEX) in Tejgaon. Noting that the textile sector consumes a huge amount of water while the groundwater level is declining gradually, Anee underscored the need for reducing dependence on groundwater and increasing the use of surface water. He stressed that alongside industrial growth, water conservation, effective wastewater treatment, water reuse and eco-friendly production methods must be ensured. "These issues must be given due importance for sustainable industrial development." The minister expressed hope that the BUTEX-ITET Dye-Chem Expo will advance innovation, strengthen industry-academia collaboration and inspire a new generation of textile professionals. He said the textile industry plays a vital role in Bangladesh's economy, with skilled professionals in high demand both at home and abroad. Anee said BUTEX produces hundreds of skilled graduates every year who are sought after in the job market. BUTEX Vice-Chancellor Prof Dr Zulhash Uddin presided over the programme. Institution of Textile Engineers and Technologists (ITET) President Enayet Hossain and Secretary General ASM Hafizur Rahman Nixon were present as special guests.

Bangladesh Bank (BB) has instructed National Bank PLC to ensure adequate cash supply across all its branches and ATM booths starting October 15, 2026, enabling depositors to withdraw funds according to their demand. The directive was issued on Thursday during a meeting between Bangladesh Bank Governor Md. Mostaqur Rahman, National Bank PLC Chairman Prof. Dr. Melita Mehjabeen, and Acting Managing Director Jahidul Haq at the central bank headquarters. Bangladesh Bank Spokesperson Arif Hussain Khan told UNB that the Governor emphasised the cash withdrawal of depositors as per their requirements. “If the National Bank faces any difficulties including cash shortage, the central bank will stand beside the bank,” he added. According to a press release issued by the central bank, Governor Mostaqur Rahman said National Bank's recent liquidity situation and customer withdrawal demands have come to the central bank's attention.  He instructed the bank's management to take all necessary measures to protect depositors' interests, maintain public trust in the banking system, and ensure orderly banking operations. During the meeting, National Bank Chairman Prof. Dr. Melita Mehjabeen informed the Governor that recent interventions and measures taken by the central bank have helped re-establish good governance in the financial institution.  She added that positive changes have been made in senior management to boost the bank's overall operational efficiency and performance. Bangladesh Bank Deputy Governors Dr. Md. Habibur Rahman, Dr. Md. Kabir Ahammad, Md. Sarwar Hossain, and Md. Anisur Rahman were also present at the meeting.

Asian stocks declined Thursday as rising bond yields and higher oil prices weighed on markets, following a retreat on Wall Street from recent record highs. US stock futures were mixed in early trading. Asian markets came under renewed pressure from higher bond yields. The yield on the 10-year US Treasury remained close to a multi-decade high after minutes from the US Federal Reserve's latest meeting, released Wednesday, showed that most policymakers expect another interest rate increase this year. Japan's Nikkei 225 fell 0.9% to 69,438.77, while South Korea's Kospi dropped 0.8% to 6,750.25. Hong Kong's Hang Seng declined 0.2% to 24,072.98, and the Shanghai Composite edged down 0.1% to 3,840.03. Australia's S&P/ASX 200 lost 0.6% to 8,677.20, while Taiwan's Taiex fell 0.7%. On Wall Street, the S&P 500 declined 0.2% Wednesday, a day after reaching a record high. The Dow Jones Industrial Average fell 0.7%, while the technology-focused Nasdaq composite slipped 0.2% from its record. US inflation remains above the Fed's 2% target. In September, the central bank raised its key interest rate by 0.25 percentage point for the first time in three years, bringing the target range to 3.75%-4%. Higher bond yields can weigh on stocks as they increase borrowing costs for businesses and consumers. US Treasury yields have climbed amid a global energy shock linked to the Iran war, while growing US government debt has also added pressure. The 10-year Treasury yield stood around 5.31% Thursday after reaching 5.36% Wednesday, its highest level since 2002. Oil prices also rose amid uncertainty over global supplies. The US and Iran have yet to reach an agreement to end their war. The Atlantic reported Wednesday, citing two unnamed officials, that the White House had asked the Pentagon to prepare strike options against Iran before the November midterm elections. Brent crude, the international benchmark, rose 2.2% to $102.43 a barrel early Thursday. US benchmark crude gained 1.9% to $89.96. The International Energy Agency said Wednesday that its members support accelerating releases of oil from strategic inventories. The US dollar rose to 158.20 Japanese yen from 158.08 yen. The euro edged up to $1.1198 from $1.1197 as higher French bond yields and concerns over the country's government debt put pressure on the currency.

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) on Wednesday called upon World Bank to significantly expand the funding and scope of its sustainable water management programme to accelerate the green transformation of the country's ready-made garment (RMG) sector. The call was made during a high-level bilateral meeting held at the BGMEA Complex in Uttara, Dhaka, between BGMEA President Mahmud Hasan Khan and a World Bank delegation, led by Regional Director for Sustainable Development for the South Asia Region Mara K Warwick. During the meeting, both sides reviewed the progress of the “Dhaka Water Security and Resilience Programme” (D-Water) and its $5 million Viability Gap Funding (VGF) pilot initiative. Although BGMEA initially submitted a list of 31 factories, the World Bank selected eight factories for the initial rollout. Highlighting the overwhelming interest among garment manufacturers, the BGMEA chief urged the World Bank to scale up both the fund size and the number of beneficiary factories. Emphasising that water management is directly linked to international trade competitiveness, he noted that global buyers, particularly European brands, now strictly mandate data on water reduction, wastewater treatment, and recycling at every stage of apparel production. "Adopting water-efficient modern technology is indispensable not only to protect Dhaka's rivers and groundwater levels, but also to retain our competitive edge in global export markets," Mahmud Hasan said. Highlighting high initial capital expenditure as a major barrier, BGMEA leaders stressed that securing financial viability for green projects is difficult for factory owners amid global economic slowdowns and price pressures.  They urged international development partners like the World Bank to provide grants, long-term soft loans, or zero-interest financing to make green investments feasible. To address physical constraints faced by small and medium enterprises (SMEs) such as lack of space or adjacent drainage systems for individual Effluent Treatment Plants (ETPs), BGMEA proposed establishing cluster-based treatment facilities and utilising tankers or lorries for waste removal. They also called for expanding the program beyond Dhaka to other major industrial hubs across Bangladesh. Furthermore, BGMEA leaders underscored the need for policy predictability, urging authorities to avoid sudden regulatory shifts in environmental policy and provide sufficient lead time so factories can plan long-term eco-friendly investments. The World Bank delegation received the proposals positively and assured continued support and logistics to accelerate the RMG sector's sustainable transition. BGMEA Director Dr Md Hasib Uddin, World Bank Lead Water Specialist David Melcom Lord, Senior Water Supply and Sanitation Specialist Rokeya Ahmed, Water Specialist Md Mahadi Hasan, and Environmental Specialist Bushra Nishat were also present at the meeting.

The country’s GDP growth accelerated to 3.68 percent in the 2025-26 fiscal year, driven mainly by stronger performances in the industrial and services sectors in the fourth quarter, according to provisional estimates by the Bangladesh Bureau of Statistics (BBS). GDP growth at constant prices stood at 4.60 percent in the fourth quarter of FY26, sharply up from 2.05 percent in the same quarter of FY25, according to the provisional GDP estimates. In the first three quarters of FY26, GDP growth was estimated at 4.96 percent, 3.03 percent and 2.22 percent, respectively, compared to 3.91 percent, 3.53 percent and 4.53 percent in the corresponding quarters of FY25. At current prices, the size of the GDP stood at Tk 16,116.743 billion in the fourth quarter of FY26, compared to Tk 14,385.272 billion in the same quarter of FY25. The industrial sector recorded the strongest growth among the three major sectors in the fourth quarter, expanding by 6.52 percent at constant prices, compared to just 0.92 percent in the same quarter of FY25. However, industrial growth was uneven during the year. It stood at 6.82 percent in the first quarter, 1.27 percent in the second quarter and contracted 0.28 percent in the third quarter of FY26. In FY25, industrial growth in the first three quarters was 4.80 percent, 5.78 percent and 3.33 percent, respectively. The services sector grew by 4.28 percent in the fourth quarter of FY26, compared to 2.26 percent in the same quarter of the previous fiscal year. Services growth in the first three quarters of FY26 was estimated at 4.51 percent, 4.45 percent and 3.52 percent, compared to 4.49 percent, 3.48 percent and 7.32 percent in the corresponding quarters of FY25. The agriculture sector, however, recorded slower growth in the fourth quarter. Agriculture grew by 1.73 percent in the fourth quarter of FY26, compared with 3.19 percent in the same quarter of FY25. The sector’s growth in the first three quarters of FY26 was estimated at 2.11 percent, 3.68 percent and 1.74 percent, compared with -0.12 percent, 1.90 percent and 4.61 percent in the corresponding quarters of FY25. The provisional figures show that the economy gained momentum in the final quarter of FY26, mainly on the back of a stronger industrial performance and improved growth in services.

Bangladesh wants to raise bilateral trade with Indonesia to more than $10 billion, reduce the trade gap and increase exports of ready-made garments, pharmaceuticals and agricultural products to the Indonesian market. The issues came up for discussion at a meeting between Commerce Minister Khandakar Abdul Muktadir and Indonesian Deputy Foreign Minister Muhammad Anis Matta at the Ministry of Commerce on Wednesday. The commerce minister said bilateral trade between Bangladesh and Indonesia currently stands at around $4 billion annually, with Bangladesh importing goods worth about $3.5 billion from Indonesia while its exports to the country amount to only around $56 million. He stressed the need to increase Bangladesh's exports to reduce the trade deficit, saying bilateral trade could be raised to more than $10 billion if market-access barriers are removed. The meeting also discussed the proposed Preferential Trade Agreement (PTA), Comprehensive Economic Partnership Agreement (CEPA), energy cooperation, mutual recognition of halal certification, and greater access for Bangladeshi potatoes, pharmaceuticals and vaccines to the Indonesian market. Muktadir said Bangladesh is producing internationally competitive pharmaceutical and related products, which are exported to more than 100 countries. He sought Indonesia's cooperation in reducing procedural complications, including product registration requirements, to facilitate greater exports of Bangladeshi pharmaceuticals to the Indonesian market. The Indonesian deputy foreign minister welcomed Bangladesh's proposal to organise a solo exhibition of Bangladeshi pharmaceutical products in Jakarta and assured support for arranging the event. The two countries have held four rounds of negotiations on a PTA, but talks have remained stalled since 2023 due to differences over duty-free market access for Bangladesh's ready-made garments. Anis Matta said although Bangladesh and Indonesia compete in the textile and apparel sectors, the two sides should identify the challenges and work together to resolve them. He proposed a ministerial-level meeting on the sidelines of an international trade exhibition to be held in Indonesia from October 14 to 18. He also invited the commerce minister and a Bangladeshi delegation to attend the exhibition. The meeting also discussed Indonesia's state-owned oil and gas company Pertamina's proposed involvement in operating Bangladesh's Single Point Mooring (SPM) terminal. The two sides explored the possibility of increasing coal imports from Indonesia for Bangladesh's coal-fired power plants. Muktadir proposed mutual recognition of laboratory test results between the two countries to resolve testing and registration-related complications hindering exports of Bangladeshi potatoes to Indonesia. Efforts to export potatoes to Indonesia between 2015 and 2019 could not progress due to such complications. The two sides also discussed mutual recognition of halal certification and standards to boost trade in halal products, as well as the possibility of establishing government-to-government cooperation between the relevant authorities of the two countries. They expressed their interest in strengthening Bangladesh-Indonesia economic ties by expanding trade and investment.