business
Grameenphone reports strong Q1 growth
Grameenphone Ltd has demonstrated robust growth and resilience in the first quarter of 2024, despite facing persistent macroeconomic headwinds. The company's strategic focus on network investment and pioneering initiatives has propelled it to achieve significant milestones, reflecting its commitment to innovation and customer-centric services.
For the first three months of 2024, Grameenphone reported a total revenue of BDT 39.3 billion, marking a notable growth of 5.3% compared to the same period last year. This growth trajectory is further underscored by the acquisition of 1 million new subscribers, bringing the total subscriber base to 83 million by the end of the first quarter. Notably, over half of Grameenphone’s subscribers, approximately 46.3 million, are utilizing internet services, highlighting the increasing digital penetration in the country, according to a press release.
Yasir Azman, CEO of Grameenphone Ltd., attributed the company's success to its unwavering commitment to strategic investments and innovation, aimed at transforming from a traditional telecommunications provider to a telco-tech powerhouse. Azman emphasised the significance of building a robust digital infrastructure to drive sustainable growth and enhance operational efficiency. Under his leadership, Grameenphone inaugurated its first "Tier III Standard Data Center" in Sylhet, setting new benchmarks in network capabilities.
Moreover, Grameenphone introduced "gpfi," a wireless broadband solution designed to revolutionize home internet services, catering to the evolving needs of modern families for seamless connectivity and entertainment. The company's dedication to sustainability was also highlighted through strategic partnerships and support for Environmental Social Governance (ESG) initiatives.
Otto Risbakk, CFO of Grameenphone Ltd, expressed satisfaction with the company's financial performance in the first quarter, marking the twelfth consecutive quarter of growth in both topline and EBITDA. With subscription and traffic revenue growth reaching 5.2%, and an impressive EBITDA margin of 60.8%, Grameenphone's solid balance sheet and strong cash flow position it well to continue investing in growth and innovation.
In line with its commitment to enhancing network infrastructure, Grameenphone invested BDT 7.2 billion in CAPEX during the first quarter, primarily focusing on expanding its 4G network and fiber connectivity. The deployment of 2600 MHz spectrum and the rollout of over 500 new 4G sites underscore the company's relentless pursuit of providing an enhanced network experience for its customers. As of Q1’24, Grameenphone boasts over 21,700 4G sites, covering 97.9% of the population with 4G connectivity.
Despite the challenges posed by the macroeconomic environment, Grameenphone's strong performance in the first quarter of 2024 reflects its resilience, innovation, and unwavering commitment to delivering superior telecommunications services in Bangladesh.
Robi AGM approves 10 % cash dividend
Robi Axiata Ltd held its 28th Annual General Meeting (AGM) on Wednesday and the shareholders approved a 10 percent cash dividend declared earlier.
This year's AGM was conducted in a hybrid format, supporting both, in-person and online participation, according to a press release.
In 2023, Robi earnings per share (EPS) was 0.61 taka. Present at the meeting were the Chairman of Robi Axiata Limited’s Board of Directors (BoD), Mr. Vivek Sood, the Managing Director and CEO, Rajeev Sethi, CFO, M. Riyaaz Rasheed, other BoD members, and senior officials of the company. The AGM was chaired by the Company Secretary Shahed Alam.
Addressing the shareholders, Robi Axiata PLC’s Chairman, Vivek Sood said, “Robi had performed exceptionally well in 2023. The tremendous work that has gone in to improving the quality of services is clearly evident in its performance in the first quarter of this year. Customers are finding a natural home in Robi to support their digital transformation journey.
All that stands in the way is the taxation regime. Unless the tax is rationalized, we would always struggle to live up to the expectation from our valued shareholders. Apart from that, we are doing everything possible to grow our business within the scope allowed by the regulatory regime of the country. I thank all our shareholders for keeping faith in our ability to deliver the desired level of return on their precious investment.”
Chinese Jiangsu Soho Holdings Group, BGMEA discuss trade, investment potentials
A visiting delegation from Jiangsu Soho Holdings Group Co Ltd engaged in discussions with the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) regarding potential collaborations and investment opportunities in the textile and apparel sector.
The delegation led by Zhou Yong, chairman of Jiangsu Soho Holdings Group met the BGMEA team headed by its Senior Vice President Khandoker Rafiqul Islam at the BGMEA complex on Wednesday.
BGMEA leaders provided an insightful overview of Bangladesh’s thriving apparel industry, highlighting its notable transition towards high-value garments, especially those made from man-made fibers. They emphasised promising investment opportunities within Bangladesh, particularly in the high-end textile sector and its associated backward linkage industries.
With the demand for man-made fibres on the rise in Bangladesh, BGMEA leaders stressed the mutual benefits that Chinese investment in this sector would bring, citing reduced costs, shorter lead times, and alignment with growing market demand.
Furthermore, BGMEA leaders underscored the importance of investment in textile technologies and the recycling industry, expressing interest in knowledge exchange and technical expertise support from Jiangsu Soho Holdings Group to enhance the capabilities of Bangladeshi companies.
BEXIMCO to launch Tk 1,500 Crore Zero Coupon Bond
Bangladesh Export Import Company Limited (BEXIMCO) has announced the commencement of subscription for the 'Beximco 1st Unsecured Zero Coupon Bond' starting April 28, 2024 and the first tranche of the subscription will be closed on May 15, 2024.
This follows the Bangladesh Securities and Exchange Commission (BSEC)'s approval on April 3, 2024, authorizing BEXIMCO to issue bonds totaling Tk 1,500 crore, according to a press release.
IFIC Investment Limited is the arranger and Sandhani Life is the trustee of this bond. The Beximco 1st Unsecured Zero Coupon Bond offers an unprecedented discounted rate of 15%, the highest in the market, translating to a monthly return of Tk1,250 per lakh.
This non-convertible, redeemable, unsecured bond aims to raise Tk1,500 crore, of which Tk1000 crore will be used for providing as a loan to Sreepur Township Limited for the development of the Mayanagar project, while the remaining Tk500 crore will be used to repay existing bank loans of Beximco Ltd.
The investment is particularly attractive due to its high return rate, where an investment of one lakh taka will yield a total return of Tk1,75,000 at the end of five years, including the principal amount. The returns are especially appealing for Non-Resident Bangladeshis (NRBs) and local wage earners, offering one of the best investment avenues available.
The bond subscription has a minimum investment threshold of Tk 50,000, with no upper limit, making it accessible to a broad range of investors.
This opportunity is available on a first-come, first-served basis, emphasizing its limited nature and the potential for a quick sell-out due to its attractive features.
Investors interested in the Beximco 1st Unsecured Zero Coupon Bond can begin subscribing on April 28, 2024 and the first tranche of subscription will be closed on May 15, 2024.
For further details or to begin the subscription process, interested parties are encouraged to call 16900 or scan the QR code available in promotional materials, BEXIMCO said on Thursday.
BEXIMCO said they committed to contributing to the economic development of Bangladesh through such robust financial instruments, inviting investors to participate in this venture that promises excellent financial returns and supports significant developmental projects across the nation.
16th Bangladesh Denim Expo on May 6-7
The 16th edition of Bangladesh Denim Expo will once again open its doors in the international Convention City, Bashundhara (ICCB) in Dhaka on May 6 and 7.
“Reimagine” is the theme of the 16th edition. "Reimagine" lies Expo’s commitment to re-envisioning the future of the denim world and reshaping the landscape of denim through relentless innovation and seamless integration of digitalization.
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By harnessing the power of technology and embracing forward thinking approaches, the organisers said they are revolutionizing every aspect of denim production, design, and consumption.
“We have chosen "Reimagine" as the theme of Bangladesh Denim Expo because it is about more than just transforming denim; it's about redefining the very essence of the denim trend. We are breaking free from conventional norms and exploring uncharted territories to create a denim experience that is both visionary and transformative. From sustainable practices to cutting-edge design techniques, we are redefining what denim means in the modern era," said Mostafiz Uddin, founder and CEO of Bangladesh Apparel Exchange (BAE)
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Over 60 exhibitors from 11 countries such as Bangladesh, India, China, Pakistan, Turkey, Italy, France, Spain, Switzerland, Vietnam, Japan etc are set to attend the event.
Participant categories includes Fabric Mills Denim and Non-Denim, Garment Manufacturer, Washing Laundry, Accessories & Trims, Chemicals, Machineries or Technology, & Logistic etc.
An inaugural program, a series of panel discussions, a trend seminar & a trend zone planned for a two-day event. Worlds renowned speakers will share their insights in the discussions. Seminar topics will be focused on the theme “Reimagine”.
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A unique innovative & upcoming trends product will be showcased in the trend zone. Visitors can get the opportunity to look up & gain knowledge on future denim trends in the trend zone.
BSEC brings back floor price to prevent continuous fall in share prices
Bangladesh Securities and Exchange Commission (BSEC), the capital market regulator, issued an order on Wednesday to prevent the continued slide in the stock market, imposing a limit beyond which prices cannot fall, or floor price for stocks.
According to the BSEC order, the price of shares and mutual funds of any listed company cannot fall by more than 3 percent in a day. Currently, company shares and mutual funds may fall by up to 10 percent depending on the price bracket they are in.
This decision has been taken to protect the interests of the country's capital market and investors. The two stock exchanges of the country (DSE and CSE) have been instructed to implement this new decision from tomorrow (Thursday), said the BSEC.
Earlier in 2021, the capital market regulator BSEC had imposed the minimum price level or floor price of the share price to prevent the continuous decline in price of shares.
There was no scope for the share price of listed companies to fall below a certain limit. The imposition of floor price leads to a kind of stagnation in the market, according to experts, as selling of shares gets stuck at a price.
IMF team wants to know central bank’s measures on reserves, banking sector reform
The visiting team of the International Monetary Fund (IMF) wanted to know Bangladesh Bank’s measures for implementing monetary policy, interest rate, inflation, exchange rate, and reserves information.
The IMF team discussed various issues wanted to know the latest information from the central bank during a meeting held on Wednesday in Bangladesh Bank headquarters.
Apart from this, the global lender also wanted progress reports on banking sector reform, bank merger step, and revenue.
However, in the first day's meeting, the members of the IMF team said that the actions taken by the central bank and other organizations are appropriate so far.
Several officials present at the meeting confirmed that the updated reports and summary discussions highlighted the above issues.
Bajus again cuts gold price by Tk 2099
The Bangladesh Jeweller’s Association (Bajus) on Wednesday decrease gold price by Tk2099 per bhori and fixed good quality 22-carat gold price at Tk 114191 per bhori.
With this, The apex body of gold traders changed the gold price for 7th time this month.
The organisation raised the gold price by 5190 in 4 phases on April 6, 8, 18 and 21, while decreased the price by Tk 6077 per bhori in 3 phases on April 20, 23, and 24.
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The Bajus increased gold price by Tk1750 on April 6, Tk 1750 on April 8, Tk2065 on April 18, and Tk 630 on April 21. On the other hand, it decreased gold price by Tk 840 on April 20, Tk 3138 on April 23, and Tk 2099 on April 24.
Masudur Rahman, Chairman of the Price Determination and Price Monitoring Standing Committee of Bajus issued a notification of the price cut on Wednesday.
As per the new price, per bhori (11.664 grams) of 22-carat gold will cost Tk 114191 per bhori as Tk 9790 per gram. Apart from this, the price of 21- carat gold has been set at Tk109000 per bhori, 18-carat gold at Tk 93429 per bhori, and the traditional method price set at Tk75209.
Bajus decreases gold price by Tk 3138 per bhori
Though the price of gold has decreased, the price of silver has been kept unchanged.
According to the category, currently, the price of 22-carat silver is Tk2100, 21-carat is Tk2006, 18-carat is Tk1715 and the price of traditional silver in traditional is Tk1283.
Sabbir Ahmed appointed country manager of Visa Bangladesh, Nepal and Bhutan
Visa (NYSE: V), the global leader in payments, announced the appointment of Sabbir Ahmed as the Country Manager for Bangladesh, Nepal and Bhutan.
With over 27 years of rich experience in banking and payments across Bangladesh and Vietnam, Sabbir will now lead the market operations for Visa in the three countries, with a team based out of the Dhaka office, according to a press release on Wednesday.
With Sabbir Ahmed’s appointment, Visa reiterates its leadership and commitment to the Bangladesh market, along with Nepal and Bhutan. Visa has continually focused on introducing enhanced payment solutions for an increasingly digital Bangladesh. Visa has been instrumental in the expansion of contactless payments; it has also enabled consumers to pay directly through Visa cards on their wallets.
On his appointment, Sabbir Ahmed, Country Manager— Bangladesh, Nepal, and Bhutan, Visa, said, “I am excited to join Visa, a brand at the forefront of digital payments globally and in Bangladesh. In my new role, I look forward to playing a significant role in realising the vision of Cashless Bangladesh set out by the government.
We also aim to play a pivotal role in digital payments for Nepal and Bhutan. I believe we can work for and with the ecosystem to bring innovative digital-first payment solutions to consumers and businesses, that will increase the growth of digital payments in Bangladesh and adjoining markets.”
Sandeep Ghosh, Group Country Manager, Visa India & South Asia said, “We are delighted to welcome Sabbir Ahmed as our Country Manager for Bangladesh, Nepal, and Bhutan. Sabbir, with his strong professional achievements, diverse banking experience and deep market connections, will strengthen our leadership, drive business objectives and foster sustainable growth for Visa.”
Sabbir will be responsible for charting Visa’s business priorities in Bangladesh and other South Asian markets of Nepal and Bhutan. He and the local team will manage Visa’s relationships with clients, partners, regulators and ecosystem participants. He will also be a part of Visa’s leadership team for India and South Asia.
Sabbir Ahmed joins Visa from Standard Chartered Bank, Bangladesh, where he served as the Managing Director and Head of Wealth and Retail Banking. Previously, he held senior leadership positions at HSBC in Bangladesh and Vietnam and has worked for British American Tobacco (BAT). A well-known name in the banking circles of Bangladesh, Sabbir brings a wide range of expertise from both local and international markets in the banking and financial services.
FBCCI signs deal to establish joint business council with Qatar
The Federation of Bangladesh Chambers of Commerce & Industry (FBCCI) and the Qatar Chamber of Commerce and Industry (QCCI) have signed an agreement to establish a joint business council (JBC) to strengthen the economic ties and to enhance closer cooperation between Bangladesh and Qatar.
An agreement was signed in this regard in presence of the Prime Minister Sheikh Hasina and Qatar's Emir Sheikh Tamim bin Hamad Al Thani at the Karabi Hall of the Prime Minister’s Office in the capital on Tuesday (April 23).
FBCCI President Mahbubul Alam and QCCI Chairman Sheikh Khalifa Bin Jassim Al Thani have signed the agreement on behalf of their respective organizations. This initiative aims to facilitate continuous interaction between the business communities of the two countries to boost trade and economic cooperation.
FBCCI President Mahbubul Alam said that the establishment of JBC between Bangladesh and Qatar will open a new window of cooperation between the two nations.
“The business community of both the countries will be benefited under this agreement as they will be able to sit periodically to discuss issues of mutual interest in trade, business, scientific and research cooperation. At the same time, it will help Bangladeshi business community to explore the potential export market at Qatar and vice-versa,” he said.
According to the agreement, the JBC will provide a platform for businessmen and industrialists from Bangladesh and Qatar to engage in discussions and activities related to trade, investment, technology transfer, services, and other industrial sectors.
The JBC meetings will be organized alternately in Bangladesh and Qatar, and each side will have the opportunity to exchange information on trade, economic cooperation and services to augment business between the two countries.
The JBC will engage in activities such as exchanging information, submitting recommendations to respective governments, encouraging participation in exhibitions, and sponsoring missions and expert visits. Both sides will hold joint meetings to discuss issues related to trade promotion and economic cooperation. Sub-committees and task forces may be formed if necessary, according to the agreement, said a press release.